Raytheon to Build Coyote Factory in UAE

Raytheon to Build Coyote Factory in UAE
RTZ UAE 2

Raytheon, an RTX business, announced the inauguration of a new advanced industrial facility at Tawazun Industrial Park in Abu Dhabi. The facility will serve as a specialised centre for the assembly and testing of the Coyote Counter-Unmanned Aerial System (C-UAS).

Together with the Tawazun Council, it has established a 21,500-square-foot facility in Abu Dhabi’s Tawazun Industrial Park, which will serve as a regional hub for the assembly and testing of the Coyote Counter-Unmanned Aerial System (C-UAS). This advanced interceptor system represents the cutting edge of modern air defense technology and reflects the UAE’s accelerated efforts to build a sustainable, self-reliant military-industrial base capable of addressing emerging aerial threats, particularly those posed by unmanned systems.

Beyond the immediate military applications, the new Coyote production hub offers several strategic advantages. It strengthens the national defense supply chain, mitigates risks associated with global disruptions, and fosters high-value job creation in sectors such as aerospace engineering and advanced manufacturing. It also positions the UAE as a key regional center for defense technology, capable of supporting both national and allied defense needs.

This development also reinforces the long-standing defense relationship between the United States and the UAE, which has matured into a robust strategic partnership involving joint exercises, arms sales, and increasingly, industrial collaboration. Over the past decade, the UAE has emerged as one of the largest export markets for U.S. defense equipment in the Middle East. Bilateral agreements have facilitated the transfer of advanced military systems such as the THAAD missile defense system, F-16 fighter jets, and Apache helicopters, all of which underscore the high level of trust and interoperability between the two nations.

More recently, this relationship has evolved from a traditional supplier-client dynamic to a model of co-production and technology sharing. The Coyote facility is a prime example of this shift, reflecting Washington’s support for regional allies that are investing in their own defense industries. It also signals confidence in the UAE’s ability to maintain stringent quality, security, and regulatory standards required for the manufacturing of sensitive defense systems.

Concurrently, the UAE’s own defense industry is rapidly expanding on the global stage. Led by the EDGE Group, which was ranked among the top 25 defense companies globally, the country is aggressively marketing its defense solutions to international buyers. In recent years, the UAE has signed export agreements for armored vehicles, loitering munitions, naval systems, and small arms with countries across Africa, Asia, and South America. This export momentum highlights the UAE’s transformation from an importer of defense technologies to an emerging supplier and partner in global defense innovation.

In light of escalating drone threats and the increasing use of unmanned systems in regional conflicts, the UAE’s decision to localize Coyote production is both timely and strategically astute. It enhances national security while advancing the country’s long-term vision for an innovative, resilient, and diversified defense industry. The partnership with Raytheon sets a powerful example of how global collaboration and local capability development can come together to meet the complex challenges of modern warfare, while also reinforcing the UAE’s ambitions to become a key player in the international defense market.

Sources: Army Recognition; Tawazun Council