Saudi Arabian Military Industries (SAMI) and Boeing recently signed a Memorandum of Agreement (MoA) to develop a new joint venture (JV) aiming to localize more than 55% of the MRO services for fixed and rotary-wing military aircraft in Saudi Arabia.
The agreement will also transfer technology to install weaponry on these aircraft as well as localize the supply chain for spare parts in the Kingdom.
The signing ceremony came in conjunction with HRH Prince Mohammed bin Salman’s visit to Seattle, which included an official visit and tour of Boeing’s aircraft manufacturing facilities. The agreement was signed by H.E. Ahmed Al-Khateeb, Chairman of SAMI, and Dennis Muilenburg, Chairman, President and CEO of Boeing, at Boeing’s commercial manufacturing facility in Everett, Washington.
The joint venture agreement will provide sustainment services for fixed- and rotary-wing military aircraft of the KSA military fleet and will be the sole provider of these services for all military aviation platforms of the KSA military fleet, strengthening the Kingdom’s defence capabilities and enhancing its deterrent potential.
The MoA will further solidify the relationship between Boeing and Saudi Arabia and result in the development of local research, design, engineering, manufacturing and MRO abilities. The JV will improve performance and growth, upgrade readiness of and increase confidence in the Saudi military fleet, while enhancing maintenance capabilities and reducing support costs throughout the fleet’s life. In addition, the agreement will create 6,000 jobs and training opportunities for Saudi youth.
