Elbit opens new drone production plant in Romania to expand presence in Europe

Defense giant’s seventh facility in country will produce and maintain advanced unmanned aircraft systems and serve as a hub to expand Europe sales

Israel’s largest defense firm, Elbit Systems, on Monday inaugurated a new drone facility in Romania for the production of advanced unmanned aerial systems platforms as the defense tech giant seeks to expand its footprint in Europe.

The new site in Chitila is Elbit’s seventh production facility in Romania, which the company said cements its long‑term commitment to local industrial cooperation, technological development, and European defense capabilities. Elbit has been active in Romania for the past three decades, and employs more than 1,000 workers in the country.

The inauguration of the new drone facility comes after Romania threatened to cancel a contract worth more than $400 million to purchase Watchkeeper XR tactical UAV systems from Elbit because the delivery date was delayed due to the war. The defense contractor said the new facility was developed as part of the Watchkeeper XR program and will support production, integration, testing, and maintenance of the advanced drone platforms. It will also serve as a hub to expand sales in Europe.

“What we deliver is not just a platform, but capability: systems that are reliable, mission-ready, and prepared to operate where and when they are needed,” said Yoram Shmueli, general manager of Elbit Systems Aerospace.

The Watchkeeper XR, a derivative of Elbit Systems’ Hermes 450 UAV, is tailored for intelligence gathering, surveillance, and target acquisition. Back in December 2022, Elbit inked a five-year deal to sell Romania, a NATO member, seven Watchkeeper unmanned aerial vehicle systems for more than $400 million. Deliveries were due to start in 2025.

Romania, which shares a 650-kilometer (400-mile) border with Ukraine, has had Russian drone fragments fall in its territory repeatedly since Russia began waging war on Ukraine in 2022.

Elbit, led by CEO Bezhalel Machlis, is an arms manufacturer and supplier specializing in the development of a broad spectrum of defense, homeland security and commercial systems that are marketed worldwide.

Amid Israel’s multifront war with Iran, Hamas, Hezbollah and other Iranian proxies, and with the war between Russia and Ukraine, European countries have been showing growing interest in buying Israeli defense technology due to heightened regional security concerns.

Over the past two years, Elbit has been inking contracts with global customers even as pro-Palestinian and anti-Israel protesters have assailed the firm, negative sentiment toward Israel has been growing, and arms embargoes have been floated over Israel’s conduct during the war against the Hamas terror group in Gaza.

Reuters contributed to this report.