Egypt grows defence manufacturing cutting military costs

Egypt grows more reliant on domestic defence manufacturing as a way to cut down on military spending, reported Asharq Al Awsat on June 13th. 

Local production of armored vehicles, drones and air defence continue to grow in Egypt, all while the country aims to keep diversifying foreign arms suppliers and create joint production deals with other countries. 

According to figures released by the Stockholm International Peace Research Institute, Egypt posted the lowest military spending across Arab states last year. The country’s defence expenses accounted for 0.61% of gross domestic product. For scale, Algeria boasted the largest figure at 8.83% of GDP.  

Military experts told Asharq Al-Awsat that local arms production will ease pressure on foreign-currency reserves required for imports while allowing for a more secure supply chain. They explained that the heavy consumption of weapons, ammunition, and uninterrupted supply access is a strategic necessity in modern warfare.

Minister of State for Military Production Salag Mostafa stated that the current phase focuses on localizing advanced industrial technologies to improve production efficiency and enhance the competitiveness of Egyptian made products.    

Egypt showcased domestically produced defence systems at the EDEX 2025 defence exhibition held in Cairo last December. Notably the Jabbar 150 unmanned aerial vehicle was unveiled, which Egyptian officials describe as possessing advanced offensive capabilities. Natziv.net, an Israeli website, said in a report published on June 8th that Israeli security agencies are monitoring Egyptian military advancements in technology and are assessing their strategic implications. 

Additionally, in May, Egypt also formed part of a new quadrilateral grouping in the region along with Pakistan, Turkey, and Saudi Arabia. These four countries share concerns over the regional agenda being pushed by Israel and its partners including the UAE and fear that a collapse in the Iranian regime would tip the regional balance in Israel’s favour. 

Major General Samir Ragab said expanding local defence production also helps reduce pressure on foreign-currency resources. Another advantage that comes from local production is the ability to design weapons suitable for the local region and its weather. 

Despite the new measures Ragab told Asharq Al-Awsat, “No country in the world can achieve complete self-sufficiency in armaments.” Advanced weapons will continue to be imported to Egypt from countries suited with more sophisticated defence-industrial capabilities. 

Asharq Al Awsat, Maghrebi, Global Defence News.