Top secret: Israel Aerospace Industries strikes mysterious $2B advanced weapons deal
The IAI announced the deal without providing specific details, not disclosing the country to which the system will be provided or the type of system involved. However, the deal likely involves an air defense system, with the IAI the developer and manufacturer of the Arrow 2 and Arrow 3 air defense systems, as well as the Barak 8 and Barak MX systems.
The Israel Aerospace Industries (IAI) will supply a foreign customer with a weapons system valued at $1.9 billion. This government-to-government deal was brokered by the Ministry of Defense, with IAI serving as the main contractor responsible for supplying the weapons system.
The security company, which is fully government-owned, announced the deal on Thursday but did not provide specific details. They did not disclose the country to which the system will be provided or the type of system involved. The Ministry of Defense also remained silent today regarding this mysterious deal.
According to market estimates, the deal likely involves an air defense system, which will be delivered to the foreign customer over the next seven years. TAA is the developer and manufacturer of the Arrow 2 and Arrow 3 air defense systems, as well as the Barak 8 and Barak MX systems.
At the end of 2023, the IAI signed a contract with the German Ministry of Defense for the supply of the Arrow 3 system for use by the German Air Force, a deal valued at approximately NIS 14 billion. This is the largest defense deal in Israel's history and the first time the Arrow series anti-missile system has been exported. This deal was also mediated by the Ministry of Defense.
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In recent years, the IAI has sold Barak interception systems to several countries, including Morocco and Azerbaijan. The Barak MX missiles are also deployed on board the four new Sa'ar 6-class battleships of the Israeli Navy, which were purchased from Germany to enhance the protection of Israel's economic interests, particularly the offshore gas rigs.
The Israel Defense Forces' Arrow 2 and Arrow 3 missiles have already intercepted ballistic missiles launched at Israel by Houthi rebels in Yemen several times. These systems also played a central role in intercepting approximately 100 ballistic missiles that Iran launched at Israel in mid-April, marking the first direct attack by Iran on Israel.