Saudi Arabia DefenseCompanies (2024 - 2029)

Saudi Arabia Defense Market Companies Summary

The defense market in Saudi Arabia is largely dominated by foreign entities, particularly those hailing from the United States. These corporations have been instrumental in the growth and development of the country's defense sector, with several joint venture agreements signed to establish local military industries. The high defense spending in the country, fueled by a robust economy and high GDP, has made the market attractive for both local and international players. These companies have been involved in modernizing the military, supplying new fighter jets, surface combatants, and armored vehicles, as well as enhancing focus on C4ISR and cybersecurity solutions. However, in recent years, the government has been making efforts to develop its own indigenous defense manufacturing capabilities. The government's aim is to ensure that publicly held defense manufacturers account for a significant portion of its defense revenue share by the end of this decade. In line with this, a joint venture has been set up with a major US firm to enhance the country's defense and manufacturing capabilities and localize military industries. This venture is projected to develop capabilities in manufacturing and software technologies, systems integration, and the production, maintenance, and repair of various military equipment. Such initiatives may decrease the market share of foreign companies in the country during the forecast period.