Israel Aircraft Industries (IAI) and Boeing are expected to finalise a deal this month on co-production of the Arrow anti-tactical ballistic missile. "We want to finalise the agreement to go ahead with the programme," says IAI.

Negotiations with Boeing began in November after Raytheon chose not to compete and IAI eliminated Lockheed Martin from the competition. IAI is seeking a US partner to allow the Israeli air force to buy more Arrow batteries using US foreign military sales funds and to cut manufacturing costs to allow it to be exported. Turkey and Japan have expressed interest in the Israeli system, which recently gained initial operational capability.

Source: Flight International