Washington approves largest-ever Israeli arms deal
Israel has gotten the green light to sell the Arrow 3 missile defense system to Germany in a multi-billion dollar deal
The US has given Israel approval to sell the Arrow 3 missile defense system to Germany in a deal worth $3.5 billion, making it Tel Aviv's largest-ever weapons sale.
"The US government's approval of the delivery… is an _expression_ of confidence in the outstanding capabilities of Israel's defense industries. This is a significant decision, which will contribute to Israel's force buildup and economy," said Israeli Defense Minister Yoav Gallant in a statement released on 17 August.
The German Air Force is slated to take delivery of the Arrow 3 by the fourth quarter of 2025. The missile defense system was jointly developed by the Israeli Missile Defense Organization and the US Missile Defense Agency, and is manufactured by Israel Aerospace Industries.
After getting the green light from the White House, Tel Aviv and Germany will sign a Letter of Commitment with a $600 million initial payment to commence work on the project, per Gallant's statement. He added that the full contract will be ready to sign by the end of 2023.
By using a detachable warhead that collides with the target, the Arrow 3 system is designed to intercept ballistic missiles outside the earth's atmosphere, an altitude allowing for the safe dispersal of any non-conventional warheads.
German Chancellor Olaf Scholz made an initial request for the system in a meeting with former Israeli prime minister Naftali Bennett in March 2022, weeks after the start of the war in Ukraine.
German legislators finally approved the deal in April of this year and released the funds needed for the initial payment in June.
The money to purchase the Israeli weapons reportedly comes from a landmark 100 billion euro fund unveiled by Scholz earlier this year to bolster Ukraine’s defenses.
Israeli defense exports reached a value of $12.556 billion last year, the largest amount ever, with new Arab partners under the US-sponsored Abraham Accords accounting for almost a quarter of the business.
According to the Israeli defense ministry, Asia and the Pacific accounted for 30 percent of Israeli defense exports, Europe 29 percent, and North America 11 percent.
The Russia-Ukraine war has increased defense and weapons sales for Israel over the past year, shedding light on the value of drones and air defense systems.