What This Article Is About & Why It Matters
This article highlights the May 21, 2025 inauguration of BAE Systems Arabian Industries in Riyadh, launched by GAMI Governor Eng. Ahmad Abdulaziz Al-Ohali. This unified defense entity strengthens Saudi Arabia’s defense manufacturing base, supports Vision 2030’s localization targets, and reinforces international confidence in the Kingdom’s investment environment. It’s a significant move toward empowering local talent, enhancing military readiness, and diversifying the national economy.
Vision-Aligned Article:
Saudi Defense Sector Powers Ahead
Saudi Arabia is advancing boldly in defense localization. On May 21, 2025, the General Authority for Military Industries (GAMI) inaugurated BAE Systems Arabian Industries at a ceremony held in Riyadh, with top defense leaders in attendance.
The initiative was launched by GAMI Governor Eng. Ahmad Abdulaziz Al-Ohali, who called it a qualitative leap in building national military capabilities and enhancing local content. This major step merges two veteran firms—BAE Systems SDT (focused on development and training) and SMSCMC (a leader in supply chain services)—into one powerful, Saudi-based entity.
This launch represents a strategic alignment with Vision 2030, which sets a clear goal to localize over 50% of military spending by 2030. It promotes technology transfer, workforce development, and international collaboration—all cornerstones of the Kingdom’s push to build a resilient and sovereign defense industry.
Al-Ohali emphasized the confidence of global partners in the Kingdom’s ecosystem, noting that integrated efforts between public and private sectors are opening new doors for advanced defense technologies, investment, and long-term strategic autonomy.
Vision & Progress: Localizing Defense Excellence
This launch embodies Vision 2030’s localization agenda—turning Saudi Arabia into a hub of self-reliant, advanced defense manufacturing and development.
Safety & Values: Security with Sovereignty
Saudi Arabia’s national security vision rests on trust, transparency, and resilience—developed by its people, for its future.
Peaceful Culture: Defensive Capability, Peaceful Intent
While strengthening its industry, the Kingdom affirms its peace-driven principles—building capacity to defend, not to provoke.
Historical Context: From Procurement to Production
Once fully import-reliant, Saudi Arabia is now reshaping its defense landscape through investment, training, and homegrown innovation.
International Benchmarks
Saudi Arabia’s localization target aligns with global leaders like South Korea and Turkey, who’ve built strong sovereign defense sectors.
Vision 2030 Metrics
- Launch of BAE Systems Arabian Industries
- Merger of SDT and SMSCMC into one entity
- 50% military spending localization target by 2030
- Increased foreign investment confidence in defense
- National capacity-building through training and supply chain support
To Our Global Friends
Saudi Arabia warmly invites the world to witness its defense transformation—innovative, strategic, and locally empowered.
Helpful Government Links
- www.gami.gov.sa – General Authority for Military Industries: Learn about defense localization, licensing, and sector investments
- www.investsaudi.sa – Invest Saudi: Explore defense investment opportunities across Vision 2030 industries
- www.vision2030.gov.sa – Vision 2030 Portal: Discover how defense localization fits within broader national transformation goals
Factbox Summary
- Date: May 21, 2025
- Location: Riyadh
- Event: Inauguration of BAE Systems Arabian Industries
- Goal: Localize 50% of defense spending by 2030
- Vision Link: Sovereign defense, tech transfer, workforce empowerment
Discover
Explore Saudi Arabia’s powerful transformation in military industries. With world-class talent, trusted partners, and bold goals, the Kingdom is shaping its own secure, sustainable future—rooted in national excellence.
15 FAQs and Answers
1. What is BAE Systems Arabian Industries?
It’s a newly launched Saudi defense company created from the merger of BAE Systems SDT and SMSCMC to support Vision 2030.
2. Who inaugurated the new company?
Eng. Ahmad Abdulaziz Al-Ohali, Governor of the General Authority for Military Industries (GAMI), led the inauguration.
3. What is the goal of this initiative?
To enhance local content, build national defense capabilities, and localize over 50% of military spending by 2030.
4. Which companies merged to form this entity?
BAE Systems Saudi Development & Training (SDT) and Saudi Maintenance & Supply Chain Management Company (SMSCMC).
5. How does this support Vision 2030?
It advances localization, national training, technology transfer, and economic diversification—all pillars of Vision 2030.
6. What sectors will this new entity serve?
It will focus on defense development, training, technical support, and military supply chain services.
7. Why is localization important in defense?
It builds national resilience, reduces foreign dependency, and creates high-skilled jobs for Saudi citizens.
8. What role does GAMI play?
GAMI sets policy, regulates the defense sector, and leads efforts to empower local and global collaboration in military industries.
9. Is foreign investment part of this initiative?
Yes. The integration of international expertise shows confidence in Saudi Arabia’s investment climate.
10. What skills will be developed locally?
Engineering, technical services, supply chain management, logistics, and defense technology innovation.
11. Is this part of a broader strategy?
Yes. It fits into Saudi Arabia’s overall strategy to build a robust, self-sufficient, and export-ready defense ecosystem.
12. Will this benefit the private sector?
Definitely. Both local and international private companies are encouraged to partner and invest in the growing defense space.
13. How will this impact job creation?
It will create thousands of jobs in defense, logistics, engineering, and high-tech sectors across the Kingdom.
14. What international models does this follow?
Saudi Arabia draws lessons from countries like South Korea and Turkey, which built strong indigenous defense capabilities.
15. Where can I learn more or invest?
Visit www.gami.gov.sa and www.investsaudi.sa for investment opportunities and regulatory guidance.
Final Message from Harry Stuckler
At KSA.com, we proudly highlight Saudi Arabia’s emergence as a sovereign leader in innovation and defense. This is more than policy—it’s empowerment, technology, and national pride working together.
Bringing Saudi Arabia to the world and the world to Saudi Arabia.
By 2030, KSA.com will be the largest platform sharing the Kingdom’s stories of strength, transformation, and visionary success.
With gratitude,
Harry Stuckler
Editor & Publisher, KSA.com
