Israel’s defence industry is experiencing unprecedented international demand, with weapons manufacturers reporting record export figures despite growing criticism over the country’s military operations in Gaza, Lebanon, and Iran.
Israeli defence exports reached a record $19.2 billion in 2025, representing an increase of nearly 30% compared with the previous year, according to data from Israel’s Ministry of Defence. The growth has been driven primarily by missile systems, air defence platforms, radar technologies, and electronic warfare solutions.
Combat experience as a driver for defence demand
A key factor behind the international interest in Israeli systems is their operational deployment in recent conflicts. Israeli defence companies have increasingly promoted technologies that have been used under battlefield conditions, presenting them as mature solutions for governments seeking rapidly deployable capabilities.
Israel’s Ministry of Defence has highlighted the operational performance of domestic systems across multiple theatres, arguing that battlefield experience has strengthened global confidence in Israeli defence technologies.
The Stockholm International Peace Research Institute (SIPRI) ranked Israel as the world’s seventh-largest arms exporter between 2021 and 2025, placing it ahead of the United Kingdom. More than half of Israeli defence exports involve missiles, rockets, and air defence systems.
Israel’s Defence Minister, Israel Katz, linked the growth of exports to military performance and industrial capabilities.
“This tremendous achievement is a direct result of the successes of the (army) and defense industries. … The world sees Israeli strength and seeks to be a partner in it.”
There is growing interest in advanced defence technologies
Companies specialising in artificial intelligence, unmanned systems, digital battlefield tools and advanced manufacturing have also attracted international attention.
One example is Massivit, an Israeli company originally known for producing large-scale 3D printed structures for the entertainment industry. After being approached by Israeli defence officials, the company adapted its technology to manufacture large components for military drones.
CEO Yossi Azarzar described the shift in priorities:
“I stopped thinking about Hollywood sets. The entertainment industry is a nice customer — defence is a necessity.”
According to the company, its technology can produce large drone components within days instead of weeks, attracting interest from defence and aerospace sectors in Europe, the United States, Southeast Asia and India.
Other Israeli companies have also reported increased demand for specialised military technologies.
Europe’s position
Europe has become one of the largest markets for Israeli defence equipment, driven by increased security concerns following Russia’s invasion of Ukraine and efforts to strengthen military capabilities. Major agreements have included Germany’s acquisition of the Arrow-3 missile defence system, Heron drones and Spike anti-tank missiles, as well as Greece’s purchase of PULS rocket artillery systems. Governments seek proven military systems amid rising geopolitical tensions and expanding security requirements.
Defence analysts explain that many countries are prioritising access to operationally tested technologies, particularly in areas such as air defence, unmanned systems and electronic warfare.
Seth J. Frantzman, an analyst who has followed Israel’s defence sector, highlighted the demand for immediately available capabilities:
“Countries have had to dramatically increase defences because of the proliferation of global conflicts and they need systems that will work. And most countries don’t have the time right now to build their own defence systems locally and quickly.”
Israeli companies continue to position their technologies as solutions shaped by operational experience, advanced research and rapid innovation. Human rights organisations and some governments have raised concerns over the use of Israeli-developed technologies in conflict environments. Several countries have publicly announced restrictions or reviews of defence cooperation with Israel, while others have continued purchasing Israeli systems due to security requirements and demand for advanced capabilities.
At the same time, battlefield deployment has increased the commercial visibility of Israeli technologies.