According to the Ministry of Defence's International Military Cooperation Directorate (SIBAT), export orders exceeded the previous year's record for the third year, totalling $13 billion. This is the third consecutive year the record has been broken, with new orders totalling $12.5 billion in 2022 and $11.3 billion in 2021. Israeli Defence industry faces challenges amidst war outbreak, demonstrating resilience and adaptability. Israel's air defence systems sparked significant interest, including the $3.5 billion sale of Israel Aerospace System's (IAI) Arrow 3 to Germany and the $317 million sale of Rafael's David's Sling to Finland.
According to SIBAT data, air defence systems accounted for 36 per cent of the total contract value in 2023, up from 19 per cent in 2022.
On the other side, new orders for unmanned aerial vehicle systems and drones fell significantly, from 25 per cent in 2022 to 4 per cent in 2023. Radar systems accounted for 11 per cent of new orders last year, up from 13 per cent in 2022, while rocket launchers increased to 11 per cent from 5 per cent in 2022.
Geographical segmentation resulted in changing tendencies. Despite the threat from China, the Asia-Pacific area continued to generate most orders, increasing from 30 per cent to 48 per cent.
The Russia-Ukraine confrontation in Europe boosted demand significantly, increasing orders from 29 per cent to 35 per cent of the total.
