The German Bundestag approved today the expansion of the Arrow 3 deal with Israel, adding an additional $3.1 billion and making it the largest defense deal in Israel's history.
The deal, which includes the sale of the Arrow 3 air defense system to Germany, is expected to total about $6.7 billion (more than NIS 20 billion).
The Arrow 3 system, designed to protect German airspace, was jointly developed by the Israeli Ministry of Defense, the U.S. Missile Defense Agency (MDA), and Israel Aerospace Industries, and has become an important strategic asset. With the expanded deal, a significant increase in the production rate of the system's interceptors and launchers is expected, which will be supplied to Germany and will upgrade its air defense capabilities.
Defense Minister Israel Katz said that the expansion of the deal reflects the deep trust Germany places in the State of Israel and in its technological capabilities, and includes long-term planning for security cooperation between the countries. Katz added that the revenues from the deal will be used for further strategic developments and to strengthen the IDF's expansion.
The deal is part of the Ministry of Defense's strategy to increase Israel's defense exports and to deepen cooperation with Germany and other partners worldwide.
Director-General of the Ministry of Defense, Major General (res.) Amir Baram, said this is an important step in maintaining Israel's status as a military power and in expanding its air defense capabilities.
Director-General of Israel Aerospace Industries, Boaz Levi, emphasized the success of the cooperation with the German government, and said that mutual trust and the ability to develop advanced technological solutions led to the impressive success of the Arrow 3 system, which now serves Germany's armed forces.