Saudi Arabia: Air conditioning manufacturer Trane has signed a joint venture manufacturing agreement with its Jeddah-based distributor Dallah Trading Company.

The agreement includes the development of a new manufacturing facility in Saudi Arabia in King Abdullah Economic City (KAEC) to serve heating, ventilation and air conditioning customers in Middle East and Africa markets with standard and custom-designed air handling units and fan coils.

The new facility is expected to be completed in late 2017.

Dallah Trading,  a subsidiary of Dallah Al Baraka Group, has been the sole distributor of Trane air conditioning products in Saudi Arabia for almost 30 years.

“Our expanded relationship with Dallah will bring us closer to our customers, which increases our responsiveness, speed-to-market and competitiveness,” said Johan Samuelsson, vice president and general manager for Trane in the Middle East and Africa.

“We are pleased to establish a manufacturing facility in the Kingdom of Saudi Arabia with our long term partner, Trane,” said Ayman M Kamel, chairman for Dallah Trading Company. “Our customers will appreciate the benefit from Trane quality products made in region. This is one step closer towards our goal of making Dallah Trading the first choice distributor for HVAC solutions in KSA.”