The World Defense Show is an international defense industry exhibition, organized for the second time by Saudi Arabia from Feb. 8-12, 2024. The event — intended to confirm the growing capabilities of the Saudi defense industry – did not entirely achieve its goals. But Riyadh undoubtedly has the potential to at least partially fulfill one aim of its Vision 2030 strategy by reducing dependence on arms imports.
The brainchild of Crown Prince Mohammed bin Salman, the de facto ruler of the country, Vision 2030 seeks to reduce Saudi reliance on exporting fossil fuels by diversifying the economy. Saudi Arabia also aspires to rise from its current position as the 19th largest economy in the world to the top 15.
One component of the strategy is to develop indigenous manufacturing of weapons. The fifth-largest military spender in the world in 2022, according to the Stockholm International Peace Research Institute, the Saudis were expected to spend nearly $70 billion on arms in 2023. From 2018-2022, Saudi Arabia was the world’s second-largest arms importer, buying 78% of its purchases from the U.S., which accounted for 19% of U.S. arms exports.
Increasing domestic manufacturing is intended to build the Saudis’ own industrial base and reduce the risk associated with purchasing arms from other countries, which have a history of tying sales to other issues. For instance, for some time now, Germany has been blocking the sale of roughly 200 Leopard 2A7 tanks to Saudi Arabia, citing human rights concerns and the Saudi-led war in Yemen.
The Saudis also face challenges in acquiring an additional 48 Eurofighter Typhoon combat aircraft. Only when Riyadh approached France regarding the possible purchase of Rafale jets, did Germany reportedly drop its blockade. The Joe Biden administration for two years restricted arms exports to Saudi Arabia until there was a tentative cease-fire in the war with Yemen. Establishing its own arms industry would allow Saudi Arabia to enhance its security in an unstable and unpredictable region.
Riyadh has also been inspired by its neighbor, the United Arab Emirates, which in 2000 established a defense conglomerate called EDGE, which has gained significant market share. In an attempt to replicate the UAE’s success, the Saudis formed SAMI (Saudi Arabian Military Industries) in 2017 and plan to direct up to 50% of government defense spending to domestic facilities by 2030. By then, these facilities are supposed to achieve technological and industrial self-sufficiency. SAMI is projected to become one of the world’s top 25 companies in this sector. According to official data, the level of “Saudization” in the defense industry has already reached 15%.
So far, however, the successes of the Saudi defense industry are modest. Many products displayed at the World Defense Show 2024 and labeled as “Saudi Made” were actually foreign technologies assembled in Saudi Arabia. SAMI presented the HAZEM CMS (Combat Management System), a result of collaboration with the Spanish company Navantia. It is currently being integrated on 104-meter Spanish-made Avante 2200 corvettes, which will join the Saudi fleet. Additionally, the Saudis showcased the ROAYA remotely operated weapon station designed for light vehicles, armored vehicles, and drones.
Saudi Arabia plans to produce aircraft structures, electronic systems, and ground equipment. Final assembly of various systems is also intended to take place on Saudi soil, as well as integration and testing of systems, including sensors. Saudi companies are expected to acquire capabilities in ammunition production and to establish local Maintenance, Repair, and Operations facilities to support equipment used by the Saudi security establishment, including the Saudi Arabian Armed Forces and the Royal Saudi National Guard. Moreover, Riyadh aims to train local engineers, who are an indispensable part of such an ambitious vision. In order to achieve this goal, the General Authority for Military Industries (GAMI) established the National Academy of Military Industries in 2022. It can accommodate up to 2,000 students.
Saudi ambitions are actively supported by numerous foreign companies that have been among its longtime suppliers, including Lockheed Martin, Boeing, Thales, ST Engineering, Airbus Helicopters, and Safran. Dozens of Turkish exhibitors also took part in the World Defense Show 2024. Thanks to Saudi-Turkish cooperation, SAMI will participate in the production and assembly of Baykar’s Akinci MALE class UAVs. Riyadh aims for more than 70% of production to be carried out in Saudi Arabia. The first unmanned aerial vehicle is expected to be delivered to the Royal Saudi Air Force by 2026. This is the result of a strategic partnership Riyadh entered into with Ankara in August 2022. These UAVs will be used also by the Royal Saudi Navy.
