Despite political tensions, Israel defense contractor signs $1.6 billion deal with undisclosed European nation

Israeli defense contractor Elbit Systems announced on Wednesday that it had signed a $1.635 billion agreement with an undisclosed European nation.

“This contract reflects the strong demand for Elbit Systems’ advanced technologies in Europe and demonstrates our ability to deliver integrated, multi-domain solutions tailored to modern defense needs,” CEO Bezhalel Machlis stated in the announcement.

“The contract includes two groups of technologically advanced solutions from Elbit Systems,” the announcement continued. “These solutions are based on the Company's cutting-edge technologies and portfolio and include embedded AI technology, among others.”

Among the technologies included in the contract are “long-range precision artillery-rocket systems,” “personally operated drones,” “highly sophisticated ISTAR capabilities, including SIGINT, COMINT and electronic warfare systems,” and others.

Machlis, who has served as the president and CEO of Elbit Systems since 2013, said the company is “proud to support this European country in strengthening its national security as part of a strategic partnership,” noting that “the agreement also includes industrial cooperation to bolster the buyer’s domestic defense production capabilities.”

The contract comes despite growing opposition to Israeli policy in Gaza from a number of European countries.

On Friday, German Chancellor Friedrich Merz announced that “the German government will not authorize any exports of military equipment that could be used in the Gaza Strip until further notice.”

Germany's statement came in response to Israel’s decision to “take control of Gaza City.”

According to a Ynet News report, Machlis is not concerned that the political situation will impact Elbit’s business.
“Our customers find ways to continue doing business with Elbit,” he said. “Professionally, security officials worldwide have a close dialogue with us and value the quality of our products.”