Germany is set to enhance its military capabilities with the procurement of Israel’s Spike anti-tank missiles in a significant transaction valued at €2 billion (approximately $2.3 billion). This agreement was finalized through the NATO Support and Procurement Agency and the contract has been established with EuroSpike, a European joint venture located in Bavaria. This joint venture is predominantly led by Rafael, a prominent defense firm based in Tel Aviv, with German companies Rheinmetall Electronics and Diehl Defence holding an 80 percent stake.
Besides the supply of the missile systems, the comprehensive agreement encompasses maintenance, technical support, training, system integration, and the provision of related documentation, according to Israeli media outlets. The deal represents a significant expansion in Germany’s military arsenal and reflects a growing reliance on Israeli defense technologies.
The Spike missile series, which is now operational in over 40 countries, boasts versatility with the capability to be launched from various platforms, including shoulder-mounted systems, vehicles, aircraft, and naval vessels. Depending on the specific configuration, these missiles have an effective range that can span from 50 to an impressive 50,000 meters (164 to 164,042 feet).
To facilitate production while navigating international regulations, much of the Spike missile manufacturing occurs in Europe. Tzvi Marmor, an executive vice president at Rafael, noted the geopolitical dynamics impacting sales, emphasizing the advantages of being perceived as a European entity: “There is geopolitics that affects the ability to sell and the need for local solutions, when it has the advantage of not being known as an Israeli company.”
A senior defense official added that framing these arms deals as German—through the EuroSpike partnership—has proven strategic for Rafael, leading the Spike to become an unofficial weapon option for NATO and a highly sought-after missile globally. This model highlights the effectiveness of Israeli companies collaborating with European partners to navigate complex geopolitical landscapes.
Despite ongoing diplomatic tensions, particularly regarding Germany’s military relationship with Israel and its policies in Gaza, defense procurements from Israeli firms are continuing. This development comes even after German Chancellor Friedrich Merz imposed restrictions on arms exports that could be applied in the current conflict in Gaza. Nevertheless, Germany has proceeded with other significant acquisitions, including three Heron drones from Israel Aerospace Industries and various systems from Elbit Systems for A400M aircraft and PULS rocket launchers.
In 2025 alone, reports indicate that the German Armed Forces allocated €315 million (around $365.4 million) toward Israeli weapons, surpassing total expenditure over the preceding four years. This spending is separate from the Spike deal and earlier significant acquisitions like the $3.5 billion Arrow 3 missile system acquired in 2023.
As the geopolitical landscape continues to evolve, Germany’s expanding military relationship with Israeli defense technology will likely remain a focal point in discussions around international arms procurement and diplomatic relations.
