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Saudi Arabian Military Industries (SAMI) signed an agreement with Airbus to form a joint venture (JV) specialized in military aviation services and maintenance, repair and overhaul capabilities, SAMI said in a statement today, Dec. 4.
The announcement was made during the Saudi-French Investment Forum held on the sidelines of the visit of French President Emmanuel Macron to Saudi Arabia.
The JV will be headquartered in Riyadh, with some presence in Prince Sultan Air Base, Al-Kharj. The new project is expected to launch operations in the first quarter of 2022, on condition of obtaining the necessary regulatory approvals.
SAMI will own 51% of the joint venture, while the European planemaker will hold the remaining 49%.
The JV will play a pivotal role in the development of local military industries sector, in order to achieve self-sufficiency of the Saudi defense system, create job opportunities for national cadres and push economic development, in line with Vision 2030.
The project will initially use a wide spectrum of Airbus fixed-wing military planes, including A330 MRTT, C-295 and other platforms.
It will contribute to improving logistics services, supporting supply chains, enhancing local designs and capabilities and reducing dependence on external engineering support, the statement added.
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