"These strategic agreements are crucial for enhancing the Israel Defence Force's operational endurance and force build-up capabilities," it said, describing the need to reduce dependence on imports as "a central lesson" from the war in Gaza.
Under one agreement, Elbit will supply the military with thousands of heavy air munitions. The second deal would establish a plant to produce raw materials previously sourced mainly from abroad. The ministry did not specify the raw materials but suggested they were used to make munitions.
"Today, we are laying the foundations for expanding manufacturing independence in two critical areas for the IDF's operational sustainability - domestic production of heavy air munitions and establishing a national raw materials plant," said Eyal Zamir, director general of the defence ministry.
"Both agreements will ensure sovereign capability in producing bombs and munitions of all types."
Some Western governments have publicly expressed reservations about supplying arms to Israel during the war in Gaza. U.S. President Joe Biden paused shipments of some bombs last year over concern they would be used in built-up areas.
Zamir said that the move toward domestic production was initiated before the Hamas attack on Israel on Oct. 7, 2023, but the war that followed had accelerated the plans.
Elbit ESLT.O chief executive Bezhalel Machlis said the company was "committed to making a substantial contribution to strengthening the (Israel Defence Forces') munitions independence".
(Reporting by Steven Scheer; Editing by Peter Graff)

Elbit Systems Skylark-3 light UAS lunch during a military simulation by the Israeli defense forces at the Tze'elim combat training facility in Southern, Israel, 15 September 2022, during the international operational innovation conference led by the Israeli defence forces held in Israel from 13-15 September and hosts many Chiefs of Staff and commanders from different countries in the world. EPA-EFE/ABIR SULTAN