Leaked internal documents reveal that Saudi Arabia entered into a massive arms agreement with sanctioned Russian defense companies, committing over 2 billion euros for an advanced air defense system. The contract, signed in April 2021 and extending through 2026, has persisted even as Western nations imposed sweeping restrictions on Moscow following its invasion of Ukraine.
The deal involves the Pantsir-S1M system, a mobile air defense unit capable of intercepting missiles, aircraft, and drones. Under the terms, Saudi Arabia agreed to pay 2.2 billion euros to Rosoboronexport, a subsidiary of the state-owned Rostec conglomerate. The first payment of 326 million euros was transferred in August 2021, according to invoices and bank statements obtained from a leak of Roselectronics documents.
Trade records show that in 2023, trucks matching those used to transport Pantsir components were delivered to Saudi Arabia. While the kingdom has not imposed sanctions on Russian firms, experts warn that individuals and entities involved risk U.S. secondary sanctions. “The United States can penalize foreign companies if it determines they violated its sanctions,” noted Agiya Zagrebelska of the Economic Security Council of Ukraine.
The documents also outline plans for localized production, including a facility in Jeddah to train personnel and a potential assembly plant for Pantsir units and ammunition. However, weapons analyst Ivan Kirichevsky expressed skepticism, stating that subsequent sanctions may have hindered Russia’s ability to source components for joint manufacturing.
Beyond financial gains, the arms sales serve Russia’s diplomatic objectives. Anna Borshchevskaya of the Washington Institute for Near East Policy described them as “a tool of influence.” This strategy appears to align with voting patterns at the United Nations, where Saudi Arabia has abstained from over half of resolutions condemning Russia’s war in Ukraine, despite voting for troop withdrawal and pledging humanitarian aid.
The leak also revealed that Moscow sought and received permission to visit Saudi air defense facilities in 2022, raising concerns about potential access to U.S.-made Patriot systems operated by the kingdom.
Despite international sanctions, Russia continues to pursue arms exports aggressively. Rosoboronexport hosted a major defense forum in 2022 attended by 50 countries, and similar events followed in subsequent years. Dmitry Shugaev, head of the Russian Federal Service for Military-Technical Cooperation, claimed in August 2024 that export orders exceed $60 billion, though the figure remains unverifiable.
Other nations, including China, India, Algeria, and Egypt, have also maintained weapons purchases from Russia since the invasion, according to the leaked documents and trade data.