In a move to reduce the country's dependence on the United States for military equipment, the Israeli Defence Ministry on Tuesday (Jan 7) signed two major deals with Elbit Systems, an Israel-based international military technology company, for the arms contractor to supply the defence forces with thousands of heavy bombs and other materials.
Elbit Systems will also establish a new plant to manufacture raw materials for Israel, according to The Times of Israel.
The two deals are estimated at USD 275 million (NIS 1 billion).
The Israeli military said the agreements are "crucial for enhancing the IDF's operational endurance and force build-up capabilities."
According to the first agreement, Elbit, an Israeli defence contractor firm, will supply thousands of heavy air munitions used by the Israeli Air Force.
This will reduce Israel's dependence on the United States, which held up a shipment of heavy bombs in late spring.
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Meanwhile, under the second agreement, Elbit will establish a "national raw materials plant to produce raw materials that were sourced mainly from abroad before the war.”
“The new facility will feature advanced production lines for energetic materials that Israel’s defence industry uses,” the ministry said.
The Israeli ministry added that the project is expected to boost domestic manufacturing independence and reduce reliance on imported raw materials.
Also read: US to initiate major $8 billion defence deal with Israel: Report
US to initiate arms deal with Israel
Last week, US President Joe Biden's administration informed Congress of a proposed $8 billion arms sale to Israel, according to two US officials, as reported by Reuters.
The deal, which includes munitions for fighter jets, attack helicopters, and artillery shells, requires approval from the House of Representatives and Senate committees. However, the State Department has not issued a comment on the proposed arms deal.
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(With inputs from agencies)