US-Saudi investment presents opportunities for global contractors

KSA-based construction disputes expert Rena L. Scott of Pinsent Masons said: “The forum’s emphasis on ‘US to KSA’ technology transfer compliments Vision 2030’s commitment to in-Kingdom value creation and reinforces the need for delivery partners who can balance international expertise with local engagement and capacity building.”

At this week’s US-Saudi Investment Forum in Riyadh, the two governments confirmed an investment package of $600 billion – with the possibility of further commitments to be agreed raising the sum to $1 trillion – spanning defence, energy, infrastructure, and advanced technologies. Most significantly, the package incorporates a $142 billion defence agreement, including the potential for KSA to acquire US military hardware such as THAAD missile systems, C-130J aircraft, Patriot batteries, and MQ-9B SeaGuardian drones. Discussions are underway regarding KSA interest in Lockheed Martin’s F-35 stealth fighter jets, which, if approved, would mark a strategic leap in the country’s air power capabilities.

The agreement lays the groundwork for extensive cross-border supply and infrastructure partnerships between the US and KSA. It includes the $14.2bn export of gas turbines and energy solutions to KSA by US power equipment maker GE Vernova, and the purchase of $4.8bn worth of Boeing 737-8 aircraft for AviLease, an aircraft leasing firm owned by KSA’s sovereign wealth fund.

The deal also includes a landmark AI hardware partnership between NVIDIA and HUMAIN, Saudi Arabia’s newly created company responsible for driving AI innovation across KSA. This incorporates the delivery of 18,000 Blackwell GPUs and the construction of 500 MW AI factories in Saudi Arabia; and a $10bn agreement between AMD and HUMAIN to deploy a sovereign AI cloud infrastructure using advanced CPUs and GPUs, positioning Saudi Arabia as a regional AI superpower.

US president Donald Trump, addressing the event, emphasised the strategic importance of the relationship between the two countries.

“We celebrate more than 80 years of close partnership between the US and the Kingdom of Saudi Arabia,” he said. “Ever since President Franklin Roosevelt met King Salman's father, King Abdulaziz, aboard the USS Quincy in 1945, the US-Saudi relationship has been a bedrock of security and prosperity.”

King Salman echoed these sentiments in his own address to the forum, articulating a forward-looking agenda anchored in Vision 2030 – a bold reform programme to diversify Saudi Arabia’s economy, reduce oil dependence, and unlock new sectors including tourism, clean energy, and defence manufacturing.

“For companies active in the AI, defence and aerospace sectors, and related manufacturing and technology, the forum is a generational opportunity for growth,” said Scott. “And as Saudi Arabia continues its efforts to localise manufacturing and defence operations, companies with regional expertise will be especially well positioned to capitalise.”