An evolution of Chinese and Soviet tanks, the design is considerably smaller and lighter than the most Western main battle tanks. It is based on the Chinese Type 90-II, which combined technologies from several Soviet and Western tanks.
The Al-Khalid is unusual in that it was designed to be adaptable for manufacture, so that it can be easily integrated with a variety of foreign engines and transmissions. The current production variant of the Al-Khalid use a diesel engine and transmission supplied by the KMDB design bureau of Ukraine.