U.S. greenlights precision-guided weapons sale to Saudi Arabia.

The US approved a new arms deal with Saudi Arabia, reinforcing military cooperation as the kingdom's defense spending continues to rise.

March 27, 2025 - The US State Department has authorized the sale of precision-guided weapon systems to Saudi Arabia, as confirmed by the Pentagon, marking the latest arms deal between the US and Saudi Arabia under President Donald Trump.

In July, the State Department also approved a separate agreement valued at approximately $2.8 billion, involving the provision of logistics systems, joint planning programs, and equipment related to American-made aircraft for Saudi Arabia.

At that time, the State Department stated in a memorandum to the Defense Security Cooperation Agency that the deal would enhance Saudi Arabia’s military capabilities both presently and in the future. It also emphasized the support and training provided to the Royal Saudi Air Force, particularly for platforms such as C-130 transport aircraft, E-3 surveillance planes, and Bell helicopters.

Saudi Arabia Among the World’s Leading Military Spenders

Meanwhile, Saudi Arabia’s General Authority for Military Industries (GAMI) reported that the kingdom’s military spending has grown at an annual rate of 4.5 percent since 1960, reaching $75.8 billion in 2024. This makes Saudi Arabia the fifth-largest military spender globally and the highest in the Arab world.

The authority also announced that Saudi Arabia’s defense budget for 2025 is projected at $78 billion, representing 21 percent of total government expenditures and 7.1 percent of the nation’s GDP. The kingdom’s defense spending accounts for 3.1 percent of global military expenditures, which total $2.44 trillion.