In 2023 Israel set new record in defense exports with deals worth NIS 49 billion

Over the past five years, Israel has doubled its defense exports, reaching a record-breaking NIS 49 billion ($13 billion) in new deals amid the current war. According to the Channel 12 ITV report, thirty-six percent of these deals are for air defense systems.

Data from the Ministry of Defense reveals that Israeli defense companies have signed hundreds of contracts worldwide over the past year, including major deals worth hundreds of millions of dollars each. The share of air defense systems in these contracts has surged from 19% in 2022 to 36% in 2023.

Since the onset of the Israel-Hamas war, Israel's defense industry has shifted to emergency operations, running 24/7 to meet IDF orders while continuing to fulfill contracts with international clients. Defense Minister Yoav Gallant emphasized that although the primary focus has been on the Israeli army, the defense sector continues to secure increasingly significant agreements, boosting exports and entering new markets.

The breakdown of exports for 2023 includes 36% air defense systems, missiles, and counter-missiles; 11% radar and electronic warfare systems; 11% firearms, guns, and launchers; 9% manned aviation and avionics; 8% ammunition; 5% surveillance equipment; 5% vehicles and armored cars; 4% intelligence, information gathering, and cybersecurity; 4% UAVs; 4% listening and communication systems; 2% satellites and space technology; and 1% maritime platforms.

Geographically, 48% of the customers are from Asia and Oceania, 35% from Europe, 9% from North America, 4% from Latin America, 3% from countries with which Israel has signed the Abraham Accords, and 1% from Africa.

In 2023, 20% of the defense export deals were valued up to $10 million, 23% between $10 and $50 million, 17% between $50 and $100 million, and 40% were so-called "mega deals" exceeding $100 million.