Data centers open opportunities to localize cooling system production in Saudi Arabia
In Saudi Arabia, the development of data centers, artificial intelligence and cloud services is increasing demand for air conditioning and cooling systems and creating an opportunity to expand local production of such equipment. This was reported by Asharq Al-Awsat, citing Nabil Shahin, head of the Middle East and North Africa office of the Air-Conditioning, Heating, and Refrigeration Institute (AHRI).
According to him, data centers require equipment with high energy efficiency and reliability that can operate in high temperatures. Shahin also noted that several U.S. and European companies are developing data center projects in the kingdom.
Standards for data centers
AHRI is working with the Saudi Standards, Metrology and Quality Organization (SASO) to develop and update standards for data center equipment. They are to be adapted to Saudi Arabia's temperatures, climatic conditions and local requirements.
SASO has also asked AHRI to develop a new standard for evaporative cooling systems, known in the country as “desert coolers.” Such devices use water for cooling instead of the refrigerants used in conventional air conditioning systems. According to Shahin, there is currently no single international standard for such systems.
More current news is available on the UA.News Telegram channel Telegram.
The draft standard is to include criteria for measuring energy efficiency in order to assess equipment performance and its suitability for local conditions. More efficient systems, the article notes, can reduce electricity demand and emissions associated with its generation.
Dependence on imported components
Shahin estimated Saudi Arabia's share of the Gulf countries' air conditioning market at more than 50%. He noted that some estimates put the figure at around 60%, but there are no confirmed official data that would precisely determine this share.
Demand is growing along with commercial and construction projects, particularly in Riyadh, coastal areas and Mecca. Over the past two years, several international companies have opened new plants or expanded existing production facilities in the kingdom.
At the same time, the industry depends on imports of key components, including electric motors, compressors, copper and refrigerants. A significant part of local production is currently focused on equipment assembly, although heat exchangers are already manufactured in the country. The AHRI representative believes that the next stage should be a gradual transition to manufacturing electronics, printed circuit boards, motors and other components within Saudi Arabia.