Saudi Arabia is set to unveil its third national airline in 2025, marking a significant expansion of its aviation and logistics sectors. According to the Finance Ministry’s budget statement for fiscal year 2025, the new airline will be headquartered in Dammam, located in the Kingdom’s Eastern Province. This move comes as part of Saudi Arabia’s ambitious Vision 2030 strategy, aimed at diversifying its economy and establishing itself as a global transport and logistics hub.
The announcement follows progress on the second national airline, Riyadh Air, which is on track to commence operations in 2025. Riyadh Air, based in the capital, will serve as a key player in Saudi Arabia’s aviation landscape, complementing the new Dammam – based carrier and the existing national airline, Saudia.
The establishment of a third airline underscores Saudi Arabia’s commitment to enhancing air travel connectivity both within the Kingdom and internationally. By basing the new airline in Dammam, the government aims to strengthen links to the Eastern Province, a region with significant economic and industrial activity.
With Riyadh Air already set to begin operations, the addition of a third airline reflects the Kingdom’s broader efforts to meet growing passenger demand, boost tourism, and provide efficient transportation options for business travelers. This development positions Saudi Arabia as a rising force in the global aviation industry, with the capacity to compete with major regional hubs.
Alongside developments in the aviation sector, Saudi Arabia plans to launch six new logistics zones connected to its ports. These zones will play a pivotal role in improving the efficiency of supply chain operations, enhancing trade capabilities, and attracting global logistics companies. The logistics zones will capitalize on Saudi Arabia’s strategic geographic location, linking Asia, Europe, and Africa. This initiative aligns with the Kingdom’s ambitions to become a leading player in the global logistics industry, leveraging advanced infrastructure to facilitate trade and transport.
Additionally, the government is expanding public transport networks across several governorates. New bus transport projects aim to improve urban mobility, reduce traffic congestion, and support environmental sustainability by encouraging the use of public transportation.
These initiatives are part of Saudi Arabia’s Vision 2030, which seeks to diversify the economy away from oil dependence by fostering growth in sectors such as tourism, logistics, and transportation. The establishment of a third airline, the expansion of Riyadh Air, and the development of logistics zones are central to this transformation.
Saudi Arabia is also aiming to attract international investment and position itself as a global travel and logistics hub. With advanced transport infrastructure, strategic geographic advantages, and a commitment to sustainability, the Kingdom is laying the foundation for long-term economic growth and global competitiveness.
By 2025, Saudi Arabia’s transport and logistics sectors will likely experience a significant leap forward, creating new opportunities for businesses and travelers alike. These projects demonstrate the Kingdom’s proactive approach to building a future-ready economy, setting a precedent for development in the region.