U.S.-UAE Defense Partnership Grows with Local Production of Coyote Counter-UAV Systems

Key Takeaways

The UAE and Raytheon have established a new 21,500-square-foot facility in Abu Dhabi for the Coyote Counter-Unmanned Aerial System.
The Coyote’s modularity allows for flexible deployment against unmanned aerial threats, enhancing UAE’s defense capabilities.
This partnership marks a shift toward local defense production, strengthening national security and reducing reliance on foreign systems.

New Defense Partnership in the UAE

Citing information released by the Tawazun Council on May 15, 2025, the United Arab Emirates (UAE) has launched a significant defense venture with Raytheon, resulting in a new facility in Abu Dhabi’s Tawazun Industrial Park. The 21,500-square-foot center will serve as a regional hub for the assembly and testing of the Coyote Counter-Unmanned Aerial System (C-UAS), an advanced interceptor system aimed at enhancing the UAE’s military-industrial base.

Developed by Raytheon, the Coyote C-UAS is a compact and cost-efficient missile system designed to tackle the rising threat of drones. Its modular design allows for configurations that include both kinetic warheads for direct destruction and non-kinetic options like electronic warfare tools to disrupt drone operations. The latest Block 2 variant features improved propulsion and advanced sensors, enabling it to intercept targets at higher altitudes and longer ranges, making it crucial for countering single drones as well as sophisticated swarms.

This versatile system can be quickly deployed from both mobile and fixed launchers and is compatible with current radar and command-and-control infrastructure. Its production in the UAE represents a step toward greater industrial autonomy and enhances the country’s ability to quickly address aerial threats.

The establishment of this facility aligns with the UAE’s broader initiative to localize defense capabilities and reduce dependency on foreign imports, as evidenced by its $23.2 billion defense budget in 2023. Local industry leaders, such as EDGE Group’s EPI, will also contribute by producing prototype components for the Coyote system.

Beyond military advantages, the new hub strengthens the national defense supply chain and mitigates risks related to global disruptions, while also creating high-value jobs in aerospace engineering and advanced manufacturing. The facility positions the UAE as a vital regional center for defense technology, supporting both national and allied defense needs.

The partnership further deepens the strategic relationship between the UAE and the United States, which has evolved from a traditional arms sales model to collaborative co-production. This shift illustrates Washington’s backing of allies investing in their own defense capabilities and underscores the UAE’s capacity to meet stringent standards for sensitive defense production.

Additionally, the UAE’s defense industry is making strides on the global stage, led by the EDGE Group, a top-ranked defense firm. The country has signed export agreements for defense technologies with nations across Africa, Asia, and South America, signaling its transition from an importer to an emerging supplier in global defense markets.

In conclusion, the UAE’s decision to localize Coyote production is both timely and strategic, addressing rising drone threats while fulfilling the nation’s vision for an innovative and diversified defense industry. This collaboration with Raytheon exemplifies how international partnership and local capability development can effectively respond to modern warfare challenges and strengthens the UAE’s role in the global defense landscape.

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