Important Factors of Defense Manufacturing

by David J. Marketing Manager

Shrinking budgets and downsized militaries. These are the two major factors of challenging defense environment. In such a harsh environment, it is surprising to see that UAE – a modernizing state with much weaker industrial capacities and scientific knowledge – is on a path to success where other developed states have failed and are currently dropping out. Yet with carefully articulated objectives, modest expectations, smart approaches, and cooperation with Abu Dhabi can navigate some of the complexities of military industrialization and overcome some of its challenges. Innovated technologies such as unmanned and communication systems have challenged the existing defense manufacturing.

For UAE, creating modern military industries which might compete in the international defense market promote a set of foreign and domestic policy interest. UAE seeks to develop its defense manufacturing capabilities to address different internal and external national security threats, reducing their political reliance on U.S and other influential powers which dominate the global defense marketplace.

UAE is getting serious about making robust, highly technological defense manufacturing businesses, mainly driven by the desire to break free from economic dependence on oil. UAE is expected to have a high degree of in-house defense and aerospace manufacturing industry. UAE also possess a high degree of international defense original equipment manufacturers (OMEs) in the country.

At the International Defense Exhibition and Conference (IDEX) which will be held on 16^th Feb 2019, Gulf countries will make a push for ingenious manufacturing. The country is looking to develop a knowledge-based economy. It implies that developing high-tech defense manufacturing capabilities in the country will help break free from oil dependence and develop skilled “Emirati Nationals”. UAE’s NIMR Automotive has made several announcements over the course of previous IDEX that it would build a variety of vehicles in its new Ajban, Abu Dhabi facility. It is one of the largest military vehicle manufacturing plant in the Middle East and North Africa.

UAE’s defense manufacturing sector has been growing over the last years with equipment being sold not just in UAE but across the Middle East and North African region (MENA). For instance, rifles, snipers and pistols made by Caracal are being exported and sold in different markets in MENA and in Europe. While particular businesses are on board and adjusting, it's still stimulating for the Gulf region to reinforce indigenous defense manufacturing while still getting the best foreign equipment money can buy. Defense industrialization in UAE is an expected consequence of the country’s goal to sustain its expanding local status as well as its efforts over the years to revolutionize its society and expand its economies.