The U.S. Department of Defense said in a release that Lockheed Martin was awarded an almost $1.5 billion modification to an earlier contract to supply Terminal High Altitude Area Defense Interceptor support items for Saudi Arabia.
The Terminal High Altitude Area Defense system, developed by Lockheed Martin, is designed to hit-to-kill intercept both short- and medium-range ballistic missiles in terminal or descent phase. It is interoperable with Raytheon’s Patriot missile defense system, already fielded by Saudi Arabia.
The State Department approved a $15 billion THAAD sale to Saudi Arabia in October 2017, which it said at the time would support the long-term security of Saudi Arabia and the Gulf region “in the face of Iranian and other regional threats.”
The potential sale includes 360 THAAD Interceptor Missiles, 16 THAAD Fire Control and Communications Mobile Tactical Station Group and seven Raytheon AN/TPY-2 THAAD radars.
The US State Department first cleared a Saudi THAAD deal, estimated at a cost of $15 billion, in 2017, covering the procurement of 44 launchers and 360 missiles. However, according to Janes, the sites for the weapon system are not expected to be completed for at least another two years.
THAAD has been designed to counter short-, medium—and long-range ballistic missiles. According to the British Royal United Services Institute defense think tank, the United Arab Emirates previously used it in the Middle East to intercept Houthi militants’ Zulfiqar ballistic missiles.
The company published a statement which said these awards support the project approvals announced by the General Authority for Military Industries (GAMI) during the 2022 World Defense Show to localize the manufacture of THAAD interceptor canister and THAAD Missile Round Pallet in Saudi Arabia.
A key condition of the THAAD procurement is the localization of work in the Kingdom, which aligns with the priorities outlined in Saudi Vision 2030, to develop and localize military industries in Saudi Arabia said the statement.
The UAE already has more diversified missile defenses than its western neighbor. In addition to THAADs and Patriots, Abu Dhabi possesses Russian medium-range Pantsir-S1s and Israeli Barak systems. It was also the first foreign customer for the KM-SAM, ordering it in January 2022.
Saudi Arabia’s years-long campaign against the Houthis saw the kingdom come under fire from increasingly longer-range and sophisticated ballistic missiles. As a result, its Patriot interceptor missiles had run critically low by early 2022.
Once it receives its THAAD and KM-SAMs, Saudi Arabia will possess three capable anti-ballistic systems instead of one from two suppliers rather than one. In addition to shoring up its defense industry, this marks a significant step towards reducing its dependency on any one supplier in case Riyadh finds itself in another war with an adversary capable of putting a considerable strain on its air defenses. Furthermore, subcontracts like the one to build THAAD components and similar deals with South Korea will enhance its defense industry and make it less dependent on outside sources for spare parts and technical support.
Choosing South Korea as a secondary supplier of air defenses was also smart.
However, similar interoperability issues and Washington’s eternal concern about Chinese espionage aimed at gauging capabilities and potential weaknesses in high-end Western systems may similarly dissuade Riyadh from opting for that system.
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