Germany is set to dramatically strengthen its air and missile defences by expanding its Arrow 3 procurement deal with Israel by an additional $3.1 billion, bringing the total value of the programme to around $6.5 billion, Israeli defence officials have confirmed.
The new agreement builds on a landmark deal signed two years ago, under which Berlin agreed to buy Arrow 3 interceptors and launchers for roughly $3.5bn. The expanded package will significantly increase production rates, allowing Germany to deploy more interceptors and launch systems faster as security fears across Europe deepen.
The Arrow 3 system is designed to intercept long-range ballistic missiles in space, offering a layer of protection well beyond the atmosphere. It has already proven itself in combat, intercepting a Houthi missile in 2023 and playing a central role in Israel’s defence during last year’s brief war with Iran.
Part of a much wider defence push:
Germany received its first Arrow 3 system earlier this month, marking the first time the advanced defence platform has been transferred to a foreign country with independent operational control. Additional systems are expected to be delivered and deployed in the coming months.
The expansion comes as Berlin accelerates military spending amid growing concerns about Russia. German officials have repeatedly warned that Moscow could be preparing for a confrontation with NATO within the next few years, and the deal follows fresh accusations that Russia carried out a cyberattack on German air traffic control systems.
The Arrow 3 programme is part of a much wider defence push. Germany’s parliament approved nearly €50bn ($59bn) worth of new defence projects this week alone, with total defence commitments this year reaching €83bn ($98bn).
Developed jointly by Israel and the United States and produced by Israel Aerospace Industries, Arrow 3 represents Israel’s largest-ever defence export, and one of Germany’s most significant weapons purchases since Russia’s invasion of Ukraine in 2022.
Arrow 3 // Shutterstock