The Turks have sold other technology to the Saudis. Haboob is a Saudi unmanned aerial vehicle based on the Turkish Vestel Karayet-SU system, which first took flight in 2014. Originally produced by the Turkish firm Lentatek, the UAV has been built in Saudi Arabia since 2020. Riyadh has also developed an armed version – a drone with a wingspan of 10.5 meters and the capability to carry up to 30 kilograms of weaponry, including Turkish MAM-L, MAM-C lightweight bombs, 70mm Cirit rockets, or laser-guided Tübitak Sage’s Bozok missiles. The drone can also be equipped with a 50-kilogram optoelectronic payload. These drones are not only in service in Saudi Arabia but have been used in past attacks on Houthi militia positions in Yemen.
In August 2023, Saudi Arabia and Turkey signed a new agreement under which a drone designed in Saudi Arabia is to be manufactured in Turkey, the first time Saudi-developed technology would be employed outside the country’s borders. The initiative is being led by Intra Defense Technologies. Production in Turkey of the ASEF-I small VTOL (Vertical Take-Off and Landing) drone will be managed by ESEN, associated with the American Sierra Nevada Corporation.
It remains to be seen whether Saudi Arabia can achieve its ambitious goal of spending 50 percent of its arms budget domestically. Establishing its own technological, engineering, and production capabilities will be extremely challenging, especially considering Saudi Arabia’s lack of experience. The nature of the defense industry itself is another obstacle. While the construction of skyscrapers, highways, or stadiums can be entrusted to foreign workers and engineers, foreigners generally do not have access to the highly sensitive defense sector.
This does not mean that Saudi efforts are doomed to fall short. While Saudi Arabia may not be able to develop complex weapon systems such as combat aircraft or tanks, it may be capable of designing and producing drones, light arms, ammunition, and armored vehicles. It also has the financial and intellectual capacity to establish an efficient base for Maintenance, Repair, and Operations.
Turkey can be seen as a model for Saudi Arabia. Three decades ago, it was not thought of in a defense industry context. Today, Turkish arms companies are among the largest and most active players in the Middle East.
Robert Czulda is an assistant professor at the University of Lodz, Poland, and a former visiting professor at Islamic Azad University in Iran, the University of Maryland, and National Cheng-chi University in Taiwan. He is the author of Iran 1925 – 2014: From Reza Shah to Rouhani (2014) and Iran’s Security Policy: Internal and International Dimensions (2022). Follow him on Twitter: @RobertCzulda
Saudi Goals of Developing an Indigenous Arms Industry are Ambitious
By Robert Czulda
Middle East & North Africa
The World Defense Show is an international defense industry exhibition, organized for the second time by Saudi Arabia from Feb. 8-12, 2024. The event — intended to confirm the growing capabilities of the Saudi defense industry – did not entirely achieve its goals. But Riyadh undoubtedly has the potential to at least partially fulfill one aim of its Vision 2030 strategy by reducing dependence on arms imports.
The brainchild of Crown Prince Mohammed bin Salman, the de facto ruler of the country, Vision 2030 seeks to reduce Saudi reliance on exporting fossil fuels by diversifying the economy. Saudi Arabia also aspires to rise from its current position as the 19th largest economy in the world to the top 15.
One component of the strategy is to develop indigenous manufacturing of weapons. The fifth-largest military spender in the world in 2022, according to the Stockholm International Peace Research Institute, the Saudis were expected to spend nearly $70 billion on arms in 2023. From 2018-2022, Saudi Arabia was the world’s second-largest arms importer, buying 78% of its purchases from the U.S., which accounted for 19% of U.S. arms exports.
Increasing domestic manufacturing is intended to build the Saudis’ own industrial base and reduce the risk associated with purchasing arms from other countries, which have a history of tying sales to other issues. For instance, for some time now, Germany has been blocking the sale of roughly 200 Leopard 2A7 tanks to Saudi Arabia, citing human rights concerns and the Saudi-led war in Yemen.
The Saudis also face challenges in acquiring an additional 48 Eurofighter Typhoon combat aircraft. Only when Riyadh approached France regarding the possible purchase of Rafale jets, did Germany reportedly drop its blockade. The Joe Biden administration for two years restricted arms exports to Saudi Arabia until there was a tentative cease-fire in the war with Yemen. Establishing its own arms industry would allow Saudi Arabia to enhance its security in an unstable and unpredictable region.
Riyadh has also been inspired by its neighbor, the United Arab Emirates, which in 2000 established a defense conglomerate called EDGE, which has gained significant market share. In an attempt to replicate the UAE’s success, the Saudis formed SAMI (Saudi Arabian Military Industries) in 2017 and plan to direct up to 50% of government defense spending to domestic facilities by 2030. By then, these facilities are supposed to achieve technological and industrial self-sufficiency. SAMI is projected to become one of the world’s top 25 companies in this sector. According to official data, the level of “Saudization” in the defense industry has already reached 15%.
