

Iran continues to improve its Shihab-3 ballistic missile, which is capable of striking Israel, U.S. troops in the region and parts of Europe. At the same time, Syria continues to perfect the Scud-D—the longest-range weapon in its arsenal that can hit all of Israel.
Israel must spend some $1 billion on developing the next generation Arrow missile defense system capable of countering threats outside the atmosphere. Israel must also deploy more accurate and longer-range ballistic missile interceptors.
Hamas and other Palestinian terrorists are targeting Israeli civilians with Qassam and other types of rockets. Hizballah has amassed 40,000 Katyushas and other rockets, while Syria has 100,000 short- and medium-range rockets.
Israel plans to invest close to $1 billion to develop improved rocket defense systems, including the jointly developed U.S.-Israeli “David’s Sling,” designed to protect against rockets and missiles fired from a range of 25 miles to 150 miles.
Palestinian terrorists are acquiring better short-range shoulder-launched anti-aircraft missiles, while Syria and Iran are fielding new Russian radar-guided air defense systems. Meanwhile, Persian Gulf states are upgrading their fleets of sophisticated combat aircraft.
Purchase premier combat aircraft for the 21st century, the Joint Strike Fighter F-35. Israel will order 25 planes this year, with a goal to eventually have a force three times that size. Each plane, with Israeli modifications, may cost as much as $100 million.
Syria, Hizballah and Palestinian terrorist groups are using advanced Russian and Iranian anti-tank missiles. These guided weapons were used with deadly effect against the IDF in Lebanon during the war with Hizballah and pose a mounting risk to Israeli armored forces.
The IDF must better protect its Merkava tanks and increase the size and readiness of its armored units. Israel plans to build dozens of Merkava IV tanks ($4.5 million each) and deploy hundreds of heavy Namer armored troop vehicles ($1.5 million each).
Israel’s adversaries are increasingly adept at concealing and protecting their facilities such as rocket bunkers and command centers.
Late last year, Israel signed a deal to purchase $1.3 billion worth of American-guided missiles and smart bombs able to destroy deeply buried sites with pinpoint accuracy. The package includes 2,000 TOW missiles and 1,700 Hellfire II anti-tank missiles.
Israel faces a decrease in its ability to secure strategic depth via naval power and protect vital trade routes while also trying to address the growing challenge of weapons being smuggled to terrorists in Gaza via the sea.
The Israeli Navy seeks to expand its fleet by purchasing two U.S. Littoral Combat Ships. When outfitted with the latest weaponry and electronic gear, these state-of-the-art vessels will cost close to $400 million each.
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