Italy Defense Market Opportunities

Published in September 2024, the Italian Ministry of Defense (MoD) Multi-Year (2024-26) Defense Planning Document (DPD) allocates $30.2 billion in resources for 2025 (1.31% of GDP) and $30.1 billion for 2026 (1.26% of GDP).  An additional $620 million (2025/26) is allocated by the Ministry of Enterprises and Made in Italy (MiMiT) for technologically innovative defense projects.
Beyond programs to modernize and renew weapons systems, army tankers, warships, aircraft and helicopter platforms, a key focus of the DPP is on maritime and underwater situational awareness to safeguard national boundaries and strategic interests.  The emphasis remains on the enforcement of anti-submarine warfare (ASW), robotics, unmanned systems and large autonomous underwater vehicles (LAUV) and counter-drone capabilities for naval applications.  The MOD will launch a program to procure aerial unmanned platforms for ships to enforce patrolling capabilities.

The DPP identifies the need to strengthen command & control (C2) capabilities. Enhancing intelligence, surveillance and reconnaissance (ISR) capabilities is a key priority of the Italian Air Force to support multiple activities including navigation, meteorology and SIGINT/ELINT, as well as research activities mainly related to human space flight.  Space is a priority of the Italian government for the protection of national interests starting from critical satellite systems, both civil and military.  Research programs are planned to identify emerging and disruptive technologies for space situational awareness, and innovative platforms and operational and logistical services to support access to space.

The MOD will continue to focus on several projects already initiated that include migration to the national cloud, digitalization of infrastructure and cybersecurity capabilities enhancement.

U.S. firms seeking to enter the Italian defense market are strongly advised to work through a local agent, distributor or representative.  Attending trade shows in the region is an excellent opportunity to network with local distributors and partners.  The U.S. Commercial Service (CS) in Italy offers export assistance and resources to identify suitable partners.  For additional information on Italian defense procurement and CS services, please contact: Maria Calabria, Aerospace and Defense Trade Specialist, Maria.Calabria@trade.gov, +39 06 46742427.