Germany approves expansion of Arrow 3 deal to $6.7 billion

The Bundestag has authorized an additional $3.1 billion for the procurement of Israeli interceptors and launchers, cementing the largest defense export agreement in Israel’s history

NOTE: The Arrow 3 system was developed together with US companies which will help further American development in technology and add many jobs to the US defense industry.

The German government has formally approved a major expansion of its procurement of the Israeli-made Arrow 3 air defense system. The Bundestag’s budget committee authorized an additional $3.1 billion for the project, bringing the total value of the deal between the two nations to approximately $6.7 billion (over 20 billion NIS). This expansion focuses on increasing the production rate of interceptors and launchers to be deployed in Germany, aimed at strengthening the country’s strategic defense against long-range ballistic threats.

According to official statements from the Israel Ministry of Defense, the Arrow 3 system was co-developed by the "Homa" Administration within the Directorate of Defense R&D (DDR&D), the U.S. Missile Defense Agency (MDA), and Israel Aerospace Industries (IAI), which serves as the primary contractor. 

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