Saudi Arabian Defense Industry Report 2018 - Market Attractiveness, Competitive Landscape and Forecasts to 2023 - ResearchAndMarkets.com
DUBLIN--(BUSINESS WIRE)--Aug 27, 2018--The “Future of the Saudi Arabian Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2023” report has been added to ResearchAndMarkets.com’s offering.
“Future of the Saudi Arabian Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2023”, provides readers with detailed analysis of both historic and forecast defense industry values, factors influencing demand, the challenges faced by industry participants, analysis of industry leading companies, and key news.
Saudi Arabia is one of the largest defense spenders in the world, behind the US, China, and Russia, with a military budget valued at US$56 billion in 2018. The country is the largest market in the Middle East due to its robust economic and financial position, backed by its oil exports. The rising tension with Iran, aggressive procurement strategies, and modernization programs, along with the need to strengthen its indigenous defense industry, are the main factors boosting the country’s military expenditure.
Saudi Arabia was forced to cut back on defense spending in order to rationalize public expenditure and during 2015 the country’s defense spending declined by -29.6%. Although the country was expected to cut back on defense expenditure for 2016 and 2017, there were no cuts in spending, and during 2016 and 2017 Saudi defense and security expenditure cumulatively amounted to US$81.6 billion.
On the same time, Homeland security is an area that has gained prominence in Saudi Arabia over the last decade, with expenditure expected to increase 8 to US$41.7 billion in 2023 at a CAGR of 8.47%. After the Arab Spring revolution in the Middle Eastern and the North African (MENA) region, and minor protests in Riyadh, the country is expected to increase expenditure to enhance security measures. The spread of the extremist group, ISIS, in neighboring Syria coupled with the Houthi rebellion in adjoining Yemen, has forced Saudi Arabia to invest in securing its borders. As such, Saudi Arabia is investing in high technology border fencing along its boundaries with Iraq and Yemen.
As Saudi Arabia plans to source as much as 50% of its defense equipment from domestic defense companies in future and, in May 2017, the Saudi Arabian Public Investment Fund (PIF) decided to create a national defense industry company - Saudi Arabian Military Industries (SAMI) to cater to its domestic defense requirements. Many major defense companies, such as BAE Systems, EADS, General Dynamics, Thales, SAIC, and Northrop Grumman, have entered the Saudi Arabian defense market by forming alliances and joint ventures with domestic companies.
Key Topics Covered:
2. Executive Summary
3. Market Attractiveness and Emerging Opportunities
4. Defense Procurement Market Dynamics
5. Industry Dynamics
6. Market Entry Strategy
7. Competitive Landscape and Strategic Insights
8. Business Environment and Country Risk
Companies MentionedBAE Systems Plc Airbus Group General Dynamics Corporation Lockheed Martin Science Applications International Corporation (SAIC) Sikorsky Aircraft Corporation Thales SA Boeing Northrop Grumman Corporation Advanced Electronics Company (AEC) Al Salam Aircraft Company
For more information about this report visit https://www.researchandmarkets.com/research/vxjwm8/saudi_arabian?w=4
View source version on businesswire.com:https://www.businesswire.com/news/home/20180827005370/en/
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Related Topics:Military Aerospace and Defense
KEYWORD: SAUDI ARABIA MIDDLE EAST
INDUSTRY KEYWORD: MANUFACTURING AEROSPACE DEFENSE OTHER DEFENSE
SOURCE: Research and Markets
Copyright Business Wire 2018.
PUB: 08/27/2018 10:29 AM/DISC: 08/27/2018 10:29 AM