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The total value of agreements signed between Boeing Co. and Saudi Arabia during US President Donald Trump’s visit to the Kingdom last month crossed $50 billion, a company executive told Argaam.
The military and commercial deals will support Saudi Arabia’s plan to localize military equipment spending and create “high-skilled aerospace” jobs, both in Kingdom and the US, Charlie Miller, vice-president of international corporate communications at Boeing, said in an e-mailed response.
The US-based aerospace company had signed agreements including the potential sale of Chinook helicopters and associated support services, guidance weapon systems, P-8 maritime reconnaissance aircraft, and a deal to negotiate the sale of 16 wide-bodied airplanes to SaudiGulf Airlines.
“This will help to provide job opportunities as well as expand the aviation infrastructure in Saudi Arabia,” Miller said about the potential sale to SaudiGulf, adding that the expansion of the fleet will also help position Dammam as a major entry hub for the Kingdom.
Miller said the types of aircraft, or the number per type, for the SaudiGulf deal has not been defined as yet.
The company, which holds a platinum rating under the Nitaqat Saudization program, is also working to expand its contribution Vision 2030 reform program.
“In September 2014, Boeing and King Abdulaziz City for Science and Technology launched the Decision Support Center… The facility uses local Saudi capabilities and is staffed primarily by Saudi nationals,” he said.
More recently, Boeing signed a joint-venture agreement with Saudia Aerospace Engineering Industries and Alsalam Aerospace Industries to create the Saudi Rotorcraft Support Company in Saudi Arabia.
The joint venture will have locations in Riyadh and Jeddah and will provide comprehensive, in-country maintenance repair and overhaul support for Saudi Arabia’s diverse rotorcraft fleet, Miller said.
“The joint venture will support the Kingdom’s commercial and defense rotorcraft platforms, including the Boeing-built AH-64 Apache, H-47 Chinook and AH-6i,” he added.
Also, the conversion of F-15S fighter jets to the F-15SA models will be done by Alsalam in Saudi Arabia, Miller said.
“Saudi has already begun developing less complex industries such as spare parts, armored vehicles and basic ammunition (as part of Vision 2030),” Miller said.
The Kingdom will expand this initiative to higher values and more complex equipment, he added.
Write to Nadeshda Zareen at Nadeshda.zareen@argaamplus.com
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