So far, however, the successes of the Saudi defense industry are modest. Many products displayed at the World Defense Show 2024 and labeled as “Saudi Made” were actually foreign technologies assembled in Saudi Arabia. SAMI presented the HAZEM CMS (Combat Management System), a result of collaboration with the Spanish company Navantia. It is currently being integrated on 104-meter Spanish-made Avante 2200 corvettes, which will join the Saudi fleet. Additionally, the Saudis showcased the ROAYA remotely operated weapon station designed for light vehicles, armored vehicles, and drones.
Saudi Arabia plans to produce aircraft structures, electronic systems, and ground equipment. Final assembly of various systems is also intended to take place on Saudi soil, as well as integration and testing of systems, including sensors. Saudi companies are expected to acquire capabilities in ammunition production and to establish local Maintenance, Repair, and Operations facilities to support equipment used by the Saudi security establishment, including the Saudi Arabian Armed Forces and the Royal Saudi National Guard. Moreover, Riyadh aims to train local engineers, who are an indispensable part of such an ambitious vision. In order to achieve this goal, the General Authority for Military Industries (GAMI) established the National Academy of Military Industries in 2022. It can accommodate up to 2,000 students.
Saudi ambitions are actively supported by numerous foreign companies that have been among its longtime suppliers, including Lockheed Martin, Boeing, Thales, ST Engineering, Airbus Helicopters, and Safran. Dozens of Turkish exhibitors also took part in the World Defense Show 2024. Thanks to Saudi-Turkish cooperation, SAMI will participate in the production and assembly of Baykar’s Akinci MALE class UAVs. Riyadh aims for more than 70% of production to be carried out in Saudi Arabia. The first unmanned aerial vehicle is expected to be delivered to the Royal Saudi Air Force by 2026. This is the result of a strategic partnership Riyadh entered into with Ankara in August 2022. These UAVs will be used also by the Royal Saudi Navy.
The Turks have sold other technology to the Saudis. Haboob is a Saudi unmanned aerial vehicle based on the Turkish Vestel Karayet-SU system, which first took flight in 2014. Originally produced by the Turkish firm Lentatek, the UAV has been built in Saudi Arabia since 2020. Riyadh has also developed an armed version – a drone with a wingspan of 10.5 meters and the capability to carry up to 30 kilograms of weaponry, including Turkish MAM-L, MAM-C lightweight bombs, 70mm Cirit rockets, or laser-guided Tübitak Sage’s Bozok missiles. The drone can also be equipped with a 50-kilogram optoelectronic payload. These drones are not only in service in Saudi Arabia but have been used in past attacks on Houthi militia positions in Yemen.
In August 2023, Saudi Arabia and Turkey signed a new agreement under which a drone designed in Saudi Arabia is to be manufactured in Turkey, the first time Saudi-developed technology would be employed outside the country’s borders. The initiative is being led by Intra Defense Technologies. Production in Turkey of the ASEF-I small VTOL (Vertical Take-Off and Landing) drone will be managed by ESEN, associated with the American Sierra Nevada Corporation.
It remains to be seen whether Saudi Arabia can achieve its ambitious goal of spending 50 percent of its arms budget domestically. Establishing its own technological, engineering, and production capabilities will be extremely challenging, especially considering Saudi Arabia’s lack of experience. The nature of the defense industry itself is another obstacle. While the construction of skyscrapers, highways, or stadiums can be entrusted to foreign workers and engineers, foreigners generally do not have access to the highly sensitive defense sector.
This does not mean that Saudi efforts are doomed to fall short. While Saudi Arabia may not be able to develop complex weapon systems such as combat aircraft or tanks, it may be capable of designing and producing drones, light arms, ammunition, and armored vehicles. It also has the financial and intellectual capacity to establish an efficient base for Maintenance, Repair, and Operations.
Turkey can be seen as a model for Saudi Arabia. Three decades ago, it was not thought of in a defense industry context. Today, Turkish arms companies are among the largest and most active players in the Middle East.
Robert Czulda is an assistant professor at the University of Lodz, Poland, and a former visiting professor at Islamic Azad University in Iran, the University of Maryland, and National Cheng-chi University in Taiwan. He is the author of Iran 1925 – 2014: From Reza Shah to Rouhani (2014) and Iran’s Security Policy: Internal and International Dimensions (2022). Follow him on Twitter: @RobertCzulda
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