Saudi Arabia is doubling down on cost-effective air defense systems as it seeks to counter increasing drone and missile threats without draining its military budget. Recent deals suggest a shift in strategy, with Riyadh investing in more affordable yet effective solutions like the Advanced Precision Kill Weapon System (APKWS) and the Russian-made Pantsir-S1 system.
A Smarter Approach to Air Defense
The kingdom’s latest arms request highlights its push for cost-effective defense mechanisms. On March 20, 2025, the U.S. Defense Security Cooperation Agency (DSCA) announced that Saudi Arabia had requested 2,000 APKWS II units at an estimated cost of $100 million. The move follows a recent U.S. Central Command (CENTCOM) video showing a U.S. fighter jet using APKWS to take down a Houthi drone—an enemy Saudi forces have battled for years.
During its prolonged conflict with the Iran-backed Houthis from 2015 to 2022, Riyadh expended costly weapons, including AIM-120 air-to-air missiles fired from F-15 jets, to shoot down relatively cheap drones. The financial strain was evident: a single AIM-120 costs over a million dollars, while the drones often cost less than $50,000.
APKWS: Precision on a Budget
Saudi Arabia’s decision to acquire APKWS is strategic. The system transforms standard 70mm Hydra rockets into laser-guided precision weapons, making them versatile and affordable.
- Can be fired from aircraft, ground vehicles, and even pick-up trucks.
- Successfully used by Ukrainian forces against Russian drones.
- Costs a fraction of traditional air-to-air missiles.
At just $100 million for 2,000 units, the APKWS offers a sustainable defense option, allowing Saudi forces to neutralize threats without burning through billion-dollar missile inventories.
Saudi Arabia’s Deal for Pantsir-S1s
Saudi Arabia isn’t stopping with APKWS. Reports from the Kyiv Independent and the Organized Crime and Corruption Reporting Project (OCCRP) reveal that Riyadh secretly ordered 39 Russian Pantsir-S1 air defense systems back in April 2021. The contract, worth over $2 billion, was still active despite Russia’s invasion of Ukraine in 2022.
The Pantsir-S1 is a mobile air defense system equipped with:
- 57-E6 surface-to-air missiles.
- Dual 30mm autocannons for close-range engagements.
- An estimated range of 20 km (12 miles), effective against drones and low-flying cruise missiles.
The Stockholm International Peace Research Institute (SIPRI) database confirms the order also includes 900 57-E6 missiles. The move signals Saudi Arabia’s interest in developing a layered air defense capable of handling asymmetric threats efficiently.
Addressing Drone and Missile Threats
Saudi Arabia’s air defense strategy has evolved due to past experiences. The 2019 Houthi drone attack on the Abqaiq-Khurais oil processing facilities exposed vulnerabilities, briefly slashing Saudi oil production by 50%. The need for effective, lower-cost defenses became urgent.
With Pantsir-S1s covering strategic sites, Saudi Arabia aims to:
- Provide a defensive layer against future attacks on critical infrastructure.
- Reduce reliance on costly Patriot missile interceptors.
- Strengthen multi-layered defense in coordination with high-end systems like THAAD and KM-SAM Block II.
A Balanced Arsenal for the Future
Saudi Arabia’s air defense portfolio is expanding beyond traditional reliance on U.S.-made systems. While Patriots and THAAD remain critical for high-altitude threats, the addition of APKWS and Pantsir-S1s provides a cost-efficient way to counter the growing use of drones and cruise missiles by non-state actors.
With deliveries of these systems continuing through 2026, Riyadh is positioning itself for a future where smarter, cheaper defenses become the norm. Instead of over-relying on billion-dollar systems, the kingdom is adapting to modern warfare realities, ensuring its arsenal remains both formidable and financially sustainable.
