Published by Global Banking and Finance Review
Posted on January 22, 2026
3 min readLast updated: January 22, 2026
Published by Global Banking and Finance Review
Posted on January 22, 2026
3 min readLast updated: January 22, 2026
Diehl Defence will boost IRIS-T air defence production to 16 units annually, supporting Ukraine and European nations under the Sky Shield Initiative.
By Sabine Siebold
BERLIN, Jan 22 (Reuters) - German missile maker Diehl Defence plans to expand production of firing units for its IRIS‑T SLM and IRIS‑T SLS air-defence systems, lifting capacity to as many as 16 units a year within two years, CEO Helmut Rauch said on Thursday.
The IRIS‑T SLM and SLS are among the most advanced ground‑based air-defence systems in Europe, and have been used by Ukraine to protect critical infrastructure from Russian attacks.
"Regarding the firing units, we are completely in line with our plans and can build up to 10 units this year," Rauch told Reuters in a rare interview on the sidelines of a Handelsblatt conference in Berlin.
"In the medium term, we are planning to expand production to up to 16 firing units - in about two years. If we see more demand from our customers, we can ramp up production even further."
The planned production increase has not previously been reported.
With a range of around 40 kilometres (24.6 miles) and full 360-degree coverage, the IRIS‑T SLM has become one of the most prized systems Berlin has delivered to Kyiv.
Ukraine has used the system to shoot down cruise missiles targeting power infrastructure and aircraft including Iranian-made Shahed drones.
German officials have repeatedly described it as one of the top-performing Western systems in Ukraine's arsenal.
Rauch noted a tenfold increase in the output of IRIS-T SLM missiles since 2021, prior to Russia's full-scale invasion of Ukraine.
"If we get more orders, we can also ramp up production here (of the missiles)," he said, declining to specify annual production figures.
EUROPE SEEKS TO REBUILD AIR DEFENCES
Western countries have raced to bolster air-defence inventories, depleted over decades of post-Cold War neglect, following the onset of the war in Ukraine.
In response, Germany launched the European Sky Shield Initiative (ESSI) in 2022, which now groups more than 20 nations, aimed at boosting ground-based air defence in Europe.
Rauch said eight ESSI members - Estonia, Latvia, Bulgaria, Switzerland, Denmark, Slovenia, Sweden and Germany - have purchased the IRIS-T SLM. Outside ESSI, Egypt and Ukraine have placed orders.
Germany has ordered a total of six IRIS-T firing units, receiving its first in 2024 and expecting four additional units this year, according to Rauch. Estonia and Latvia are expected to receive their initial units this year.
Diehl Defence is also developing a longer-range missile.
"We are working on the development of the IRIS-T SLX, which will have a range of 80 kilometres," Rauch said, adding that Germany had registered interest in the missile while Egypt had already ordered it.
The IRIS-T SLX is expected to enter series production in 2029.
(Reporting by Sabine Siebold, Editing by Louise Heavens)
An air defence system is a network of technologies and procedures designed to detect, track, and intercept aerial threats, such as missiles and aircraft, to protect critical infrastructure and populations.
Missile technology refers to the design, development, and deployment of missiles, which are self-propelled weapons designed to deliver explosive payloads to a target.
The European Sky Shield Initiative is a collaborative effort among European nations to enhance air defence capabilities and improve the protection of member states against aerial threats.
The IRIS-T system is recognized as one of the most advanced ground-based air defence systems in Europe, providing effective protection against various aerial threats.
International orders play a crucial role in defence production by driving demand for military technology and systems, facilitating collaboration among nations, and enhancing global security partnerships.
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