Saudi Firms Join Forces to Manufacture Components for Lockheed’s THAAD Defense System
U.S. defense manufacturer Lockheed Martin has finalized agreements with Saudi Arabian firms to produce components of its Terminal High Altitude Area Defense (THAAD) system, the corporation announced on Monday.
These sub-agreements will bolster production capabilities within Saudi Arabia and facilitate knowledge transfer to fortify the nation’s defense sector, Lockheed stated in an announcement.
The state-owned Saudi Arabian Military Industries (SAMI) inked 11 agreements during the Saudi defense exhibition in Riyadh, as reported by the nation’s state news outlet.
The contracts arise amid escalating tensions in the region, with some shipping firms halting transit along the significant Red Sea route to circumvent potential attacks by Yemen’s Iran-aligned Houthi faction.
The Houthis have unleashed a series of explosive drones and missiles aimed at vessels since November, in retaliation to Israel’s military actions in Gaza.
The Biden administration continues to endorse the provision of a Terminal High Altitude Area Defense (THAAD) system to the Saudis, a measure initially approved in 2017 to address ballistic missile dangers.
Key collaborators in Lockheed Martin’s arrangement, set to receive sub-contracts, include Middle East Propulsion Company (MEPC) and Arabian International Company (AIC) for Steel, the company affirmed in a statement.
In an additional agreement, Boeing Saudi Arabia and Bahri Logistics, a division of the country’s national shipping entity, have entered into a strategic Memorandum of Understanding (MoU) aimed at enhancing supply chain operations within the nation and improving Bahri’s backing for services and defense-related offerings.
