Israel Aerospace Industries

Israel Aerospace Industries (IAI) represents a critical G2B target as Israel's largest state-owned defence company. Unlike private contractors, IAI's profits flow directly to the Israeli government, making every international contract a direct subsidy of ongoing military operations. With $6.1bn in annual revenue and a $25bn order backlog, IAI is a foundational pillar of Israel's military-industrial complex.

Key Leverage Points

• European Export Dependency: Germany's $6.7bn in Arrow 3 contracts represent the largest Israeli defence export ever. European governments face constituent pressure over defence purchases from companies linked to documented war crimes.
• EU Research Funding Vulnerability: IAI has received EUR 13.4m+ in Horizon funding. Academic boycott campaigns have already reduced Israeli Horizon approval rates by 68.5%. 2,000+ academics have petitioned for funding termination.
• Illegal Settlement Facilities: IAI operates facilities in the occupied West Bank (Atarot Airport) and Golan Heights, violating international law. This creates compliance risks for international partners.
• Combat Documentation: IAI drones are documented in attacks killing civilians, including the 2014 Gaza beach massacre of four children. Human Rights Watch reports provide authoritative evidence for procurement challenges.

Documented Impact

IAI weapons have been deployed in every major Israeli assault on Gaza since 2008. During Operation Cast Lead (2008-09), Human Rights Watch documented drone attacks killing 29 civilians including 8 children. In July 2014, an IAI drone killed four Palestinian boys aged 9-11 playing football on a Gaza beach - an incident confirmed by confidential Israeli military documents obtained by The Intercept. The company's HAROP and Harpy "kamikaze" munitions were used by Azerbaijan to devastating effect in the 2020 Nagorno-Karabakh conflict, demonstrating the "combat-proven" marketing model that treats Palestinian and other civilian populations as testing grounds.

Despite - or because of - operations subject to ICJ genocide proceedings, IAI reported record profits in 2024: $493m net profit (up 55%), driven by 15% revenue growth to $6.1bn. The company's CEO has described the war as a business opportunity, with the $25bn order backlog ensuring four years of operations at current pace. This pattern of profiting from operations under ICJ investigation makes IAI a particularly important target for economic isolation.

Engagement Strategy

Focus campaigns on government procurement decision-makers in Germany, India, and other major customers. Emphasise Human Rights Watch documentation and illegal settlement facilities as compliance risks. For EU targets, coordinate with academic boycott campaigns pressuring Horizon funding. For German constituents, frame Arrow 3 purchases as direct subsidy of genocide. The goal is contract cancellation and economic isolation. Coordinate with existing campaigns: BDS Movement (global coordination), Campaign Against Arms Trade (UK procurement), Scientists Against War (academic boycott), and European Parliament pressure groups. Unlike private companies, IAI cannot be pressured through shareholder activism - state ownership means legislative and diplomatic pressure is essential.