The Saudi Arabian Military Industry (SAMI), which is wholly owned by the Saudi Public Investment Fund (PIF), announced on Saturday that it would sign a joint venture with Airbus in the field of military aviation. Establishment of the French FIGEAC AÉRO Group and the Saudi Arabian Industrial Investment Company (Dusur) and “Sami Vijak Aero Manufacturing LLC”. With the aim of creating a high precision manufacturing facility for the manufacture of aerostructure parts in Saudi Arabia.

Announced during the joint venture Saudi-French Investment Forum The agreement was signed by Walid bin Abdul Majeed Abu Khalid, CEO of the Saudi Arabian Military Industries, following a visit by French President Emmanuel Macron to Saudi Arabia. And CEO of Vigiac Aero and Dr. Raed bin Nasser Al Rayes, Chairman and Managing Director of the Saudi Arabian Industrial Investment Corporation (Dusur).

The joint venture aims to train Saudi engineers and technicians to serve as part of the project, promote localization of the military and civil aviation industries to suit the Kingdom, and seek to enhance the Kingdom’s capabilities in the manufacture of aircraft structures. Vision 2030. Primary products focus on the production and processing of light alloys (aluminum) and steel (titanium) for aircraft components.

Ahmed bin Akhil Al-Qadif, Chairman of SAMI’s Board of Directors, said: Aims to accelerate the localization of technologies.Quality jobs for Saudi youth, in line with the objectives of the Kingdom Vision 2030.

Waleed bin Abdul Majeed Abu Khalid, CEO of SAMI, said: “The launch of this joint venture is an important step in our journey to support the aviation and aerospace system in Saudi Arabia through a strategic global partnership. Identify opportunities for transformation, thereby enhancing local content and creating unique opportunities in the field of manufacturing commercial and military aircraft structures.

For his part, Claude Mayard, President and CEO of Vigiac Aerogen, said: “In light of the current situation and short-term vision, the completion of this partnership will create a real opportunity for Vijayak Aero and further enable us to reach the markets of the Middle East, ours at Sami Vijayak Aero Manufacturing LLC Despite the small stake, the Saudi company’s future investments will be supported by a firm team of banking partners at the local and state levels, and we will play. KSA plays a key role in laying the foundation for the future of the aviation industry. “

Dr. Rat bin Nasser Al Rays, Chief Executive Officer of the Saudi Arabian Industrial Investment Corporation (Tuzur), said: “This joint venture is in line with Tuzur’s efforts to promote strategic businesses in the Kingdom of Saudi Arabia, as well as to stimulate its future growth. It will also help localize the production of structural components. “

The joint venture was completed following the signing of an agreement during the Paris Air Show in 2019, after its establishment received all necessary regulatory approvals from the Saudi General Authority for the competition, which issued a no-objection certificate on completion. Economic integration between the three companies. The joint venture was successful in gaining the approval of five other regions, including the European Union. The shares in the new company will be distributed as a minority partner between Vigiac Aero and Sami Dussur Aeronautical Systems LLC, a joint venture between SAMI and Dussur.

The 10-year plan will involve a series of large investments, most of which will be funded by local financial institutions, including the launch of a new manufacturing unit at the AACC site in Jetta. Four advanced five-axis computer number control (CNC) machines and ancillary equipment are currently scheduled for production by the end of this year.

The first phase aims to expand the facility, which is scheduled to be completed by 2024 with a total investment of $ 50 million (approximately 187.5 million riyals), including equipment, infrastructure, training programs and certifications. This level aims to generate US $ 10 million (approximately 3.75 million riyals) in revenue by the end of 2024. Provided to Sami Vijak Aero Manufacturing LLC. The 14 unit is equipped with advanced equipment and employs more than 60 people.

It is noteworthy that the joint venture “Sami Vigiac Aero Manufacturing” was established through a service agreement worth approximately $ 40 million (equivalent to about 150 million riyals), according to which Aero Vigiac Group will provide “Sami Vigiac Aero Manufacturing LLC.” Industrial and technical support and related industry knowledge. Complete package for modification. In addition, the three allies will work with Saudi officials and the legislature to identify and exploit localization opportunities in the trade and military sectors.