Saudi Arabia is moving full steam ahead with its focus on domestic investment — and with that, higher requirements for foreigners coming to the kingdom to take capital elsewhere.
The kingdom’s $925 billion sovereign wealth fund, the Public Investment Fund, saw its assets jump 29% to 2.87 trillion Saudi riyals ($765.2 billion) in 2023, its annual report published earlier this week revealed — and local investment was a major driver.
The fund’s investments in domestic infrastructure and real estate development grew 15% year-on-year to 233 billion riyals, while its foreign investments increased 14% to 586 billion riyals. At the same time, the Saudi government introduced laws and reforms to facilitate and even mandate investment in the country as it builds out its Vision 2030 plan to diversity its oil-reliant economy.
“The PIF’s report marks a shift from externally driven investments to a focus on domestic opportunities. The days of viewing Saudi Arabia as a mere financial reservoir are ending,” Tarik Solomon, chairman emeritus at the American Chamber of Commerce in Saudi Arabia, told CNBC.
“Today, success with the PIF hinges on partnerships grounded in mutual trust and long-term vision, where stakeholders are expected to contribute meaningfully with capital and not just seek profits.”
One example is the kingdom’s headquarters law, which went into effect on Jan. 1, 2024, and requires foreign companies operating in the Gulf to base their Middle Eastern HQ offices in Riyadh if they want contracts with the Saudi government.
Saudi Arabia’s recently-updated Investment Law seeks to attract more foreign investment as well — and it’s set itself a lofty goal of $100 billion in annual foreign direct investment by 2030.
Currently, that figure has averaged around $12 billion per year since Vision 2030 was announced in 2017, according to data from the kingdom’s investment ministry — still a long way from that goal.
Some observers in the region are skeptical as to whether the $100 billion figure is realistic.
“The new investment law is absolutely critical to facilitating more FDI, but it remains to be seen whether it will lead to the huge increase and quantum of capital required,” a financier based in the Gulf told CNBC, speaking anonymously due to professional restrictions.
Solomon echoed the sentiment, pointing out that higher spending on major projects will require higher breakeven oil prices for the Saudi budget.
“It remains to be seen whether the PIF’s domestic investments will deliver the anticipated returns, especially in a region full of instability and oil-dependent budgets facing prolonged periods of low oil prices,” he said.
Still, the new law will “improve local business conditions to attract investment from abroad,” James Swanston, Middle East and North Africa economist at Capital Economics, wrote in a recent report.
Investors have long complained that murky and often ad-hoc rules deterred greater involvement with the Saudi economy. The new law will make foreign investors’ rights and duties uniform with those of citizens, introduce a simplified registration process to replace license requirements, and ease the judicial process, among other things, according to the Saudi government.
“We’ve argued for a long time that so-called ‘wasta’ (loosely translated as ‘who you know’) has been a major deterrent to foreign companies establishing themselves in Saudi,” Swanston wrote.
Spurring greater foreign buy-in “should also ease the burden that has recently been placed on the Public Investment Fund to offset the weaker foreign investment into the Kingdom,” he added.
No more ‘dumb money’
The turn toward greater scrutiny and domestic priorities is not exactly new — rather, it’s picked up more speed each year.
While many overseas firms have long seen the Gulf as a source of “dumb money,” some local investment managers said — referring to the stereotype of oil-rich sheikhdoms throwing cash at whoever wants it — investment from the region has become much more sophisticated, employing deeper due diligence and being more selective than in past years.
“Before it was much easier to come and say, ‘I’m a fund manager from San Francisco, please give me a couple million’,” Marc Nassim, partner and managing director at Dubai-based investment bank Awad Capital, told CNBC in 2023.
“I think that a very small minority of them will be able to take money from the region — they are much more selective than before.”
If the kingdom’s priority was not clear to foreign investors before, it is now, the Gulf-based financier who declined to be named said.
“PIF has been focused on co-opting investment into Saudi for last several years,” he said. “It took a while for bankers to fully appreciate the scope and scale of the pivot. It’s rightly all about transforming the economy.”
Priority Bicycles just pulled the wraps off its most advanced electric bike yet, and it’s got some serious hardware under the hood – or rather, in the bottom bracket. Say hello to the absurdly high-end for a direct-to-consumer (D2C) e-bike, the Priority Skyline.
