IWI and AIA to open joint weapons manufacturing plant in Netherlands

Dutch and Israeli defense sectors are moving forward with a new manufacturing facility in the Netherlands. Israel Weapon Industries and Artillerie Inrichtingen Armaments announced on Monday that they will establish a plant to assemble Israeli-made weapons. For Dutch workers and local industrial suppliers, this creates a new domestic supply chain for small arms. For the Dutch government, it signals a shift in how the country sources military hardware.

The agreement designates AIA as the entity responsible for building the Dutch manufacturing operation. The company will set up the infrastructure required to deliver and support the products. IWI will supply the underlying technology, product expertise, and manufacturing know-how. The two firms stated that the partnership combines Israeli defense capabilities with Dutch industrial capacity.

The facility will specifically produce two weapon systems. The first is the Arad 5 assault rifle. The second is the Negev UX machine gun. The companies said this cooperation establishes a foundation for long-term domestic production in the Netherlands. They also noted the initiative will provide technical expertise and lifecycle support for these systems within the country.

This industrial move occurs against a backdrop of strained diplomatic relations. The Dutch government halted most arms exports to Israel last year, permitting only parts for defense systems like the Iron Dome. In October 2025, The Hague maintained its ban on exporting F-35 fighter jet parts to Israel, even after a Supreme Court order gave it the option to change policy. At the end of September, the Dutch government banned products from Israeli settlements in the West Bank, prompting Foreign Minister Gideon Sa’ar to revoke the accreditation of Dutch diplomats.

Despite these tensions, demand for Israeli weapons in Europe remains high. Israeli Defense Ministry officials reported in June that they continue to see strong interest from European buyers. The ministry stated that 2025 marked the fifth consecutive year of record global arms sales. The new plant is expected to advance the Dutch defense industrial base and create a new model for collaboration between Dutch industry and international manufacturers.