Israeli defense firm Controp Precision Technologies has secured government approval to establish a subsidiary in the United Arab Emirates (UAE). This new entity, named Controp (UAE) Limited, will be fully owned by the Israeli parent company and will operate from the Abu Dhabi Global Market Free Trade Zone. This marks a significant milestone, as it enables the local production and marketing of advanced electro-optical surveillance systems in the Gulf region for the first time.
Controp (UAE) Limited will focus on sales, maintenance, technical support, and the local assembly of its surveillance and targeting systems, which cater to defense, homeland security, and border monitoring applications. To ensure national security, the establishment of this subsidiary has been approved under strict oversight by the Defense Security Commissioner, aimed at preventing any unauthorized transfer of classified technology or data.
The information systems of the UAE subsidiary will be kept entirely separate from those based in Israel. Furthermore, any technical knowledge exchange or financial transactions, such as royalties, will require advance approval from the Israeli government.
The total investment earmarked for the subsidiary is projected to reach $30 million, which will be supported through Controp’s equity and owner loans. An Israeli citizen will take on the role of CEO, ensuring that control and oversight remain firmly with the parent company in Israel.
The establishment of this subsidiary underscores the ongoing enhancement of defense cooperation between Israel and the UAE, which gained momentum following the normalization of diplomatic relations established by the Abraham Accords. Since 2020, numerous Israeli and Emirati defense companies have forged partnerships across various advanced technology sectors.
Notable collaborations include engagements between the UAE’s state-owned defense conglomerate EDGE Group and Israeli firms, focusing on areas such as drone countermeasures, radar systems, and electronic warfare solutions. In 2023, Israel Aerospace Industries entered a deal with EDGE to co-develop autonomous systems and anti-drone technologies tailored for regional clients.
Additionally, Rafael Advanced Defense Systems has explored cooperative projects in air defense and cybersecurity, while other Israeli companies, including Elbit Systems, have actively engaged in trade exhibitions held in Abu Dhabi, such as the International Defence Exhibition.
The approval of Controp’s UAE branch not only signifies growing economic ties but also reflects the shift in regional partnerships and security collaboration, marking a noteworthy chapter in the evolving landscape of Middle Eastern defense relations.
