Israel Aerospace Industries has signed a contract worth 6.7 billion dollars with Germany for the Arrow 3 missile defense system.

Through the state company Israel Aerospace Industries (IAI), Israel has signed a significant contract with Germany for the sale of the Arrow 3 missile defense system, expanding a previous agreement to a total value of approximately 6.7 billion dollars.

This additional 3.1 billion dollars makes this contract the largest in the history of Israel's military equipment exports. IAI is known for developing the Arrow 2 and Arrow 3 systems, used for intercepting ballistic missiles from Yemen and Iran.

In the context of increasing defense spending, Germany has allocated approximately 83 billion euros in its budget for 2025, and the Bundestag has recently approved significant military acquisitions, including air defense systems and armored transporters, totaling over 50 billion euros.