Israel’s Ministry of Defense has signed a multi-billion-dollar contract with Rafael Advanced Defense Systems to accelerate serial production of the Iron Dome air-defense system, the ministry announced Thursday.

The procurement order was signed by Defense Ministry Director General Maj. Gen. (Res.) Amir Baram at the ministry’s headquarters, in a ceremony attended by senior officials including Defense Minister Israel Katz, DDR&D chief Dr. Daniel Gold, the U.S. defense attaché in Israel, and senior executives from Rafael.

The deal follows months of negotiations led by Israel’s Missile Defense Organization in coordination with the U.S. Missile Defense Agency and Rafael’s air-defense division. Under the agreement, Rafael will deliver a large new batch of Iron Dome interceptors for use by the Ministry of Defense and the Israel Defense Forces.

The signing comes amid implementation of the $8.7 billion U.S. aid package approved by Congress in April 2024, which earmarked $5.2 billion specifically for Israel’s air-defense architecture — including Iron Dome, David’s Sling, and the high-energy laser program now nearing operational deployment.

Iron Dome, co-developed by Israel and the United States, is designed to counter short- and medium-range rockets, missiles and UAVs. The system has recorded high interception rates in recent conflicts, becoming a central element of Israel’s multi-layered air-defense network. Rafael serves as the prime contractor, working alongside IAI’s ELTA division and mPrest, while the U.S. MDA co-produces system components.

Officials said the expanded order will significantly strengthen Israel’s defensive capacity. Defense Minister Katz called Iron Dome “one of the world’s finest air-defense systems,” and said the new procurement marks “a strategic leap” in national defense readiness. Baram said the system has “fundamentally transformed the battlefield” and that joint U.S.-Israel production remains a core pillar of Israel’s defense posture.

Rafael executives said the contract underscores renewed confidence in Iron Dome and will help maintain Israel’s technological edge, ahead of the first operational deployment of a laser-based interceptor currently entering production.