Boeing signs defence, commercial deals with Saudi Arabia

Boeing Co. said on Sunday ithad signed several defence and commercial deals with SaudiArabia, including one for the sale of military and passenger aircraft, during a visit by U.S. President Donald Trump to the kingdom.

The announcement is the latest in tens of billions ofdollars in deals signed between U.S. and Saudi firms since Trumparrived in Riyadh on Saturday.

Boeing said Saudi Arabia has agreed to buy Chinookhelicopters, associated support services and guided weaponssystems, and intends to purchase P-8 surveillance aircraft.

• Trump in Saudi Arabia signs defence deals

The total value of the deals or how many aircraft SaudiArabia intends to buy was not given in the statement announcingthe agreements.

A Boeing spokesman declined to comment beyond the statement.The U.S State Department announced in December plans to sellSaudi Arabia CH-47F Chinook cargo helicopters and relatedequipment, training and support worth $3.51 billion US.

Saudi Arabia is seeking closer defence and commercial tieswith the United States under Trump, as it seeks to develop itseconomy beyond oil and leads a coalition that is fighting a warin Yemen.

"These announcements reaffirm our commitment to the economicgrowth, prosperity and national security of both Saudi Arabiaand the United States, helping to create or sustain thousands ofjobs in our two countries," said Boeing Chief Executive DennisMuilenburg.

Boeing also said it would negotiate the sale of up to 16widebody airplanes to Saudi Gulf Airlines which is based in thecountry's east in Dammam.

Boeing did not say which aircraft it was negotiating to sellto the privately-owned commercial airline. Saudi Gulf, whichstarted operations last year, could not immediately be reachedfor comment.

Boeing will also establish a joint venture with Saudi Arabiato provide "sustainment services for a wide range of militaryplatforms," the statement said, whilst a separate joint venturewould "provide support for both military and commercialhelicopters."