Ministry of Defense procures air munitions from Elbit in deal worth ₪570 million
Ministry Director General, Maj. Gen. (Res.) Amir Baram, signed the deal, that will enable the expansion of the IDF’s force buildup for the near and long term.
By: Hadas Greenberg
January 27, 2026 13:06
The Ministry of Defense’s Department of Production and Procurement (DOPP) has issued a multi-year procurement order for aerial munitions manufactured by Elbit Systems, valued at over ₪570 million. The Ministry’s Director General, Maj. Gen. (Res.) Amir Baram, signed the deal, which will allow for the expansion of the defense production base and the IDF’s force buildup for both the immediate future and for a projected decade of intense security needs. This move is part of the Ministry’s strategy led by Defense Minister Israel Katz and the Director General.
“Expanding the Israeli defense production base is a top-priority security and national interest. Over the past two years of war across seven different fronts, Israeli defense industries have proven their critical contribution to operational superiority and IDF achievements, in the air, at sea, on land, and in every arena,” said Minister Katz. “As part of the policy I am leading, we will continue to work on developing and expanding defense industry activities in Israel, strengthening ‘Blue and White’ production, and deepening cooperation with local industry.”
“Expanding the production base and engagements with Israeli industry ensures independence, supply continuity, and force buildup for years to come. It strengthens the economy and national resilience, and provides the IDF with the tools needed to cope with both near and distant security challenges,” he added.
Ministry of Defense: Independence, supply chain continuity, preparation for the years ahead
Ministry Director General Maj. Gen. (Res.) Amir Baram added, “This air munitions transaction joins a series of multi-year force buildup deals currently being advanced in air, land, and other domains. These deals will allow for inventory replenishment and procurement for years ahead. This comes alongside investment in expanding the defense production base, which will improve IDF readiness for a decade of intense security, support increased defense exports, and strengthen the economic resilience of defense industries and the Israeli economy.”
Elbit and investors: local production, precision munitions and the stock’s reaction
“Elbit Systems has developed and supplies the Ministry of Defense with a variety of precise munitions, which have proven themselves in the field and contributed significantly to Israel’s aerial superiority in various arenas. We are committed to continuing to strengthen the local production array in Israel, as part of our partnership and commitment to the Ministry of Defense and the IDF, and out of a sense of responsibility for the country’s needs and maintaining its security,” said Bezhalel (Butzi) Machlis, President and CEO of Elbit Systems.
The company’s stock is up by approximately 1.6%. Since the beginning of the year, the stock has surged by 21.4%. The company’s market cap is at nearly ₪104 billion.