MODON signs SAR 4.26 bn deals to localize military industries

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GHADA.ISMAIL
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Feb 12, 2026
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Riyadh – Sharikat Mubasher: The Saudi Authority for Industrial Cities and Technology Zones (MODON) announced signing a series of agreements to localize military industries, with total investments exceeding SAR 4.26 billion and covering more than 4 million square meters, during its participation in the World Defense Show 2026 in Riyadh.

MODON said in a press release that the agreements support the objectives of the National Industrial Strategy and strengthen the integration of supply chains within Saudi Arabia’s military manufacturing ecosystem. The partnerships align with Vision 2030 goals to localize more than 50% of military spending by 2030 through the development of an integrated industrial environment that meets global standards, facilitates knowledge transfer, and boosts local content.

The agreements include a strategic deal with SAMI Defense Systems Company, valued at up to SAR 4 billion and spanning more than 4 million square meters, marking one of the largest defense industrial projects within Saudi industrial cities and a key pillar for localizing military manufacturing.

Additional agreements were signed with Beta Technologies in Hail to produce drones with investments of SAR 71 million, United Defense in Qassim to manufacture aerial and aerospace vehicles with investments of SAR 70, and SCOPA Military Industries in Al Kharj to manufacture and equip military and security vehicles, further reinforcing domestic defense manufacturing capabilities.


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