Cyprus Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in cyprus, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
Select Country Guide
Defense/Security
Last published date:

Overview

Republic of Cyprus

The defense and security sectors in the ROC were closed to U.S. businesses from 1987 to 2021 due to restrictions under the U.S. International Traffic in Arms Regulations (ITAR), which prohibited the transfer of U.S. defense goods and services to Cyprus. In September 2022, the U.S. Department of State announced the lifting of ITAR restrictions on an annual, renewable basis, allowing for the “approval of exports, re-exports, and transfers of defense articles” for the first time in 35 years. These restrictions have been suspended for the fiscal years 2023 through 2026, with defense items purchased legally during this period eligible for delivery and servicing even if the restrictions are reimposed. The U.S. Congress is considering extending the waiver renewal period for the arms embargo from one year to up to five years. Furthermore, under the January 2025 U.S. Presidential determination, the ROC joined the Foreign Military Sales (FMS) program, the Excess Defense Articles (EDA) program, and other U.S. initiatives that provide training and equipment to foreign national security forces.

Leading Sub-Sectors and Opportunities

Ministry of Defense and Cyprus Police Opportunities:   

The ROC Ministry of Defense and Police Department have announced plans to modernize their aging arms systems and weapons over the next five years. In September 2025, the European Commission approved the allocation of over one billion euros to Cyprus under the Security Action for Europe (SAFE) program, which aims to strengthen defense capabilities through joint procurement initiatives among EU member states. These developments present significant opportunities for U.S. defense and security companies to collaborate with local partners and participate in government tenders, laying the ground for deeper engagements in the Cypriot market.

Resources

×

Global Business Navigator Chatbot Beta

Welcome to the Global Business Navigator, an artificial intelligence (AI) Chatbot from the International Trade Administration (ITA). This tool, currently in beta version testing, is designed to provide general information on the exporting process and the resources available to assist new and experienced U.S. exporters. The Chatbot, developed using Microsoft’s Azure AI services, is trained on ITA’s export-related content and aims to quickly get users the information they need. The Chatbot is intended to make the benefits of exporting more accessible by understanding non-expert language, idiomatic expressions, and foreign languages.

Limitations

As a beta product, the Chatbot is currently being tested and its responses may occasionally produce inaccurate or incomplete information. The Chatbot is trained to decline out of scope or inappropriate requests. The Chatbot’s knowledge is limited to the public information on the Export Solutions web pages of Trade.gov, which covers a wide range of topics on exporting. While it cannot provide responses specific to a company’s product or a specific foreign market, its reference pages will guide you to other relevant government resources and market research. Always double-check the Chatbot’s responses using the provided references or by visiting the Export Solutions web pages on Trade.gov. Do not use its responses as legal or professional advice. Inaccurate advice from the Chatbot would not be a defense to violating any export rules or regulations.

Privacy

The Chatbot does not collect information about users and does not use the contents of users’ chat history to learn new information. All feedback is anonymous. Please do not enter personally identifiable information (PII), sensitive, or proprietary information into the Chatbot. Your conversations will not be connected to other interactions or accounts with ITA. Conversations with the Chatbot may be reviewed to help ITA improve the tool and address harmful, illegal, or otherwise inappropriate questions.

Translation

The Chatbot supports a wide range of languages. Because the Chatbot is trained in English and responses are translated, you should verify the translation. For example, the Chatbot may have difficulty with acronyms, abbreviations, and nuances in a language other than English.

Privacy Program | Information Quality Guidelines | Accessibility