Tesla will begin selling in Saudi Arabia next month, and the electric car maker said on its website that Signaling CEO Elon Musk and the Kingdom will heal the rift that goes back to the 2018 billionaire's short-lived bid and make the company private.
Tesla trades in other Middle Eastern countries, but not Saudi Arabia, the largest market in the Gulf region.
The dispute began in 2018 when Musk tweeted and met with the Public Investment Fund, a Saudi Arabian sovereign wealth fund, and then “protected the funds” to make Tesla private.
The tweet led to a lawsuit from investors when the bid failed to materialize, during which a tense text message between Musk and PIF was released.
Tensions have eased since the fall, when Musk played a prominent role in President Trump's election campaign and in the new administration.
Trump said this month he is likely to make his first overseas trip to Saudi Arabia after asking him to spend more than $1 trillion in the US economy in January over four years, including military purchases.
The Tesla launch event in Riyadh, scheduled for April 10, will display solar-powered EVs and products, the Post said.
“We will meet Optimus, a Humanoid robot that will experience the future of autonomous driving using cybercabs and showcase what's next in AI and robotics.”
On April 11, Tesla will open pop-up stores in Riyadh, Jeddah and Dhammam, adding that investments will be planned for 2025 and will release details of Saudi Arabia's plans in the coming weeks.
An invitation to the launch event was asked to show the Tesla car models they were interested in.
The launch has sparked after Tesla's slow sales of electric vehicles in Europe and criticising mask support for far-right politicians, leading the brand to be targeted by US protesters in the lead up to cleanups to the federal government.
In Saudi Arabia, sales of EVs have been slow, with a 2024 report from consultant PWC showing that it was only 1% of all car sales.
EVs from China's huge BYD and PIF support Ming Dynasty are already available in the Saudi Arabian market.
A month after the feud with Musk was released, PIF announced more than $1 billion in investments in Lucid, becoming one of the majority investors of one of the EV startups looking to challenge Tesla.
The $925 billion PIF also invests in an undistributed domestic EV brand called Ceer.
However, large-scale gas gazling vehicles continue to be the norm for Saudi Arabia's roads where fuel is cheap and remains EV charging infrastructure, making long desert roads near impossible with EVs.
Global warming tie
In one of the first signs of improving relationships, Musk appeared in ringside seating alongside Rumayyan and Trumps at the UFC Mixed War Arts match in New York in November.
A few weeks ago, Musk had made a surprise appearance at Riyadh's future investment initiative summit via video links.
The US ju umpire discovered in 2023 that Musk was not responsible for misleading investors when he tweeted that he had won funds to make Tesla private.
Musk testified that it was PIF who wanted Tesla to be private when he posted the tweet, and a series of tense text messages between him and Rumayyan appeared during the incident.
“You're throwing me under the bus,” Musk texted Lumayan, according to court documents.
Tesla's European sales have fallen 42.6% so far this year, even as demand for EVS rose, data shows on Tuesday.
Activists across the US have led government efficiency by holding so-called “Tesla Takedown” demonstrations over the role of masks, cutting thousands of jobs, cutting frozen foreign aid and canceling thousands of programs and contracts.
