Saudi Arabia Railways (SAR) has inked a contract with Al Jabr Automotiveto transport thousands of cars annually via freight trains, according to a statement. Under the terms of the four year agreement, SAR will transport the vehicles from King AbdulAziz Port in Dammam to a storage and distribution yard that is also situated in Dammam, Saudi Press Agency (SPA) reported.

The “first of its kind” agreement comes with a slew of benefits: The arrangement is the first in the Kingdom to present a framework for the transportation of automobiles via rail, SPA said. It comes in a bid to boost operational efficiency, slash costs, curb damage to cars incurred during transport and handling, ease truck congestion at Dammam’s King AbdulAziz Port, promote road safety, and curb carbon emissions. By taking thousands of truck trips off the country’s roads, the agreement contributes towards meeting Saudi Arabia’s sustainability goals, SPA said.

What they said: The agreement represents a milestone for SAR in terms of its expansion to new market segments and the rolling out of new services, SAR CEO Bashar bin Khaled Al Malik said in statements cited by SPA.

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