Gulf Construction Online - Sika commissions new factory in Dammam

Saudi Focus

Sika commissions new factory in Dammam

01 August 2018

Switzerland-headquartered Sika has opened a new production plant for concrete admixtures in Dammam in a bid to reduce lead time and reach out to more potential customers,

The new factory enables the specialty chemicals firm not only to increase its production capacity but also to optimise its logistics and hence its cost structure, according to Ivo Schadler, regional manager Europe, the Middle East and Africa (EMEA).

“Up to now, Sika supplied its customers in the Saudi capital Riyadh as well as on the east coast with concrete admixtures from the plant in Rabigh, which is located 1,500 and 1,100 km away from Dammam and Riyadh respectively. With the new production facility in Dammam, Sika will greatly reduce transport distances. It is also ideally positioned to potentially supply customers in neighbouring markets around the Gulf region,” he explained.

Schadler said producing locally in Dammam brings the company closer to its customers on the east coast of Saudi Arabia and opens up further growth potential. At the same time, the optimised supply chain will help strengthen Sika’s competitiveness in the market.

Sika is a specialty chemicals company with a leading position in the development and production of systems and products for bonding, sealing, damping, reinforcing and protecting in the building sector and motor vehicle industry, and sees for itself a big role to play in the Saudi market.

Sika, which has more than 18,000 employees, has subsidiaries in 101 countries worldwide and manufactures in more than 200 factories. It generated sales of CHF6.25 billion ($6.3 billion) in 2017.