Rafael to Produce Iron Dome Components at Former Volkswagen Plant in Germany
Israeli defense firm Rafael, the German state of Lower Saxony, and the Aurelius Capital fund have signed a declaration of intent to convert a former Volkswagen site in Osnabrück into an industrial center for defense and security technologies. Rafael plans to manufacture components for air defense systems, including the Iron Dome, at the facility. Production could begin as early as next year, focusing on heavy trucks, launchers, and generators, though the interceptor missiles themselves will not be produced there.
The project aims to preserve a significant portion of the 2,300 jobs at the site, which were threatened by Volkswagen's restructuring. The agreement faced initial tension due to Qatar's stake in Volkswagen; the Qatari fund reportedly opposed direct cooperation with Rafael and threatened to block the deal. An alternative structure was established to prevent Volkswagen's direct involvement with the Israeli company.
Lower Saxony will play a key role in the industrial conversion, overseeing the site's transformation and providing support. Rafael will contribute its technologies and expertise in air defense systems. "Today, we are laying the foundation for a sustainable industrial partnership with our German partners," stated Rafael CEO Yoav Turgeman, emphasizing the goal of producing these technologies in Germany to enhance the security of Germany and Europe.
The initiative aligns with Germany's broader rearmament efforts, including significant planned investments in defense capabilities, particularly air defense.