The newly launched Skyline combines the company’s signature low-maintenance design philosophy with one of the most sophisticated drivetrains in the bike world: a Pinion C1.12i Smart.Shift gearbox, paired with a Gates Carbon Drive belt and 750W torque-sensing rear hub motor.
And if you’re thinking that sounds like a US $6,000+ setup, you wouldn’t be wrong. That Pinion gearbox alone probably costs half the price of the bike or more when sold as a standalone unit. But somehow, Priority has managed to bundle it all together, even including integrated lighting, hydraulic disc brakes, a 720Wh battery, throttle, front suspension, and commuter-ready accessories. And all of that for just $3,999 (or $3,699 with a limited-time launch discount).
And referencing a $6,000 figure makes sense when you look at other brands. High-end German e-bikes like Stadtfuchs and Waldwiesel.E that also use this drivetrain cost between $5,600 to $6,500, to put things in perspective. Are they the same thing? Of course not. Don’t be insulting. Those bikes are half as fast and with a third the power of the Skyline.
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But none of this should really come as a surprise. This combination of bike-shop-level quality and direct-to-consumer pricing is classic Priority, a company that continues to carve out its own niche in the e-bike world (as well as the pedal bike world, for those with more stamina than I).
While most D2C brands cut corners on components to hit budget price points, Priority has built a reputation around spec’ing top-shelf parts like belt drives and internally geared hubs, and delivering them at prices that feel like they snuck past a spreadsheet somewhere.
But this time, they’ve outdone themselves.
A drivetrain you’d expect on a high-dollar Euro e-bike
At the heart of the Skyline is that Pinion C1.12i Smart.Shift system. If you’re not familiar, think of it like a car transmission for your bike. The sealed gearbox sits at the crank, offering 12 electronically actuated gears across a massive 600% gear range. It of course lets you shift at a standstill, while coasting, or even under load, but there’s so much more to it than that.
What really sets it apart is the automatic shifting technology. With Pinion’s Pre-Select feature, you set your ideal cadence and the bike handles the rest, changing gears between pedal strokes to keep you spinning at your sweet spot. No more gear mashing or hunting for the right sprocket. There’s even a Start-Select mode that resets your gear when you come to a stop, so you’re always ready to accelerate smoothly when the light turns green. And it’s doing all this behind the scenes without you ever knowing it.
Plus, since it’s paired with a Gates Carbon Belt Drive, the whole system runs whisper-quiet, grease-free, and nearly maintenance-free. This is the same tech you’ll find on expensive European trekking bikes, but here it’s part of a package that’s priced like a mid-tier commuter. Except that this bike is anything but mid-tier.
Real power, real-world rideability
Backing up the drivetrain is a 750W rear hub motor with both torque-sensing pedal assist and a thumb throttle for when you just want to cruise. The system delivers smooth, intuitive acceleration up to 28 mph for full class 3 performance, with impressive responsiveness thanks to the torque sensor and the gearbox’s finely spaced ratios.
The hub motor might sound like a strange choice for a higher end e-bike, but they’re becoming more common as higher end motor makers create attractive models for bike companies to choose from. These types of sophisticated gearboxes like Pinion’s take up the typical mid-drive motor’s place in the bottom bracket, leaving a rear hub motor as the best option. You pay for it in extra rear weight, but you make up for it in the pleasurable ride feel that the drivetrain provides.
And the Skyline isn’t just about power, it’s about control. That means hydraulic disc brakes with motor cutoff, wide 650x50c Maxxis tires, and a suspension fork with 80 mm of travel to soak up potholes, curbs, and unexpected detours.
Battery range should be solid too, thanks to a 720Wh downtube-integrated battery, giving the bike a clean, streamlined look while offering ample juice for long commutes or weekend rides.
And yes, all the commuter-ready features are here: full fenders, an integrated rear rack, integrated 500-lumen front light, brake-sensing rear light, and a comfortable sport saddle.
While this certainly isn’t a trail-oriented bike, it should be able to handle moderate trekking duties and gravel trails while still holding a strong position as an everyday commuter e-bike. And while the throttle is obviously there to support the North American need for one, a bike with this kind of beautiful transmission technology should really have its throttle tapped sparingly. The pedal assist on this thing is going to feel so good that I can see the throttle going neglected most of the time.
