As the firm has spent two decades investing in its defense with state-owned , mounting evidence shows that it has now become one of the world’s major exporters of unmanned aircraft and defense equipment. Today, the country seeks to capitalize on this momentum as the West ramps up its armaments and international security alliances reshape.
How Turkey became a supplier from a buyer country
From a country that was heavily dependent on foreign suppliers of weapons systems, Turkey has evolved into a supplier to nearly 40 countries, mainly in the Gulf, Africa, Asia and parts of Europe. Turkish weapon systems are considered by many buyers to be cheaper, faster to deliver and more flexible than competing Western solutions.
As European governments reassess their security dependencies after the Russian invasion of Ukraine and question the long-term reliability of American security guarantees, more and more NATO allies see Turkey not only as a strategic pillar on the Alliance’s southeastern flank, but also as a potential industrial partner.
The Turkish perspectives
Ankara expects that hosting US President Donald Trump and other NATO leaders at next month’s summit will help boost defense exports and promote joint production programs in Western markets, particularly the European Union. There, Turkish companies still face institutional obstacles, such as defense initiatives limited to member states, but also political resistance linked to broader diplomatic disputes.
According to data compiled by Reuters, Turkish defense exports – including armed drones used by Ukrainian forces – have more than tripled since 2021, reaching $10 billion in 2025. The amount now corresponds to 3.7% of the total exports of the Turkish economy.
Exports to Europe and the United States nearly quadrupled over the same period, reaching $5.6 billion.
This impressive rise reflects the maturation of the domestic defense industry, which is dominated by companies such as Baykar, Turkish Aerospace Industries, but also smaller groups such as Arca Defense and Kale.
Analysts point out that continuous government support, flexible supply chains and the ability to adapt systems to each customer’s needs have allowed Turkish companies to penetrate markets where Western suppliers face capacity constraints or time-consuming procurement processes.
Wars, threats and new targets
Turkey aims to double its defense exports in the next two years, according to the state defense agency, expecting significant revenue to help reduce debt and finance new technology programs.
Located between two major conflict hotspots – Ukraine to the north and Iran to the southeast – Turkey is simultaneously called upon to cover critical gaps in states’ air defenses, but also in the production of engines for fighter jets and tanks, through commercial and technological collaborations.
Can Kassapoglu, a senior researcher at the Hudson Institute, argues that the Turkish defense industry has made “a big leap”, mainly through the export of advanced systems and especially unmanned aerial vehicles.
As he notes, the war in Ukraine demonstrated that modern military power depends not only on technologically advanced platforms, but also on industrial strength and the possibility of continuous production – areas in which Turkey has significantly strengthened its credibility.
The NATO summit as a showcase of the Turkish defense industry
Turkey supplies around 65% of the armed drones in use worldwide, and is also a major exporter of munitions. At the same time, it builds or plans to build frigates, an aircraft carrier, air defense systems and armored vehicles. Indonesia announced last year its intention to acquire 48 Turkish fighter jets still under development.
However, Ankara’s ambitions are also accompanied by political or communication risks. Last month, a prototype intercontinental ballistic missile was unveiled in Istanbul, prompting backlash from experts who questioned both the feasibility and symbolic intent of the unveiling. The related ad depicted a hypothetical strike that appeared to be headed for North America.
Turkish officials say the defense sector will be at the center of the NATO summit to be held in Ankara on July 7 and 8. The Secretary General of the Alliance, Mark Rutte, has stated that the Defense Industry Forum which will be held alongside the Summit will be the most wide-ranging that NATO has ever organized.
European barriers
The United States’ pressure on NATO allies to take on more of the defense burden, combined with plans to reduce the US military presence in Germany, creates a mix of opportunity and uncertainty for Turkey. The country has the second largest army in the Alliance.
In April, Turkish Defense Minister Yasar Guler called on European allies to abandon defense structures that exclude non-EU members such as Turkey, warning that such policies could harm European security and resilience more than a possible reduction in US forces on the continent.
Turkey remains largely outside the European SAFE programme, while several European governments remain wary of Ankara, citing foreign policy disagreements as well as concerns about the state of democracy and the rule of law in the country.
Despite the obstacles, Turkish companies have already secured contracts for defense equipment in Poland, Spain, Portugal and Romania. At the same time, Baykar acquired the Italian Piaggio Aerospace and proceeded to collaborate with Leonardo for joint production of defense systems.
The global boom in military spending
Global military spending increased by 24% in the five years to 2025, approaching $2.9 trillion. dollars, according to the Stockholm International Peace Research Institute (SIPRI). In Europe, the increase reached 75%.
During the same period, the Turkish Defense Service doubled its funded research and development programs, which now exceed 1,400.
Defense analyst Ardas Mevlutoglou believes that the conditions for deeper cooperation with Europe exist, provided that political obstacles are overcome.
“Europe needs solutions that can be implemented quickly. However, political will is required at the highest level for this cooperation to proceed smoothly”, he underlines, adding that “Turkey is in a process of redefining its relations with both Europe and NATO”.