Power Rack and Dexion have announced the establishment of a new joint venture in the Kingdom of Saudi Arabia aimed at developing a local manufacturing facility for advanced warehouse storage and pallet racking systems.
The initiative reflects both companies’ shared commitment to supporting Saudi Arabia’s Vision 2030 by strengthening local industrial capabilities, enabling technology transfer, and creating new employment opportunities in the logistics and manufacturing sectors.
The new facility will manufacture a range of pallet racking systems and high-density storage solutions, including the globally recognized MOVO mobile racking system developed by Dexion. The technology allows companies to significantly increase warehouse storage capacity within the same footprint, making it highly suitable for modern logistics operations, automated warehouses, and temperature-controlled environments.
Operating under the principle “In Saudi Arabia, for Saudi Arabia,” the venture combines Power Rack’s strong local manufacturing infrastructure and market expertise with Dexion’s global engineering and technology leadership.
Through local production, customers will benefit from shorter lead times, greater operational flexibility, and direct technical support, helping businesses across the Kingdom scale their logistics operations more efficiently.
“Saudi Arabia represents one of the fastest-growing logistics markets in the region,” said Sergio Rodriguez Cuesta, Chief Executive Officer of Gonvarri Material Handling Group. “Through this partnership, we are combining international technology with strong local manufacturing capabilities to serve customers more efficiently and sustainably.”
Sheikh Talal Idris, added: “This partnership reflects our commitment to strengthening Saudi Arabia’s industrial base and positioning Power Rack as a key local manufacturer in advanced storage and logistics solutions. Our goal is not only to supply the market, but to build long-term industrial value within the Kingdom and support the continued development of the logistics sector.”
Saudi Arabia’s logistics sector continues to expand rapidly, driven by large-scale infrastructure investments, growing e-commerce demand, and increasing adoption of automation technologies. The Kingdom’s strategic geographic location connecting Europe, Asia, and Africa further strengthens its position as a regional logistics hub.
Through this joint venture, Power Rack and Dexion aim to deliver scalable, reliable, and future-ready warehouse storage solutions tailored to the evolving needs of the Saudi market.
For more information about the joint venture and upcoming projects, please visit:
www.powerrack.com