Saudi Arabia Replaces India as Largest Defense Market
Saudi Arabia has replaced India as the largest defense market, according to “Global Defense Trade Report,” a study from U.S. IHS Inc. Already the largest importer of weapons, Saudi Arabian imports increased by 54% between 2013 and 2014 and, based on planned deliveries, imports will increase by 52% to $9.8 billion in 2015. One out of every $7 spent on defense imports in 2015 will be spent by Saudi Arabia.
In 2014, global defense trade increased for the sixth straight year to $64.4 billion, up from $56.8 billion. “Defense trade rose by a landmark 13.4% over the past year,” said Ben Moores, senior defense analyst. “This record figure has been driven by unparalleled demand from the emerging economies for military aircraft and an escalation of regional tensions in the Middle East and Asia-Pacific. When we look at the likely export addressable opportunities at a global level for the defense industry, five of the 10 leading countries are from the Middle East. The Middle East is the biggest regional market, and there are $110 billion in opportunities in coming the decade.”