Overview
- Israel's Defense Ministry said Tuesday that 2025 exports rose about 30% from 2024 to $19.2 billion, marking the fifth consecutive record year and more than a doubling of sales over five years.
- More than half of 2025 deals were 'mega‑deals' worth $100 million or more and government‑to‑government agreements reached a record roughly $10 billion, the ministry reported.
- The product mix shifted toward missiles, rockets and air‑defense systems, which made up about 29% of exports, while observation and optronics rose to 22% and drones fell to about 4%.
- Buyers shifted geographically with Europe taking 36% of sales, Asia‑Pacific 32%, the Middle East and North Africa 15%, and North America 13%, and the ministry says Abraham Accords countries now buy more than the U.S.
- Officials say battlefield validation, IMOD reforms and expanded production drove demand, but the export boom has prompted protests at industry events and some European restrictions that raise reputational and diplomatic risks.