RIYADH: Saudi Arabia is on track to localize the manufacturing of the Terminal High Altitude Area Defense system thanks to two new contracts awarded by Lockheed Martin.
The US aerospace firm has granted the deals to the Kingdom’s industrial sector in an attempt to secure a second source for the manufacture of specific parts in the THAAD initiative.
This move falls in line with an agreement to localize manufacturing between Saudi Arabia and Lockheed Martin.
It follows from the approvals of projects announced by the General Authority for Military Industries during the World Defense Show in 2022 to localize the manufacturing of THAAD interceptor missile containers and their launch platforms in Saudi Arabia.
Lockheed Martin said in a statement that a key condition of the THAAD procurement is the localization of work in the Kingdom, which, it added, aligns with the priorities outlined in Saudi Vision 2030 to develop and localize military industries.
The deal was signed on the sidelines of the World Defense Show 2024 currently underway in Riyadh.
CEO of Lockheed Martin in Saudi Arabia and Africa Joseph Rank described the new deal as “a significant milestone,” adding that his company’s localization initiatives in the Kingdom are advancing.
“Our mission is to help improve regional security while supporting job creation and economic prosperity, and we’re very proud to be working with our partners in the Kingdom to localize defense systems and contribute to the country’s development goals under Saudi Vision 2030,” Rank said.
In addition, the main terms of the THAAD defense system procurement contracts stipulate the localization of work in the Kingdom, in line with Saudi Vision 2030’s priorities to develop and localize its military industries.
The contracts were given to the Middle East Propulsion Co., headquartered in Riyadh, as well as the Arabian International Co. for Steel Structures, headquartered in Jeddah.
Several Saudi industry partners also have contracts supporting these efforts and endeavors.
The Kingdom is set to benefit from these strategies through qualitative international defense partnerships with Lockheed Martin and other major manufacturers of innovative equipment, which will benefit all parties involved.
In May 2022, Lockheed Martin and the Kingdom’s King Abdulaziz City for Science and Technology signed a far-reaching research and development deal to advance space technologies.
The agreement, aimed at boosting innovation and the space and digital economy, was inked at the time on the sidelines of an official visit to America by a high-level delegation from the Kingdom.
The accord was projected to contribute to increased cooperation between the two countries in the space technology sector and develop Saudi workforce skills in line with the Vision 2030 reform plan.
