TEL AVIV: Israeli defense company Rafael will enhance its presence in the US by increasing the capability of existing subsidiaries and creating fully owned American companies, CEO, Yoav Har-Even tells Breaking Defense. (In a bit of serendipity, the first of Rafael’s Iron Dome anti-missile systems was delivered today to the US Army.)

To cope with the formidable challenges of US arms exports laws, the company will ensure that, “some of our advanced systems will be fully Americanized to allow the US forces to use them without any restriction.” Har-Even says. The retired major general served in the Israel Defense Forces (IDF), ending his service as head of the Operations Directorate.

Iron Dome anti-missile system Credit: Rafael

The new expansion plan is aimed not only to overcome the gradual decrease in the portion of the US Foreign Military Financing (FMF) fund that can be exchanged for Israeli local currency, but also to increase US sales.  “We plan to enhance this activity because the Israeli defense budget will have less local currency, but also to open new markets in the US for our systems,” Har-Even said.

The CEO noted that in almost all cases the US will buy weapons only from an American company.

“We have already established one such company managed by an American retired general, and it is already active in the US market,” he said. “This company, RSGS, already offers the US Army two main capabilities – the Fire Weaver, a networked sensor-to-shooter communication system, and the technologies developed by Rafael to enhance the capabilities of combat vehicles.”

Rafael’s imprint in the US includes, notes the company’s CEO: “four Abrams tank divisions” being equipped with their “Trophy active protection system; two Iron Dome systems deployed by the US Army; integration of the Iron Dome Interceptors in the Marines’ defense systems against aerial threats, and the Litening targeting pod, one of our bestselling systems.”

Har-Even revealed that the company is considering full production of the Iron Dome in the US by Raytheon. Recently, the two companies formed a joint venture called R2S, for production of the Iron Dome’s Sky Hunter interceptors in the US.

He also said the Rafael SPIKE NLOS missile will soon be demonstrated in the US in “different combat scenarios.”

While Iron Dome and David’s Sling are considered effective anti-missile systems, there is support in Israel among some that want another layer of defense added to missile defense based on laser weapons. Thus, Har-Even says Rafael is developing the technology for a “laser capability will complement those achieved by the Iron Dome and David’s Sling. It cannot be a stand-alone systems, but it will be incorporated in current systems.”

The Rafael CEO further confirmed for the first time that Rafael is developing new air-air missiles. “We are working on the new generation of the Python-5 IR and the Derby radar air-to-air missiles. We work on the basis of the proven assumption that any air-air missile can also be employed as a ground-air missile. We are using the two missiles in our Spyder point defense ground- air systems.” The goal is to upgrade the Python-5 and the Derby to “so that they can handle not only enemy fighter aircraft but also targets like cruise missiles.”

Since the first F-35 arrived in Israel, the Israeli Air Force has made it clear that it wants to equip the stealth aircraft with homemade systems that will increase its lethality in different scenarios. Rafael has been mentioned as the company that will develop most of these supplemental systems.

I asked the Rafael CEO for details about these systems: “This is something I cannot discuss,” he said.

Under contracts awarded last year on an urgent needs basis by the US Army’s Program Executive Office for ground combat systems, Rafael and its partner Leonardo-DRS are equipping front-line M1 Abrams tanks for both the Army and Marine Corps with their first Active Protective Systems (APS). The deliveries are the culmination of a multi-year qualification process. A joint team of government and industry from both the US and Israel worked together to adapt and integrate Trophy for both Army and Marine Corps Abrams variants.

Delivery of the first order will be completed by the end of the year and, he added, “we can say that additional contracts are under discussion.”

Rafael has been contracted to supply two Iron Dome systems to the US Army to answer the “interim Indirect Fire Protection Capability” against artillery rockets and cruise missiles. “The first will be supplied later this month,” Har-Even said, adding that delivery of the batteries is to begin soon.

Only two Israeli companies have invested in the development of long-range ground-to-ground missiles: Israel Aerospace Industries (IAI) who developed the Lora; and Israel Military Industries (IMI), which has a range of such missiles.

I asked Har-Even whether his company intends to enter this market niche. “We have all the needed ingredients for such missiles, all of them used and proven in our air-ground weapon systems like the Spice family of precision bombs,” he said. “We have sensors, we have warheads and we have the ultimate proof that we can hit a moving target. If we decide to manufacture ground-ground rockets we have all the building blocks.”

As Breaking D readers knew first, the Israeli Defense Ministry has a plan to launch a great number of nano-satellites to be operated in constellations or “swarms” to give Israel a better early warning on ballistic missiles launch from countries like Iran.

Rafael is moving into a market segment which has been dominated in Israel by Israel Aerospace Industries. The satellite house of Israel IAI builds the Ofeq spy satellites and the Amos line of communication satellites. Rafael has won a contract for the nano-satellites.

“I heard the criticism about this decision claiming that we are new in this satellite business, but this is a mistake. All Israel satellites are using our space products – a variety of both hot- and cold gas-based propulsion systems, including satellite propulsion systems, propellant tanks, thrusters and propulsion valves,” Har-Even said.

These nano-sats appear to be part of a general move by Rafael to buy into Multi-Domain Operations, which is rapidly becoming the new way of Western war.

Har-Even says his company brings crucial building blocks for Multi-Domain warfare such as “our SDR communication systems and our capability to integrate sensors with fast multi-channel communication systems, is an advantage in many markets.”