The End to the Recession for Israeli Defense Exports?

10/5/2012 Arie Egozi - israeldefense.com

Israel's defense industries have identified a renewed demand for their products, primarily for new systems and upgraded plans for existing platforms

The Israeli defense industries are preparing for an increased demand for their products. “It seems to me that the recession era is about to end,” a senior source close to the issue informed IsraelDefense. According to the source, the defense market is expected to reawaken in the middle of 2012 from the lengthy recession of the past few years.

The source further explained that several elements are responsible for this new development – the elections in France, the departure of many of the multinational forces fighting in Afghanistan and a renewed examination of their capabilities, as well as the US elections that will take place in November. In particular, the results of the US elections will determine defense acquisition policy for the next several years.

The defense industries are counting on the procurement of new systems, as well as on upgraded plans for existing land, naval, and air platforms. “Regional conflicts, such as the one in Afghanistan, have proven to several countries, mostly in Europe, that they have low capabilities in several fields. This does not refer to platforms, rather, the systems installed on them,” the source stated.

Delegations from several militaries are expected to arrive at Israel in the coming months, and will closely examine proposed systems.