Saudi Government inaugurates aviation industrial city in a 1.2 million sq. m area within MODON Oasis in Jeddah.
JEDDAH, Saudi Arabia — Saudi Arabia has inaugurated its first industrial city dedicated to aircraft manufacturing and maintenance in Jeddah, marking a significant advancement in the Kingdom’s aviation sector. The announcement was made during the Aviation Industry Forum, held on 24-25 February 2025, under the patronage of Minister of Industry and Mineral Resources, Bandar Alkhorayef.
The newly established aviation industrial city spans 1.2 million square meters within the MODON Oasis in Jeddah. Developed in collaboration with the Ministry of Industry and Mineral Resources, the General Authority of Civil Aviation (GACA), and the Saudi Authority for Industrial Cities and Technology Zones (MODON), the project aims to localize advanced aviation technologies and strengthen the sector’s supply chains.
Strategically positioned near King Abdulaziz International Airport and Jeddah Islamic Port, the industrial city offers an attractive investment landscape for aerospace manufacturing. The site features ready-built factories of varying sizes, designed to accommodate companies in the aviation sector and drive the localization of this vital industry.
Image source: Saudi-Expatriates.com
During the forum, the Ministry issued new industrial licenses for aircraft maintenance, repair, and overhaul (MRO) services. These licenses, granted in collaboration with GACA and the General Authority for Military Industries (GAMI), cover various activities, including aircraft and drone maintenance, navigational and electronic systems servicing, and comprehensive aircraft overhaul operations.
The first MRO license was awarded to Middle East Propulsion Company (MEPC), with a subsequent license granted to Saudia Aerospace Engineering Industries (SAEI). These approvals signify a substantial step in Saudi Arabia’s efforts to enhance its aviation capabilities and attract global players to the sector.
Vice Minister of Industry and Mineral Resources for Industrial Affairs, Eng. Khalil bin Salamah, emphasized the strategic importance of the project, stating, “The designated land will be exclusively used for aviation-related industries to achieve the Kingdom’s strategic goals.” He further highlighted the focus on manufacturing aircraft components, such as aluminum and titanium parts, landing gear, and modern transport aircraft.
This initiative aligns with Saudi Arabia’s National Industrial Strategy, Aviation Strategy, and Tourism Strategy, collectively aiming to position the Kingdom as a leading global aviation hub. The broader goal is to transform Saudi Arabia into a center for air transport, handling 30 million passengers and 2 million tonnes of air cargo annually.
Source: Saudi Press Agency
