Israeli Ministry of Defense, Elbit Systems and the German ThyssenKrupp Marine Systems (TKMS) has officially inaugurated a new production line dedicated to the manufacture of structural elements for submarines.
The initiative is part of an industrial counter-purchase agreement concluded between the two countries.
The new company operates in the Bar-Lev industrial zone in the city of Karmiel in northern Israel and will specialize in the production of underwater components made from polyester fiberglass — a material widely used in maritime applications due to its structural strength, light weight and durability in harsh marine environments.
Strategic industrial counter-purchase agreement
The project is part of the commitments made by TKMS when it signed a major contract for the supply of next-generation submarines and modern missile-equipped corvettes to Israel. As part of the agreement, the Israeli defense industry will absorb German technology and production know-how, thus strengthening its industrial defense base.
According to information published by Elbit Systems, Israeli specialists are implementing technological solutions transferred from their German partners to develop advanced local production capabilities.
Dakar class: contract worth billions of euros
Israel has a long history of strategic cooperation with TKMS in the area of submarines. The German company is currently building the new generation of submarines of the Dakar type, which will replace the first batch of Dolphin classeswhich was delivered to Israel in the late 1990s.
The contract, valued at approximately 3 billion euros, includes the construction of three modern submarines. Production of the first Dakar-class vessel began in late 2024, with delivery expected around 2031.
The new submarines will have a unique design, developed specifically to meet the operational needs of the Israeli Navy. One of the key technological differences will be the air-independent propulsion (AIP) diesel-electric propulsion system, which significantly increases submerged range and operational discretion.
The industrial cooperation between Israel and Germany not only strengthens the bilateral strategic ties, but also the consolidation of local industrial capacities within the high-tech maritime sector.
Source and images: TKMS | Elbit Systems. This content is created with the help of AI and reviewed by the editors.
