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UAE Inks Multi-Billion Defence Contracts at Idex 2025

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The UAE’s Tawazun Council, in partnership with the Armed Forces, secured a series of high-value defence contracts—now totaling nearly Dh20 billion—during the International Defence Exhibition and Conference (Idex) 2025 in Abu Dhabi, with the majority awarded to local companies.

Major Deals Signed

The UAE Ministry of Defence confirmed five initial deals worth Dh5.8 billion ($1.58 billion) on the second day of Idex 2025, quickly followed by 10 more contracts totaling Dh10.18 billion on day three, bringing the cumulative value of awards so far to nearly Dh20 billion. These deals involve both local and international defense companies, reflecting the UAE’s emphasis on bolstering homegrown military manufacturing while tapping into global expertise.

Key Beneficiaries

Major recipients include UAE-based defense conglomerate Edge, which secured significant contracts for munitions, unmanned vehicles, and anti-jamming systems. Edge’s largest individual award, worth Dh4.36 billion, will facilitate the procurement of MKs bombs, underscoring the company’s strategic importance within the country’s military ecosystem. Other domestic companies such as International Golden Group and Abu Dhabi’s Trust also won contracts, highlighting local industry’s growing capabilities.

International Collaborations

Foreign firms also found success, notably Europe’s Naval Group, which won a Dh472 million deal to provide technical assistance and logistical support services for corvettes. Lockheed Martin clinched a contract to supply technical services worth Dh26.77 million, while Eurotradia International secured a Dh24 million contract for spare parts of the French-made Leclerc tank. These partnerships reveal the UAE’s ongoing effort to combine indigenous development with top-tier global technology.

Scope and Scale of Idex 2025

As the Middle East’s largest defense expo, Idex attracted more than 1,565 exhibitors and over 150,000 visitors, spanning 41 country pavilions across 180,000 square meters of exhibition space. From small arms to drones and heavily armored vehicles, the event serves as a platform for international defense firms to display state-of-the-art equipment. The high turnout underscores the UAE’s positioning as a global player in both exhibitions and defense procurement.

Strategic Alignment

These deals are part of the UAE’s broader goal to enhance its industrial sector and lessen reliance on hydrocarbons. Under Operation 300bn, the nation aims to increase the industrial sector’s GDP contribution to Dh300 billion by 2031, from Dh133 billion in 2021. By investing in defense manufacturing, the UAE not only elevates its military readiness but also fosters high-tech innovation and economic diversification.

Looking Ahead

With multiple agreements still in the pipeline, the total defense spending at Idex 2025 may climb further. Edge Group’s partnership with Spanish firm Indra on the FA-400 offshore patrol vessel—and Xrange’s agreement with Mira Aerospace to establish a permanent testing center for UAV trials—are examples of new collaborations likely to emerge. As Idex concludes, the UAE’s trajectory toward robust local defense production and advanced capabilities is more evident than ever, setting the stage for continued growth in the region’s defense sector.