Boeing is to build around 50% of the Israel Aircraft Industries (IAI) Arrow missile following the companies' agreement last month to co-operate on the anti-ballistic missile programme.

IAI will remain as the Arrow prime contractor and be responsible for integration and final assembly of the missile in Israel.

Before Boeing begins component production in the USA, the company needs a US State Department technical assistance agreement (TAA), which it applied for on 17 January.

Following approval, Boeing will begin to establish its capability to manufacture Arrow components. It is expected to take over production of the weapon's infrared seeker (it also has a radar sensor) and part of the weapon's flight control system.

Boeing will deliver its first components around 20 months after it receives a production order. The company will also co-ordinate the 150 or so US organisations that already manufacture Arrow components.

IAI started its search for a US partner in 2000 and spent most of last year negotiating with Boeing. Raytheon had decided not to compete for the work and IAI decided not to pursue talks with Lockheed Martin.

AUS partner will allow the Israeli air force to purchase additional Arrow batteries using US foreign military sales funding. A second goal is to reduce manufacturing costs to allow the system to be offered for export at an affordable price - India, Japan and Turkey have expressed interest in the system. The Israeli air force has two operational batteries and funding for a third.

Source: Flight International