Jerusalem, 23 November, 2025 (TPS-IL) — Raytheon-Rafael Protection Systems (R2S) has secured a $1.25 billion contract to supply Israel with Tamir surface-to-air missiles, bolstering the country’s Iron Dome interceptor production.
The deal follows the opening of a new R2S factory in East Camden, Arkansas, established with a $33 million investment to support Israel’s Missile Defense Organization. The site will manufacture Tamir missiles for both the Iron Dome and the U.S. SkyHunter variant.
“This is the first production contract for the R2S joint venture and a major milestone for both Raytheon and Rafael,” said R2S CEO Jonathan Casey.
The funding comes from an $8.7 billion U.S. aid package approved by Congress in April 2024, with $5.2 billion specifically earmarked to strengthen Israel’s air defense systems.
The Iron Dome system, developed in Israel and manufactured in collaboration with the U.S. government, provides defense against short- and medium-range rocket and missile threats, as well as UAV threats. Throughout the recent war, the system has exhibited outstanding performance with remarkable interception rates, protecting Israel’s home front against missile, rocket, UAV, and cruise missile attacks. Featuring cutting-edge technologies, Iron Dome ranks among the world’s most sophisticated air defense systems. Rafael is the system’s lead contractor.
Iron Dome is the best-known system in Israel’s multi-tiered air defense network. Romania became the first European buyer of an Israeli Iron Dome with a €2 billion ($2.3 billion) deal signed in May.
Other layers include David’s Sling, designed to shoot down medium-range threats at high altitudes, and the C-Dome system, designed to protect naval assets from short-range threats. C-Dome made its first operational intercept in April 2024.
The Arrow-3 system, which is designed to intercept ballistic missiles, had its first operational success when it shot down a ballistic missile fired by Iran-backed Houthi rebels in Yemen in November 2023. It is widely believed to be the first time a missile was intercepted in outer space, though Israeli officials have not confirmed this.
Israel also became the first country to deploy a laser-based air defense system, the Iron Beam, which intercepted scores of active enemy threats in May.
International demand for Israel’s military technology has surged as European countries increased their defense budgets in response to Russia’s war in Ukraine. Israel set a new all-time record for defense exports in 2024, with sales reaching $14.79 billion.
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