Israel broke its own defense export record in 2025, reaching nearly $19.2 billion, driven by strong international demand for its missiles, rockets, and air defense systems. This marks the fifth successive year of growth, with a notable increase of almost 30% compared to the previous year.

These figures come despite Israel’s involvement in continuous multi-front conflicts since late 2023 and mounting calls for boycotts of Israeli defense products. Israeli firms have maintained fulfillment of both domestic military needs and international contracts, securing new deals that reflect sustained confidence in their reliability and delivery capabilities.

The increase in Israeli arms exports contrasts sharply with the collapse of Russian defense sales, which have plunged drastically amid the Ukraine war and related sanctions. Research from the Stockholm International Peace Research Institute (SIPRI) shows a halving of Russian arms exports from 2019 to 2023 compared to the previous five-year period. Independent analyses report an even steeper 92% drop from 2021 to 2024, attributed to diverted resources, economic pressures, and sanctions.

Israel’s rising defense market share already placed it as the seventh-largest global arms exporter in 2021–2025, accounting for 4.4% of total major arms transfers. The 30% hike in 2025 likely boosted this share further. These developments occurred despite exclusionary measures at key international arms exhibitions. For example, Israel was restricted at Europe’s premier Eurosatory defense event, where French authorities barred Israeli government officials, prohibited a national pavilion, and limited the display of offensive weapons by Israeli companies.

The persistent barriers from some European venues toward Israeli defense firms have not impeded their export growth, highlighting a divergence between diplomatic pressures and commercial demand in the global arms market. This dynamic underscores emerging geopolitical re-alignments that influence defense procurement decisions worldwide while Israel consolidates its position as a leading supplier under strained conditions.