Daily Newsletter

08 November 2023

Daily Newsletter

08 November 2023

MBDA and PGZ sign £4bn air defence contract, largest UK-Poland deal ever

For British engineers the sharing of technology and critical skills with Polish counterparts should provide employment for more than 15 years.

Andrew Salerno-Garthwaite November 07 2023

In the largest commercial agreement ever secured between the UK andPoland, UK missile developer an manufacturer MBDA has signed a £4bn (20.5bn zlotys) deal with Polish defence company PGZ for support in the delivery of the Narew air defence programme for the Polish Armed Forces. 

The deal will transfer 'unprecedented ' levels of knowledge and key technologies to PGZ, according to a release from MBDA on 7 November. 

For British engineers in Bolton, Bristol and Stevenage the sharing of technology and critical skills with Polish counterparts should provide employment for more than 15 years, but the deal will also see the manufacture of complex missile systems in Poland, according to a statement from the UK Ministry of Defence (MoD).

The UK Secretary of Defence Grant Shapps praised the signing of the agreement as a 'crucial' closening of ties with Poland and saluted the defence sector’s 'thriving' nature. As longstanding defence partners and NATO Allies, the UK MoD expressed solidarity with Poland in safeguarding NATO's Eastern Flank and providing support to Ukraine in the face of challenges posed by Russian actions.

The Narew system will incorporate MBDA's CAMM-ER missile, which has been developed through collaboration between the UK and Italy.  CAMM missiles have the capability to effectively neutralise modern air threats, including stealth aircraft and high-speed missiles, due to their ability to fly at supersonic speeds. 

Earlier this year, the UK and Poland jointly announced the commencement of a programme aimed at delivering the CAMM to Poland through a significant £1.9bn contract. 

Narew utilise 1,000 extended range CAMM-ER air defence missiles, and more than 100 launchers as part of an air defence system to strike targets at ranges beyond 40km, providing Poland with a highly advanced mobile air defence system.Additionally, Polish radars, vehicles, and other equipment will be utilised, along with the United States' Integrated Battle Command System (IBCS).

“The scale and ambition of NAREW is truly impressive – building a Polish air defence shield using our CAMM family missiles and iLaunchers that will protect the entirety of Poland’s skies,” said Eric Béranger, CEO of MBDA. 

“The transfer of technology in NAREW will be transformative for Poland’s sovereign complex weapons capabilities, and we are deeply proud of the trust placed in us by Poland and excited for the future of our partnership with the eleven members of the PGZ-NAREW Consortium.”

Directed Energy Weapons (DEWs) are beginning to see combat deployment

The recent introduction of hypersonic missiles into the global threat matrix has led some observers to consider the potential of DEW as an effective countermeasure to this emerging technology. Consequently, the DEW market presents significant potential for growth due to rising global demand and extensive opportunities for technological innovation, though the exorbitant cost of most DEW systems poses its own challenges, most notably higher financial risk during R&D as well as a relatively limited pool of viable customers.

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