The Saudi Arabian Military Industries Company (SAMI) and Naval Group, a French naval defence company, have entered into a memorandum of agreement (MoA) to create a joint venture company in Saudi Arabia’s naval defence domain.

 

Signed on the sidelines of the International Defense Exhibition and Conference (IDEX) 2019 in Abu Dhabi, the MoA sets out the framework for the establishment of this joint venture that will further strengthen Saudi Arabia’s efforts focused on localising essential industrial skills and capabilities, said a Saudi Press Agency report.

 

The joint venture company will be at the helm of naval programmes for the Royal Saudi Naval Forces and will support its existing and future requirements for state-of-the-art systems, including full life-cycle support of these systems.

 

Dr Andreas Schwer, CEO of Sami, said: “Our joint venture agreement with Naval Group laid the foundation of a strategic partnership that will reinforce Sami’s commitment to helping Saudi Arabia develop self-sufficient defence capabilities. The collaboration offers us an excellent opportunity to leverage Naval Group’s strong track-record of helping its partners develop sovereign defense capabilities to create an integrated military industries ecosystem in the kingdom.”

 

Dr Schwer added: “Through design, construction, and maintenance activities, the joint venture will contribute significantly to further enhancing the capabilities and readiness of our Royal Saudi Naval Forces.”

 

Building on the longstanding partnership between Saudi Arabia and Naval Group, the joint venture aims to play a key role in helping achieve the objectives of the kingdom's Vision 2030 by maximising local content and creating highly skilled jobs for Saudis, the report added.