Israel’s IMOD-Elbit Systems sign major defence contract: -Tel Aviv, Israel – The Israel Ministry of Defense (IMOD) announced the signing of two significant defense agreements with Elbit Systems, totaling approximately NIS 1 billion (USD 274 million – approx). These agreements, signed by IMOD Director General Eyal Zamir and Elbit Systems President & CEO Bezhalel Machlis, are aimed at enhancing the Israel Defense Forces’ (IDF) operational capabilities and bolstering national security.
The first agreement, spearheaded by the IMOD’s Defense Procurement Directorate (DPD), focuses on the supply of thousands of heavy air munitions to the IDF. This significant investment underscores the critical need for a robust and reliable supply of munitions for the IDF’s air and ground forces.
The second agreement, a joint initiative by the IMOD‘s Planning Department and the Directorate of Defense Research & Development (DDR&D), centers on the establishment of a national raw materials plant. This crucial project will address the previous reliance on foreign sources for critical materials used in the production of energetic materials for Israel’s defense industry. The new facility will feature advanced production lines, ensuring a secure and independent domestic supply chain for these vital components.
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These agreements are a cornerstone of the IMOD’s policy to promote “Blue and White” manufacturing independence, emphasizing the importance of domestic production and collaboration with Israeli defense industries. By strengthening domestic manufacturing capabilities, these projects are expected to boost the Israeli economy, create new jobs, and ensure the IDF’s ability to effectively respond to current and future operational needs.
The signing ceremony was attended by key figures, including IMOD Deputy Director General and Head of the Planning Department, Itamar Graff; Head of the IDF Planning and Force Build-Up Directorate, Maj. Gen. Eyal Harel; IMOD Deputy Director General and Head of the DPD, Zeev Landau; General Manager of Elbit Systems Land, Yehuda (Udi) Vered; Deputy Director of the IMOD’s DDR&D, Dudi Ovadia; and other senior officials.
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Eyal Zamir, Director General, IMOD.
IMOD Director General Eyal Zamir stated, “Today, we are laying the foundations for expanding manufacturing independence in two critical areas for the IDF’s operational sustainability: domestic production of heavy air munitions and establishing a national raw materials plant. Both agreements will ensure sovereign capability in producing bombs and munitions of all types. We initiated this historic move before the war but accelerated it during it. Under both agreements, initial capabilities will soon gradually expand until we achieve full independence in both areas. This is a central lesson from the war that will enable the IDF to continue operating powerfully in all theaters. I want to thank Elbit Systems and its employees for their crucial contribution in providing vital combat equipment to the IDF throughout the war.”
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President & CEO of Elbit Systems, Bezhalel (Butzi) Machlis, emphasized, “Elbit Systems is a partner of the IDF and the Israel Ministry of Defense in promoting the ‘Blue and White’ manufacturing policy and is committed to making a substantial contribution to strengthening the IDF’s munitions independence. We are proud of the privilege of being a significant pillar in defending the State of Israel and its citizens and grateful for the trust placed in us by the Israel Ministry of Defense and its Director General, Maj. Gen. (Res.) Eyal Zamir. Elbit’s employees and managers are committed to meeting the changing needs of the IDF and the defense establishment, and this deep, long-standing partnership contributes not only to security but also to economic development and employment, creating livelihoods for thousands of households in Israel.”
These agreements signify a significant step forward in enhancing Israel’s defense capabilities and strengthening its national security posture. By investing in domestic production and fostering a strong defense industrial base, Israel aims to ensure its long-term operational readiness and maintain its position as a leading military power in the region.
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