Israel Sets New Record: Defence Exports Up for Third Consecutive Year, Exceeds US $13 Billion in 2023

By Arie Egozi

Defence Industry
Tel Aviv: The war in Ukraine and continuing tensions in some regions around the world have affected the demand for Israel defence systems
For the third consecutive year, Israel has set new record in defence exports as it exceeded over $13 billion in 2023.
According to an official release, Israeli defence exports have doubled within five years, with over a third (36%) of the agreements signed in 2023 – missile, rocket, and air defence systems.
Minister of Defence Yoav Gallant, commented, “Israel continues succeeding in its international cooperation and industrial defence exports even during a year marked by war. This is a reflection of the capabilities and creativity of our industries and our people. While our industries are primarily focused on providing the defence establishment with the capabilities to support our troops and defend our citizens, they are also continuing to pursue areas of cooperation and exports to international partners.”
The director general of the Israel Ministry of Defence, Maj Gen (Res.) Eyal Zamir, and the director of the IMOD International Defence Cooperation Directorate (SIBAT), Brig Gen (Res.) Yair Kulas announced a record $13.073 billion in Israeli defence exports for 2023 on June 17, 2024.
Israel again reached an all-time peak in defence exports in 2023, marking the third consecutive record-breaking year in the scope of defence agreements. Throughout the year, Israel’s various defence industries signed hundreds of significant defence contracts worldwide with the help and support of the Israel Ministry of Defence, including mega-deals amounting to hundreds of millions of dollars.
In recent years, the Israel Ministry of Defence has defined defence exports as a central priority. The Ministry of Defence led a national effort to strengthen security-strategic relations worldwide, expand defence exports to new markets, remove bureaucratic barriers, and reduce regulation, following Defence Export Control Agency (DECA) regulations and international conventions.
The year 2023 concluded remarkably on a high note with record-breaking export deals, underscoring the steadfast commitment of the Israeli defence industry to international clients.
Notably, the export of missile and rocket air defence systems reached a significant milestone, accounting for 36% of the total deal volume, up from 19% in 2022.
According to the release, significant tiers of defence exports in 2023 were: Missile, rocket, and air defence systems (36%), radar and EW (11%), weapon stations and launchers (11%), manned aircraft and avionics (9%), ammunition and armaments (8%), observation and optronics (5%), vehicles and APCs (5%), intelligence, information and cyber systems (4%), drones and UAVs (4%), C4I and communication systems (4%), satellites and space systems (2%), and maritime systems and platforms (1%).
The defence export data by geographic distribution showed as: Asia and the Pacific Region (48%), Europe (35%), North America (9%), Latin America (4%), Abraham Accords countries (3%), and Africa (1%).
The distribution of agreements by financial scope highlighted: Agreements over $100 million (40%), agreements between $50-100 million (17%), agreements up to $50 million (23%), and agreements up to $10 million (20%).
Director General of the Israel Ministry of Defence, Maj Gen (Res.) Eyal Zamir said, “The remarkable achievements of the Israeli defence industries have doubled defence exports within five years. Nations worldwide are recognising the success of Israeli defence systems, especially in air defence, appreciating their crucial role in safeguarding citizens. Since the onset of the war, the Ministry of Defence has invested tens of billions of dollars in domestic procurement. This strategic approach is expected to further boost our global defence export.”
Director of the International Defence Cooperation Directorate
(SIBAT), Brig Gen (Res.) Yair Kulas stated, “This year marks the third consecutive year that Israel’s defence exports have set new records, with significant expansion of production lines to meet rising global demand from defence ministries and military forces worldwide. These achievements showcase our industry’s capabilities and the effectiveness of our technological and operational advancements in air, sea, and land.”