Chalhoub Group recently hosted a ground-breaking ceremony to celebrate the launch of Tawreed, a new distribution hub in Riyadh. This significant milestone highlights the Group’s continued growth in Saudi Arabia and provides a valuable opportunity to engage with strategic partners both locally and across the region. It also strengthens the Group’s partnership with the Special Integrated Logistics Zone (SILZ), further cementing its local presence and commitment to investment, business growth, and nationalization in the Kingdom.
Commenting on the initiative, Michael Chalhoub, CEO of Chalhoub Group said: “The launch of Tawreed represents a significant milestone in our journey in Saudi Arabia. This state-of-the-art logistics center is designed to elevate our ability to serve our Saudi clients—both online and offline—with a seamless, efficient experience, including reduced delivery times. Beyond serving as a distribution hub for Riyadh and KSA, Tawreed is strategically positioned to support our broader regional operations, servicing Kuwait, Qatar, and Bahrain. This facility not only reflects our commitment to Saudi Arabia’s vision for economic growth, innovation, and nationalisation, but also strengthens local partnerships, creating new opportunities for Saudi talent. By enhancing our logistics capabilities, we are driving greater efficiency, empowering us to better serve our partners and meet the needs of our luxury customers across the Middle East.”
Dr. Fadi bin Saleh Al-Buhairan, Chief Executive Officer of SILZ, added: “We are proud to partner with Chalhoub Group on this landmark project, which underscores SILZ’s pivotal role in transforming Saudi Arabia into a global logistics powerhouse. Tawreed’s launch within Riyadh Integrated is a testament to our world-class infrastructure, strategic location, and commitment to fostering a business-friendly environment that attracts leading international brands. This collaboration not only strengthens the Kingdom’s logistics sector but also creates significant employment opportunities for Saudi nationals, supporting our economic diversification goals under Saudi Vision 2030.”
The new facility will serve as a bonded hub in the Saudi International Logistics Zone (SILZ), contributing to improved operational efficiencies, cost reduction, and optimized inventory management. This model, which strategically splits inventory between JAFZA in Dubai and Tawreed in Riyadh, provides a strategic advantage by ensuring efficient logistics and streamlined supply chain operations. Tawreed also spans a plot area of 39,000 square meters with a total built-up area of 28,000 square meters, offering substantial space to meet Chalhoub Group’s growing operational needs.
SILZ is revolutionizing Saudi Arabia’s logistics landscape by developing a fully integrated, high-value ecosystem that attracts global investors and enhances supply chain efficiency. Through strategic agreements and value-added services, SILZ is driving cost efficiencies and fostering a collaborative logistics network that benefits both tenants and investors.
Looking ahead, Tawreed will not only solidify Chalhoub Group’s presence in Saudi Arabia but also serve as a gateway for regional expansion. By leveraging Riyadh Integrated’s strategic location and advanced logistics capabilities, the Group will enhance its operational reach, extending seamless distribution to neighboring markets such as Bahrain, Kuwait, and Qatar.
