Saudi Arabia launches BAE Systems Arabian Industries to boost local manufacturing
The company results from the merger of two major players in the defense ecosystem — BAE Systems Saudi Development and Training, which focuses on capability building, and the Saudi Maintenance and Supply Chain Management Co., a provider of supply chain and technical services, the Saudi Press Agency reported.
The move marks further progress in the Kingdom's push to expand its defense capabilities, with localization of military spending rising to 19.35 percent in 2024, up from just 4 percent in 2018. The Kingdom aims to surpass 50 percent by 2030, in line with Vision 2030's goal of a self-sufficient defense sector.
Ahmad Abdulaziz Al-Ohali, governor of the General Authority for Military Industries, inaugurated BAE Systems Arabian Industries at an official ceremony held at the company's new headquarters in Riyadh, attended by several officials and defense industry leaders.
In a post on his X handle, the governor said: 'This will enhance local content and open up broad horizons for national and international companies to contribute to building a solid and sustainable military-industrial system, with the goal of enhancing local content in terms of human and technical cadres.'
The merger was finalized nearly four months ago to consolidate operational strengths and leverage over three decades of experience in defense training, capability development, and logistics.
'He pointed out that the integration of national and global expertise within this unified entity reflects the confidence of major companies in the attractive investment environment provided by the authority in cooperation with its partners in both the public and private sectors,' the SPA report stated.
Al-Ohali noted that the initiative would play a key role in transferring knowledge and building national expertise, supporting the Kingdom's goal of localizing over 50 percent of military spending by 2030.
He reaffirmed the authority's support for initiatives that boost local content and create opportunities for both national and international companies to help build a strong and sustainable military-industrial sector.
In a LinkedIn post, Abdulatif Al-Shaikh, the new company's CEO said: 'We are guided by a clear vision to be the leading Saudi company in the defense sector by supporting and developing capabilities within the Kingdom and across the region, in alignment with Vision 2030.'
In another development, Saudi Arabia recently completed production of its first locally manufactured components for the Terminal High Altitude Area Defense, or THAAD system launcher in Jeddah.
This follows localization agreements signed during the 2024 World Defense Show and reflects increasing technical collaboration with global defense firms such as Lockheed Martin.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Arab News
31 minutes ago
- Arab News
The Destination: Saudi reforms through the lens of a documentary
RIYADH: Saudi Arabia's transformation toward its Vision 2030 goals has been documented in a new film by the Ministry of Media. Launched by the ministry's Konoz initiative, 'The Destination' highlights the progress made in the political, economic, medical, sporting, cultural, media and artistic fields. Mirroring the film's title, Saudi Arabia has become a global destination for investment, tourism, and much more. (Supplied) Its title reflects the Kingdom's path toward becoming a global destination for tourism and investment. Konoz CEO Abdullah Al-Ahmari credited megaprojects and upcoming events such as the AFC Asian Cup 2027, Expo Riyadh 2030 and FIFA World Cup 2034. 'The Destination' includes interviews with key figures from various fields as well as testimonies, quotes and historical records. It is part of a series of films produced by Konoz in cooperation with almost 90 organizations and more than 2,600 individuals. 'The Konoz initiative aims to document the Kingdom's achievements through creative productions,' he said, describing the country as a 'model admired by the world.' The film reflected the progress being made on the ground and highlighted the initiative's focus on Saudi talent in shaping the Kingdom's future, he said. 'The Destination' includes interviews with key figures from various fields as well as testimonies, quotes and historical records. It is part of a series of films produced by Konoz in cooperation with almost 90 organizations and more than 2,600 individuals. The Konoz initiative is part of the Human Capacity Development Program under Vision 2030. Its goal is to promote Saudi Arabian culture around the world by highlighting the contributions and success stories of its citizens.
Argaam
an hour ago
- Argaam
Sport Clubs offers 6.86M shares at SAR 7.5 to retail investors
Sport Clubs Co. launched a retail offering of 6.86 million shares on the Main Market (TASI) today, on July 8, pricing the shares at SAR 7.5 each, as set through the book-building process. The retail subscription period will be open for one day only. The shares allocated to individual subscribers represent 20% of the total shares on offer. For More IPOs In March, the Capital Market Authority (CMA) approved the company's application to list and offer 34.32 million shares on TASI. The offer represents 33% of Sport Clubs' pre-IPO capital of SAR 104 million, divided into 104 million shares with a par value of SAR 1 each. Post-IPO, the offering will account for 30% of the company's enlarged capital following the issuance of new shares. The institutional tranche closed last week, with the offering covered approximately 44.1 times the total number of shares on offer. Sport Clubs will be the seventh company to list on TASI this year, following the IPOs of Derayah Financial on Feb. 20, Arabian Company for Agricultural & Industrial Investments (Entaj) on Feb. 26, Umm Al Qura for Development and Construction Co. (Masar) on May 5, United Carton Industries Co. (UCIC) on May 12, Flynas Co. on May 28, and Specialized Medical Co. (SMC) on June 15. Tadawul witnessed 14 IPOs last year, following listings by Middle East Pharmaceutical Industries Co. (Avalon Pharma) on Jan. 30, Modern Mills for Food Products Co. on March 5, Miahona Co. and Dr. Soliman Abdulkader Fakeeh Hospital Co. (Fakeeh Care) on May 21, Saudi Manpower Solutions Co. (SMASCO) on May 26, Al Taiseer Group Talco Industrial Co. (TALCO) on May 28, Rasan Information Technology Co. on May 29, Almajed for Oud Co. on Sept. 15, Arabian Mills Co. on Sept. 18, Fourth Milling Co. (MC4) on Oct. 2, Tamkeen Human Resources Co. on Nov. 5, United International Holding Co. on Nov. 19, Almoosa Health Co. on Dec. 23, and Nice One Co. on Dec. 24.
Argaam
an hour ago
- Argaam
Al Jouf Cement CEO Abdulkarim Al Nuhayer resigns; Qais Balas named Managing Director
Al Jouf Cement Co. 's board of directors accepted the resignation of CEO Abdulkarim Al Nuhayer during a meeting on July 7, the company said in a statement on Tadawul. The resignation will take effect at the end of Al Nuhayer's contract on Aug. 21, following his decision not to renew. The board also approved the appointment of Qais Balas as Managing Director, effective immediately, through the end of the current board term on Aug. 5, 2027. Balas brings more than 25 years of leadership experience. He previously served as CEO of Manaseer Cement, one of Jordan's largest industrial groups. He also held senior roles, including CFO at GMS Holdings, senior internal auditor at Fastlink, and director of investments and business development at Hikma Pharmaceuticals, a London-listed company, where he demonstrated strong expertise in global markets.
