A framework contract worth 120 million yuan has officially landed in the Saudi Arabian market in the Middle East. China Telecom Zhejiang Tongfu's subsidiary Saudi Arabia has completed an important contract, breaking the previous market pattern of subcontracting participation. After seven years of deep cultivation and accumulation of subordinate localization service strength, relying on a local team of thousands of people, China's communication service strength has officially participated deeply in the wave of digital construction in Saudi Arabia.

Market protagonist TAWAL

TAWAL is a leading telecommunications tower operator in Saudi Arabia, controlled by the Saudi sovereign wealth fund PIF, supporting the digital transformation of Saudi Arabia's 2030 vision and undertaking the majority of domestic telecommunications tower operations and 5G construction work. In recent years, the company has accelerated its expansion. In June 2026, it completed $1.42 billion in Islamic financing for overseas asset acquisitions. In July, it negotiated the acquisition of over 10000 communication towers, and in August, it signed a contract to acquire local data center operator Center3. It is growing from a local tower operator to a regional digital infrastructure giant.

Seven year accumulation breakthrough

The cooperation between China Telecom and TAWAL began in 2019. At the end of 2018, TAWAL was established, and China Telecom Saudi Arabia became one of the first shortlisted contractors. After seven years of deep cultivation, the enterprise has upgraded from a subcontracting service provider to an EPC general contracting partner. A localized professional team of over 1400 people has been established locally, with integrated service capabilities such as consulting, design, engineering construction, network maintenance, and full chain EPC implementation capabilities for communication infrastructure, completing the transition from shortlisting to general contracting.

New opportunities in the overseas race track

This signing is the first EPC general contracting project of its kind for China Telecom Saudi Arabia, representing the shift of domestic communication service enterprises from subcontracting to full chain general contracting delivery. The Saudi digital infrastructure market places greater emphasis on full process delivery capabilities, with localized teams paired with complete industry chain services becoming a key competitive factor. Docking with PIF system enterprises also opens up a national level project channel for Chinese funded enterprises in Saudi Arabia. With the expansion of the local digital map, more cooperation opportunities will be released in the field of 5G data center smart cities. Keywords: Saudi Digital Infrastructure, Tower EPC

This 120 million yuan framework contract will be provided by China Telecom for site planning, tower installation, civil engineering, and power system full chain solutions. As Saudi Arabia advances its economic transformation, Chinese communication service companies are steadily moving from ordinary participants to the main force of industrial construction in the Middle East market.Editor/Min Jing