December 5, 2025 | Policy Brief
Eyeing Russia, Germany Fields First Israeli Arrow 3 Missile Defense System
December 5, 2025 | Policy Brief
Eyeing Russia, Germany Fields First Israeli Arrow 3 Missile Defense System
The renewed Russian threat to Europe led Germany to field its first Israeli Arrow 3 ballistic missile defense system on Wednesday. Europe is working to improve its air and missile defenses in the face of an increasingly aggressive Russia and as Israel aims to bolster its defense ties with Europe.
This deployment of Arrow 3 marks a positive step for Israel, building on its recently renewed defense cooperation with Germany and its efforts to resume arms transfers with other former European suppliers that still refuse to sell to Israel because of the Gaza war. The deployment cannot come quickly enough for a Europe racing to address its air and missile defense deficiencies as Russian incursions of NATO airspace increase and the Trump administration’s new National Security Strategy emphasizes the need for Europe to take “primary responsibility for its own defense.”
Arrow 3 Brings New Capabilities to Germany
The approximately $3.6 billion sale marks the first time that the Arrow 3 has been procured outside of Israel and “the largest defense export deal in Israel’s history,” according to the Israel Ministry of Defense (IMOD). The United States approved the deal in 2023 and the Arrow system proved effective in defending against Iranian ballistic missile attacks in 2024 and 2025, with reports of impressive interception rates.
Arrow is a U.S. and Israeli co-developed ground-based ballistic missile defense system constituting the “upper-tier” of Israel’s integrated, multi-tier air and missile defense architecture. The Arrow 2 interceptor is designed to defend against medium- and long-range ballistic missiles within the atmosphere, while Arrow 3 is designed for exoatmospheric interceptions, including of ballistic missiles with longer ranges.
The director general of the IMOD called the delivery “only the beginning for Israel and Germany,” saying that “cooperation will strengthen and deepen — whether in the air, on land, or in space.” Germany also recently ordered Israeli Spike anti-tank missiles, and future defense cooperation includes plans for Germany to maintain and expand its Heron drone fleet.
Europe Races To Boost Air Defense in the Face of Acute Russian Threat
The arrival of Arrow comes as Russian drones and/or fighters have penetrated NATO airspace over Poland, Romania, Estonia, and Lithuania since September. NATO aircraft have also scrambled in Poland and Romania in response to Russian long-range missile and drone attacks against Ukraine. In response, NATO initiated Eastern Sentry, an effort to bolster air defenses on NATO’s eastern flank with an emphasis on countering drones.
But NATO’s air defense needs go far beyond drones, and Germany’s acquisition of Arrow 3 highlights the importance of increasing long-range missile defenses. In response to Russia’s prolific use of various missiles against Ukraine, Germany and other NATO nations launched the European Sky Shield Initiative (ESSI) to counter Russia’s missile threat. Germany’s defense minister called Arrow 3 a “unique capability among our European partners,” pointing to its ability to defend large geographic areas against “long-range ballistic missiles.” Once fully fielded, Arrow 3 will complement Germany’s existing capabilities, including the American-made PATRIOT, which can defend key locations from close- and short-range ballistic missiles, and the German IRIS-T SLM, which can intercept cruise missiles.
Steps Toward Defending NATO’s Skies but Much More Needed
Germany’s procurement of Arrow 3 will help better defend a key American ally and better secure U.S. interests in Europe, but the procurement of Arrow 3 is not nearly enough. Germany, as well as other European allies, should procure additional American and Israeli systems to address acute air and missile defense needs while bolstering European production capacity. Delivering these systems on an expedited timeline will require major additional investments in defense production capacity and supply networks. Israel will need all of the Arrow production capacity it can muster as Iran sprints to rebuild its ballistic missile production capacity and arsenal, reportedly with China’s help.
The United States, its European allies, and Israel must ensure the plethora of new systems can operate together in an integrated multi-tiered network that links all “sensors and shooters” in a seamless manner. NATO and its member states should also establish a systematic effort to gather, codify, and disseminate air and missile defense lessons that Israel and Ukraine have learned to ensure they help inform Eastern Sentry and ESSI.
Justin Leopold-Cohen and Cameron McMillan are senior research analysts at the Foundation for Defense of Democracies’ (FDD’s) Center on Military and Political Power (CMPP), where Bradley Bowman is senior director. For more analysis from the authors and CMPP, please subscribe HERE. Follow Justin on X @jleoploldcohen. Follow FDD on X @FDDand @FDD_CMPP. FDD is a Washington, DC-based, nonpartisan research institute focusing on national security and foreign policy.