AIC Steel: A Model in Saudi Arabia’s Manufacturing Landscape

In a pivotal move towards achieving the ambitious goals of Vision 2030, Saudi Arabia has witnessed the realization of a significant manufacturing localization project, marking a transformative milestone in the nation’s industrial capabilities. Spearheaded by the General Authority of Military Industries (GAMI), this groundbreaking initiative aimed to localize 50% of military spending within the Kingdom, fostering self-sufficiency and improving economic resilience. AIC Steel, a Saudi company, whose partnership with global aerospace giant Lockheed Martin under the strategic guidance of GAMI has yielded remarkable results.

Through localization, AIC Steel has established capability to produce military ground defense systems.  The significance of this achievement extends far beyond the defense industry, with AIC Steel’s newfound manufacturing capabilities poised to catalyze innovation across diverse sectors. By leveraging technology and expertise transferred from Lockheed Martin , AIC Steel has introduced unprecedented manufacturing standards and processes, setting a benchmark for excellence in Saudi Arabia’s industrial landscape. This serves as a catalyst for economic diversification and skill development, laying the foundation for a robust and sustainable industrial ecosystem.

AIC Steel’s had the opportunity to showcase its capabilities on a global stage at the 2024 World Defense Show, where the company proudly unveiled the first-ever Saudi-built Missile Round Pallet Transporter (MRPT) for the world to see.

As Saudi Arabia continues its march towards economic diversification and self-sufficiency outlined in Vision 2030, AIC Steel remains committed to replicating its success story. With an eye towards the future, AIC Steel is poised to leverage its experience, expertise, and newfound capabilities to embark on further localization projects. The company aims to collaborate with other local and international partners to expand its portfolio of precision manufacturing capabilities, contributing to the Kingdom’s industrial transformation and positioning Saudi Arabia as a global leader in advanced manufacturing.

In essence, this success highlights the transformative power of collaboration, innovation, and strategic vision in driving localized manufacturing initiatives. As Saudi Arabia advances towards the goals outlined in Vision 2030, the model established by GAMI, AIC Steel and Lockheed Martin serves as a blueprint for future localization projects, underlining the importance of technology transfer, mentorship, and the government’s institutional support in driving sustainable industrial development. With localization projects like these paving the way for a brighter future, the Kingdom stands poised to realize its full potential as a global leader in industrial excellence and innovation.

Project Manager at AIC Steel, Mahmoud Khatib had the following to say regarding their recent accomplishment “Manufacturing of the first ever Saudi-built MRP-T and displaying at the World Defense Show was a great achievement for the country. Our success clearly demonstrates the positive impact of all the government initiatives put in place in recent years to support local industry. We will continue to grow and expand our manufacturing capabilities in order to be a center of excellence for defense manufacturing regionally and globally.”

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