Archer Aviation gets green light for air taxis in Saudi Arabia
Archer Aviation (ACHR) said on Wednesday that it has signed an agreement with the General Authority of Civil Aviation (GACA), Saudi Arabia's national aviation regulator.
The goal is "create a regulatory pathway" that will allow the company to deploy electric vertical takeoff and landing (eVTOL) aircraft in the Kingdom.
This latest move into the Middle Eastern country follows the announcement last month by Archer and rival Joby Aviation (JOBY) that they had reached agreements with The Helicopter Company (THC).
It's a public investment fund and commercial helicopter operator in Saudi Arabia and the partnership will help accelerate the eVTOL air mobility in the country.
In addition to THC, they will also be partnering with Red Sea Global (RSG), a Saudi Arabian real estate developer in sectors such as tourism and transport.
According to a press release, Archer and GACA will structure their joint effort around the same framework the FAA is using in the United States.
GACA says it plans to model its regulatory pathway on the approach the Trump administration is using for the Electric Vertical Takeoff and Landing Integration Pilot Program (eIPP), overseen by both the FAA and the U.S. Department of Transportation (DOT).
Both Archer and Joby are seeking to be included in the White House's pilot program.
A plan to generate public support for eVTOLs
The process in Saudi Arabia will seek to accomplish early route testing in cities such as Riyadh and Jeddah, as well as giga-projects such as RSG.
These giga-projects are designed to stimulate the economy, aligning with Vision 2030, which is Saudi Arabia Crown Prince Mohammed bin Salman's initiative to diversify the country economically and culturally.
As part of the process to accelerate the air taxi initiative in Saudi Arabia, GACA and Archer will undertake proof-of-concept demonstrations, as well as experimental flights in order to to validate the necessary regulatory approach for eVTOLs.
These efforts will also be done to "strengthen public excitement for electric air taxi services," Archer noted in the press release.
The program will be supported in part by $100 billion in private and public investments from the US across Saudi Arabia's airlines, airports and aviation support services.
“Saudi Arabia is moving with impressive speed and clarity, and we are honored that GACA has chosen to collaborate with Archer in this effort,” Archer founder and CEO Adam Goldstein said in a statement.
“Aligning this certification work with the FAA and launching early demonstration operations in the Kingdom will help us bring this program to life safely and quickly.
"We look forward to working hand-in-hand with GACA to make the Kingdom one of the world’s first markets to embrace eVTOL aircraft at scale.”
Despite the announcement, Archer's stock fell 3% on Wednesday and is down just over 14.2% for the year.
The agreement with Archer is part of GACA's efforts to accelerate the Advanced Air Mobility (AAM) ecosystem in Saudi Arabia as it seeks to develop next-generation air transportation in the country.
“By working with global partners such as Archer, we continue to strengthen the regulatory and operational foundations needed to safely integrate eVTOL aircraft into our aviation system,” Captain Sulaiman bin Saleh Al-Muhaimedi, executive vice president for Aviation Safety and Environmental Sustainability at GACA, said in a statement.
“The initiative supports the AAM Roadmap and reinforces the Kingdom’s position as a regional leader in next-generation air transport.”