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India and Israel Sign $8.6 Billion Defense Agreement

Major arms deal strengthens strategic partnership and cements Israel’s role as a top supplier to India.

Israel and India have sealed a sweeping new defense agreement worth $8.6 billion in 2026, deepening a strategic partnership that has steadily grown over the past decade.

According to reports in Forbes India, the latest contracts position Israel as India’s second-largest weapons supplier after France, underscoring Jerusalem’s expanding footprint in one of the world’s most important defense markets.

India has consistently been Israel’s top defense customer. Between 2020 and 2024, it accounted for 34% of Israel’s total arms exports, according to data from the Stockholm International Peace Research Institute. Figures from Israel’s Defense Ministry show that sales to India during those four years reached approximately $20.5 billion and the newly signed agreements signal continued upward momentum.

The latest package includes four advanced Israeli weapons systems supplied by some of the country’s leading defense companies: Rafael, Elbit Systems, and Israel Aerospace Industries.

Among the systems included is the SPICE 1000 precision-guided bomb, part of Rafael’s SPICE family of autonomous air-to-ground weapons. With an operational range of up to 100 kilometers, the 500-kilogram munition uses electro-optical guidance rather than GPS, matching stored imagery to real-time visuals to achieve pinpoint accuracy of less than three meters. The SPICE system has previously earned the prestigious Israel Defense Prize.

India will also expand its use of the Rampage air-to-surface missile, manufactured by Elbit Systems. With a range of roughly 150 to 250 kilometers, the missile allows Indian Air Force aircraft such as the Sukhoi-30 and MiG-29 to strike high-value targets while remaining outside enemy air defense envelopes.

Another key component of the deal is the Air Lora air-launched ballistic missile, produced by Israel Aerospace Industries’ MLM division. Capable of striking targets at distances of about 400 kilometers, the 1,600-kilogram missile travels at supersonic speeds and uses satellite navigation designed to withstand jamming. Operating under a “fire-and-forget” model, it can be equipped with different warheads tailored for hardened or soft targets.

The fourth system, Rafael’s Ice Breaker missile, is designed for both land and maritime targets at ranges of up to 300 kilometers. Built to function in all weather conditions and contested electronic environments, it uses advanced infrared guidance enhanced by artificial intelligence.

Beyond the technical specifications, the scale of this agreement reflects the broader alignment between Jerusalem and New Delhi. As India modernizes its armed forces and diversifies suppliers, Israeli innovation has become central to its precision-strike and stand-off capabilities.

For Israel, the deal reinforces its status as a global defense technology leader. Israeli systems are not only battle-tested but continuously refined in real-world conditions, making them highly sought after by international partners.

At a time of shifting geopolitical alliances, the deepening Israel–India defense partnership signals long-term strategic trust and shared security interests between two democracies navigating complex regional challenges.

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