Tel Aviv Unveils $1.5B Armored Vehicle Expansion Amid Gaza War
Israel’s Ministry of Defense has approved a $1.5 billion initiative to fast-track production of main battle tanks and armored vehicles as part of efforts to modernize the Israel Defense Forces over the next five years.
The program, led by Defense Minister Israel Katz and Maj. Gen. (Res.) Amir Baram, includes expanding manufacturing lines, upgrading depots, and investing in domestic defense suppliers to strengthen both military capacity and national industry. It also intends to revitalize production hubs in outlying regions to support long-term economic stability.
Among the platforms prioritized are the new-generation Merkava tank, equipped with AI-based technology and upgraded sensors, the Namer APC, and the Eitan 8×8 AFV, all of which have demonstrated high performance in Gaza combat operations.
According to the ministry, these vehicles have already logged over one million kilometers in battlefield conditions since the outbreak of the Swords of Iron conflict in October 2023. The plan underscores Israel’s intent to maintain technological independence and readiness in a shifting security environment.
Pending final approval from the Joint Committee for the Defense Budget, the ministry will move forward with procurement contracts worth several billion shekels.
