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Netanyahu Says Israel Will Spend $110 Billion to Build Independent Arms Industry to Reduce Reliance on Foreign Suppliers

Netanyahu Says Israel Will Spend $110 Billion to Build Independent Arms Industry to Reduce Reliance on Foreign Suppliers

Israeli Prime Minister Benjamin Netanyahu said Israel will spend 350 billion shekels ($110 billion) over the next decade to develop an independent domestic arms industry, aiming to reduce reliance on foreign suppliers, according to Reuters.

Netanyahu made the remarks on Wednesday during a graduation ceremony for Israeli Air Force pilots, as Israel continues to face restrictions and delays on foreign weapons supplies amid the ongoing war in Gaza. We reached out to the Israeli prime minister’s office for comment.

Why It Matters

Israel relies heavily on foreign defense suppliers—particularly the United States—for advanced aircraft, refueling planes, and helicopters. A push toward greater self-sufficiency could reshape Israel’s defense procurement strategy and its long-standing security partnerships.

The announcement comes after several countries imposed or considered limits on arms exports to Israel during the Gaza war, highlighting vulnerabilities in Israel’s supply chains during prolonged conflict.

What To Know

Speaking at the ceremony, Netanyahu said Israel would continue acquiring essential military supplies from abroad while expanding domestic production. “Our goal is to build an independent arms industry for the State of Israel and reduce the dependency on any party, including allies,” he said, according to Reuters.

Netanyahu acknowledged that full independence may not be achievable, saying Israel would “strive” to ensure weapons are produced domestically “as much as possible,” including certain aerial platforms.

Israel currently depends on the United States for key systems such as fighter jets, aerial refuelers, and helicopters. At the same time, Israeli defense firms including Elbit Systems and Israel Aerospace Industries (IAI) already manufacture a range of unmanned aerial vehicles, missiles, and artillery systems.

During the Gaza war, several countries—including Germany, the United Kingdom, Spain, and at times the United States—imposed restrictions or delays on military exports to Israel, according to Reuters. Spain approved a full arms embargo, while other countries tightened export reviews or licensing.

Explicit caveat: Netanyahu did not specify how the 350 billion shekel investment would be allocated across weapons systems, companies, or years, and no detailed procurement plan or legislative funding framework has yet been published.

What People Are Saying

Benjamin Netanyahu, prime minister of Israel, said: “We will continue to acquire essential supplies while independently arming ourselves. I don’t know if a country can be completely independent but we will strive… to ensure our arms are produced as much as possible in Israel.”

Netanyahu added: “Our goal is to build an independent arms industry for the State of Israel and reduce the dependency on any party, including allies.”

What Happens Next

Israel’s government is expected to incorporate the long-term arms investment into future defense budgets and procurement planning. The defense budget for 2026 has been set at 112 billion shekels, according to the defense ministry, with further funding decisions likely to be debated in upcoming budget cycles, as reported by the Jerusalem Post.

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Zane Clark

Zane Clark is a writer whose interest in national affairs began at age 11, during a birthday ride in a 1966 Piper 180C that sparked an early curiosity about history and current events. That first moment of perspective grew into a lasting fascination with the people, conflicts, and decisions influencing the nation’s direction. Today, Zane brings clear, informed storytelling to Altitude Post, covering everything from major events to the individuals helping shape the country’s future. When he’s not writing, he’s researching history, following current developments, spotting aircraft, attending airshows or exploring the stories behind the headlines.

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