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India Saudi Arabia explore joint ventures in defence sector

Context:  India-Saudi Arabia aims to boost indigenous defence industries under their respective initiatives—Saudi Arabia’s Vision 2030 and India’s Make in India.

Relevance: GS 2 (International Relations)

  • Strengthening Defence Cooperation: India and Saudi Arabia are increasingly focusing on defence industrial cooperation. Both countries are seeking to establish joint ventures and collaborations, particularly in technology sharing.
  • Saudi Arabias Vision 2030: Saudi Arabia aims to localise 50% of its defence spending under Vision 2030, and India’s Make in India initiative aligns with this goal, providing numerous investment opportunities in India’s defence sector.
  • Technological Collaboration: Saudi Arabia is keen to collaborate in areas like shipbuildingelectronicsartificial intelligence, and cybersecurity. Saudi defence companies are interested in forming partnerships with India in these critical sectors.
  • Localisation of Defence Production: Both countries, historically major importers of defence equipment, are now focused on localising production. India has made significant progress in this area, and it is willing to share these technologies with trusted allies like Saudi Arabia.
  • Growing India-Saudi Arabia Ties: Defence and security have become central to the India-Saudi Arabia relationship over the past decade. There have been highlevel visits and strong cooperation in various areas, reflecting the growing trust between the two nations.
  • Saudi Arabia’s Shift: Saudi Arabia is transitioning from being a defence consumer to a defence producer, with an emphasis on developing its own capabilities under Vision b.

December 2024
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