Ahmed Kamel – Egypt Daily News
Egypt is strengthening its defense manufacturing capabilities through strategic partnerships with leading global technology firms. The Egyptian Ministry of Military Production (MoMP) is reportedly finalizing a contract with German defense giant Rheinmetall for the transfer of technology (TOT) and localization of the LUNA unmanned aerial vehicle (UAV). The project, which has moved from technical closure to contract finalization, aims to establish domestic production capabilities for advanced UAVs, signaling Egypt’s ambitions to modernize its defense sector while fostering high-tech industrial expertise.
The LUNA UAV, developed by Rheinmetall, is recognized for its intelligence, surveillance, and reconnaissance capabilities. By localizing its production, Egypt seeks not only to secure strategic autonomy in critical defense technologies but also to stimulate related sectors of its domestic industrial base. This aligns with the broader governmental vision of enhancing Egypt’s technological self-sufficiency and creating high-value jobs in defense and aerospace manufacturing.
This initiative complements other major industrial and technological projects across Egypt. Earlier this year, the country announced a $2 billion investment from China’s Shengfa Group in a major phosphate mining and chemical processing project, alongside ambitious plans to develop the Saint Catherine “Supreme Revelation” tourism hub in South Sinai with over $526 million in government funding. Meanwhile, Egypt’s Ministry of Planning continues to promote an economic reform agenda focused on private sector growth, infrastructure development, and renewable energy, with the goal of achieving sustainable development and regional competitiveness.
Experts note that Egypt’s growing emphasis on defense localization reflects a strategic trend across the Middle East, where governments are investing in domestic capabilities to reduce reliance on foreign suppliers amid regional uncertainties. By combining defense technology transfers with broader industrial modernization, Egypt positions itself as a regional hub for high-tech manufacturing, capable of supporting both national security objectives and economic growth.
The LUNA UAV project, along with ongoing reforms and large-scale infrastructure investments, underscores Egypt’s dual approach of leveraging foreign partnerships for technology acquisition while building long-term domestic capacity, a strategy expected to enhance resilience across both civilian and military sectors.