The Priority Skyline is available now for pre-order, with shipping expected soon. And if you’re even remotely interested, that $300 launch discount runs through August 18, so now’s probably the time to stop gawking and start clicking.
Electrek’s Take
Priority is a fascinating company in the e-bike space. Unlike some of the flashier D2C brands chasing viral hits, they’ve quietly built a loyal following by obsessing over the rider experience, particularly for folks who want a bike that just works, without the mess or hassle of traditional drivetrains. Low-maintenance is their fetish and they don’t do anything else.
I bought my first Priority e-bike back in 2020 and I’ve ridden several models since. I’ve become a huge fan of the brand simply because I haven’t found another company that does high-quality at reasonable prices better than them. Of course $3,699 isn’t low-cost, but it’s very low for what you’re getting with the Skyline. And Priority has solid e-bikes for as low as $1,799 as well, if going this far up-shelf isn’t in the stars.
But the Skyline is their new top-end electric bike and it feels like the culmination of everything they’ve been working toward: clean design, incredible components, real-world performance, and a price that makes you wonder how they pulled it off. Previously, Lectric eBikes was the only brand that could get Pinion gear on an e-bike and make it affordable, yet they only went with the 6-speed, not to mention cut a few other corners. Don’t get me wrong, the Lectric One is an incredible bike, but the Skyline is a full-size, multi-terrain commuter with a true torque sensor, more battery, and higher-end parts.
Is it heavy? Sure. A whopping 68 pounds is a lot. And the total color options of… one, well that’s not exactly tickling my creativity bone. But hey, it comes in three sizes and just how many SKUs can you stock at this price? And the fact that this e-bike has an automatic electronic 12-speed Pinion gearbox, a Gates belt, plus a throttle-enabled and torque-sensing 750W motor – all for under $4K – is borderline absurd. It’s the kind of thing you’d expect from a boutique European brand with a much higher price tag, not from a US company selling direct to consumers.
Priority says the Skyline is meant to “blur the line between rider and bike,” and after looking at the spec sheet, I believe them. This is more than a commuter, it’s a serious piece of gear for anyone who values seamless performance, low maintenance, and a joy-to-ride experience.
I’ll be reviewing this model soon and despite my expectations being sky high, I’m pretty darn sure Priority is going to be there like they always are.
Until I’m back with a review article and video on my experience with the bike, let’s hear what you think of the Skyline. Sound off in the comments section below!
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FILE PHOTO: Crude oil tanker Nevskiy Prospect, owned by Russia’s leading tanker group Sovcomflot, transits the Bosphorus in Istanbul, Turkey September 6, 2020.
Yoruk Isik | Reuters
The oil market is shrugging off President Donald Trump‘s threats to impose heavy tariffs on countries that buy Russian energy exports.
Trump has given Russia until Friday to agree to a ceasefire in Ukraine. If Moscow does not comply, the U.S. will impose 100% “secondary tariffs” on countries that buy Russian exports, the president has said. This would in theory force countries to choose between buying Russian oil or trading with the U.S.
India, China and Turkey are the most exposed as the three biggest importers of Russian oil. Trump on Wednesday targeted India with a 25% tariff for buying Russian crude, a much lower rate than the 100% penalty he originally threatened. Oil prices closed 1% lower as traders seem to believe the president is bluffing and the tariff won’t really go into effect.
“Given the price response to the news, it would appear that current threats are considered a negotiation tactic by Trump and little more,” Matt Smith, an oil analyst at Kpler, told CNBC.
India is Russia’s biggest oil customer, importing about 1.7 million barrels per day, according to Kpler data. If Trump follows through on the tariff, oil prices would jump because barrels that Russia exports to India cannot be easily rerouted to other destinations, Smith said. Moscow would have to shut in some production, which would take supply out of the global market, he said.
But the market senses right now that Trump is going to back down, said Bob McNally, president of Rapidan Energy. The additional tariff against India does not go into effect for 21 days, providing time for the countries to reach an agreement.
“Traders believe that there will be a deal, that it really won’t go into effect,” McNally told CNBC. “And if it did, India would probably just pay the tariffs and keep importing Russian oil,” he said of traders’ thinking.
