MediumI Geo-Economics & Chokepoints12 October 2026, Monday · 14:55 TRT (UTC+3)

Turkish contractors stay in Riyadh airport tender despite Houthi strikes

TAV Construction chairman Sani Şener said on 12 October that his company would not pull out of the tender for Terminal 6, worth about $4bn, at the Riyadh airport hit by Houthi missiles. Bids are due at the end of December. Erdogan said the same day that Türkiye stands with Saudi Arabia.

Location: RIYADH

In a Halk TV report published at 14:55 on 12 October, Şener said withdrawing from the tender because of the attacks was out of the question. The planned Terminal 6 at King Khalid International Airport is worth about $4bn, with bids due at the end of December. Limak Construction is preparing a bid for runways and aprons with 2 foreign partners. A company representative said the process was moving slowly and deadlines were frequently pushed back.

According to Türkiye Today, IC Ictas Construction completed 4 terminals at the airport in projects worth about $1.4bn; Terminals 3 and 4, where the missile struck, are part of that complex. TAV finished Terminal 5 in 2016 under a $400m contract awarded in 2013. The wider King Salman International Airport megaproject is estimated to cost $30bn across a 57 square-kilometre site.

Sources diverge on the toll. Türkiye Today and Halk TV report 12 dead and 309 injured, while MarineLink cites 13 dead and more than 300 injured. The airport was targeted 4 times in a week and, according to Türkiye Today, will stay closed until 17 October, affecting about 700 flights a day. On 12 October Erdogan said the Mecca Joint Defence Agreement would be submitted to the Turkish parliament in the coming days.

Talay assessment

Bottom line

Turkish builders are not abandoning the Saudi market despite the war risk, and the security commitment Ankara has made through the Mecca agreement underpins that commercial persistence. The near-term risk lies in the schedule: the airport is closed until at least 17 October and tender dates slip often. The most likely path is that bids go in by December but the award decision drifts with the course of the attacks.

Likely effects

Turkish contracting revenueUncertain1–6 months
Terminal and runway packages worth about $4bn protect Turkish firms' Gulf order books; a delay, however, pushes the foreign-currency inflow into 2027.
Site security and insuranceNegativeWeeks
At an airport hit 4 times in a week, war-risk insurance and security costs rise for personnel and equipment on site.
TürkiyeNegative1–6 months
Bringing the Mecca agreement to parliament ties Turkish commercial presence to a security commitment; each new strike on Riyadh raises the risk premium on Turkish construction sites.

Possibilities, ranked

1
Bids submitted in December55%
The tender timetable holds despite continued attacks, and Turkish firms submit bids at the end of December.
Watch: Saudi authorities confirming the Terminal 6 bid date
2
Tender postponed again35%
The airport closure drags on and the deadline slips to 2027; Turkish firms stay in the race but revenue is delayed.
Watch: Whether the airport reopens after 17 October
3
Firms price the risk and withdraw10%
Attacks spread to construction sites, and at least one Turkish firm withdraws its bid or changes partners.
Watch: A new Houthi strike on construction sites or a company statement

Probabilities are calibrated judgement based on the sources, not measurement, and are revised as new information arrives. Not investment advice.

Market reaction

Indicators affected

Terminal 6 tender▲ ~$4bn
Riyadh airport closure▼ Until 17 October
Flights affected daily▼ ~700