The Trump administration has not always backed up its words with actions when it comes to energy sanctions, said Helima Croft, head of global commodity strategy at RBC Capital Markets, in a note to clients. Iran’s oil exports, for example, remain elevated despite declarations from the White House that it is imposing a maximum pressure campaign, Croft said.
“Our base case is that Russia will resist making serious concessions, believing that President Trump will blink at imposing measures that could push energy prices materially higher and that the White House’s newfound support for Ukraine will dissipate,” Croft told clients in the July 30 note.
Steep tariffs on Russian oil buyers would jeopardize Trump’s push to reduce energy prices. The president said last month that he wants U.S. crude prices to fall below $64 per barrel. In an interview with CNBC Tuesday, the president said low oil prices would force Russia to end its war in Ukraine.
“If you sanction hard enough that Russia can’t sell its oil, prices at the pump will soar — that’s just the barrel math,” McNally said.
Trump seemed to acknowledge Wednesday that there would not be ceasefire by his deadline. He said his special envoy Steve Witkoff “had a highly productive meeting with Russian President Vladimir Putin.”
“Everyone agrees this War must come to a close, and we will work towards that in the days and weeks to come,” Trump said in a post on Truth Social.
Trump and Putin have agreed in principle to meet in the coming days, according to the Kremlin. If Putin refuses to make concessions, Trump will likely continue down the road of energy sanctions, McNally said. This includes targeting big importers of Russian oil, namely China.
“He will have to go gingerly because of the blowback risk in terms of higher oil prices,” McNally said. “He has to do so in a way that isn’t counterproductive and that’s a tricky problem to solve.”
Northvolt’s facilities are about to get a second life in Europe, thanks to a San Jose, California-based lithium-sulfur battery maker: Lyten announced today that it’s acquiring all of Northvolt’s remaining assets in Sweden and Germany.
That includes three major facilities: Northvolt Ett and its planned expansion in Skellefteå, Sweden; Northvolt Labs in Västerås, Sweden; and Northvolt Drei in Heide, Germany. Lyten is also taking over all of Northvolt’s remaining intellectual property and says several Northvolt execs will be joining the team.
Lyten hasn’t shared the financial details, but the scope is huge. The deal gives Lyten control of over $5 billion worth of manufacturing assets, including 16 gigawatt-hours (GWh) of existing battery production capacity and another 15+ GWh under construction. The company says the sites have room to grow to more than 100 GWh and also include what it calls the most advanced battery R&D center in Europe.
“This is a defining moment for Lyten,” said CEO and co-founder Dan Cook. “Demand for Lyten lithium-sulfur batteries is growing exponentially to meet energy independence, national security, and AI data center needs.”
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This isn’t Lyten’s first Northvolt pickup. Last November, it acquired Northvolt’s Cuberg battery plant in California. In early July, it announced plans to acquire Northvolt Dwa, a massive battery energy storage system (BESS) facility in Poland. And late last month, it picked up Northvolt’s BESS product and IP portfolio.
Lyten says it plans to bring Skellefteå and Västerås back online as soon as the deal closes. It’s also aiming to restart the Poland site immediately to keep up with demand from more than 20 countries for its battery storage systems.
The company is also in talks to acquire Northvolt Six, which is building a new 15 GWh battery factory in Quebec, and says it’s working with Canadian officials to make that happen.
Lyten chairman and co-founder Lars Herlitz framed the deal as a win for energy independence on both sides of the Atlantic:
The combination of Northvolt’s world-class manufacturing assets and low-cost clean energy, Lyten’s world-leading lithium-sulfur battery technology, and Lyten’s abundant US battery materials supply chain creates the right formula to fulfill Europe and North America’s battery manufacturing ambitions.
Lyten already makes lithium-sulfur batteries in Silicon Valley and sells them into the drone and defense markets. It’s preparing to send batteries to the International Space Station and is working with its investor, Stellantis, on EV applications.
The latest acquisition is being funded through private equity investment. Lyten expects the deal to close by the end of the year, pending regulatory approvals in Sweden and Germany.
Once thought of as Europe’s best shot at homegrown EVs and the makers of “the world’s greenest battery,” Northvolt filed for bankruptcy protection in the US in November 2024, and then filed for bankruptcy in Sweden in March 2025.
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