Türkiye and Egypt have signed a series of defence industry documents since late 2023. These include a TUSAŞ letter of intent with Egypt’s Helwan Aircraft Factory, a HAVELSAN–AOI drone production agreement, a military framework agreement signed by the two presidents in February 2026, a defence cooperation letter of intent in July 2026, an MKE memorandum of understanding with Egyptian military factories, and a sales agreement for the jointly developed Hamza-1 VTOL drone. Media reports put a figure of roughly $350 million on the February 2026 package, but the full texts have not been published.
The Türkiye–Egypt defence agreements at a glance
The industrial cooperation follows a diplomatic reconciliation. Relations were strained after 2013. Reconciliation talks began in 2021, ambassadors returned in 2023, and the two presidents exchanged visits in 2024: President Erdoğan travelled to Cairo in February 2024 and President Sisi visited Ankara in September 2024. During that period, Turkish Foreign Minister Hakan Fidan said Türkiye had an agreement to provide Egypt with UAVs and other technologies, without giving details, according to reports at the time.
- Dec 2023: TUSAŞ and AOI’s Helwan Aircraft Factory signed a cooperation agreement / letter of intent at EDEX 2023.
- 27 Aug 2025: HAVELSAN and the Arab Organization for Industrialization (AOI) signed an agreement to manufacture VTOL drones in Egypt.
- 4–5 Feb 2026: Presidents Erdoğan and Sisi signed a military framework agreement in Cairo.
- June 2026: A protocol on joint training was agreed at the fifth Military Cooperation Committee meeting.
- 13 Jul 2026: A letter of intent on defence cooperation was signed in Ankara.
- 2 Sep 2026: MKE signed an MoU with Egyptian Ministry of Military Production companies in Sarajevo.
- 10 Sep 2026: HAVELSAN and AOI signed a sales agreement for the Hamza-1 VTOL UAV.
Timeline of signed documents
| Date | Document | Parties / signatories | Scope |
|---|---|---|---|
| Dec 2023 | Cooperation agreement / LOI | TUSAŞ – Helwan Aircraft Factory (AOI) | Exploring joint projects and technology transfer |
| 27 Aug 2025 | Cooperation agreement | HAVELSAN – AOI | VTOL drone manufacturing in Egypt |
| 4–5 Feb 2026 | Military framework agreement | Presidents Erdoğan and Sisi | Framework for military cooperation; reported MKE package |
| June 2026 | Protocol | Chiefs of staff (co-chairs) | Joint training |
| 13 Jul 2026 | Letter of intent | Egyptian Defence Minister Lt. Gen. Ashraf Salem Zaher with Turkish counterparts | Framework of future defence industry cooperation |
| 2 Sep 2026 | Memorandum of understanding | MKE – Military Factory 81 and Military Factory 99 | Joint production and R&D, notably energetic materials and ammunition |
| 10 Sep 2026 | Sales agreement | HAVELSAN – AOI | Hamza-1 VTOL UAV |
The February 2026 framework agreement and the reported MKE package
A key document is the military framework agreement signed during Erdoğan’s visit to Cairo on 4–5 February 2026, as reported by Al-Monitor. According to Yeni Şafak, cited by Al-Monitor, and to Military Africa, an associated package between MKE and Egypt’s Defence Ministry is worth roughly $350 million. The reports say about $130 million covers the TOLGA short-range air defence system. They attribute about $220 million to production in Egypt: a 155mm artillery ammunition factory and 7.62mm and 12.7mm ammunition lines, run through a joint venture. These figures come from media reports, not an officially published contract.
On 13 July 2026, Lt. Gen. Zaher visited Ankara and met Defence Minister Yaşar Güler and SSB President Haluk Görgün. Al-Monitor reports that a letter of intent on defence cooperation was signed with Güler. Görgün said they signed a letter of intent “that will define the framework of our cooperation in the period ahead”, according to Anadolu Agency.
Drones, ammunition and joint production in Egypt
Much of the cooperation is built around local production. On 2 September 2026, at the first Balkan Shield expo in Sarajevo, MKE General Manager İlhami Keleş signed an MoU with two companies of Egypt’s Ministry of Military Production. These are the Heliopolis Company for Chemical Industries (Military Factory 81) and the Helwan Company for Engineering Industries (Military Factory 99). The MoU covers joint production and R&D, notably explosives, energetic materials and ammunition. Egyptian Minister of State for Military Production Salah Soliman Gomblat and Turkish Deputy Defence Minister Salih Ayhan attended, Ahram Online reported.
Keleş later said MKE had set up a wholly owned subsidiary in Cairo under Egyptian law, named “Zafer”, to run commercial activity and joint production. He described the initial TOLGA sale as symbolic. Its purpose, he said, is to bring TOLGA into Egypt’s inventory and use the joint venture to market in Africa and the Gulf.
In unmanned systems, HAVELSAN and AOI followed their August 2025 production agreement with a sales agreement for the jointly developed Hamza-1 VTOL UAV. They signed it at the El Alamein International Airshow on 10 September 2026, with no quantity or price disclosed. ASELSAN opened a representative office, ASELSAN Egypt, during EDEX 2025, where 81 Turkish companies exhibited. The earlier link between Helwan Aircraft Factory and Turkish Aerospace (TUSAŞ) was an agreement to explore joint projects and technology transfer.
Military-to-military ties alongside industry
The industrial track runs in parallel with closer operational contact. In September 2025 the navies held “Friendship Sea”, their first joint exercise in 13 years, in the Eastern Mediterranean. In July 2026 the Egyptian air force took part in Anatolian Eagle 2026, and the Golden Eagle 2026 special forces exercise was held in Egypt. Friendship Sea-2026 took place off Alexandria on 4–9 November 2026. There, Turkish Navy commander Adm. Ercüment Tatlıoğlu said Türkiye aims for MILGEM-style joint shipbuilding with Egypt, according to Türkiye Today. That remains a stated aim rather than a signed agreement.
What is not known or confirmed
- The full texts of the February 2026 framework agreement and the letters of intent have not been made public.
- The roughly $350 million value and its breakdown come from media reports, not an official published contract.
- No unit numbers for TOLGA have been published.
- No quantity or price has been disclosed for the Hamza-1 sales agreement.
- There is no KAAN contract with Egypt.
- Joint MILGEM-style shipbuilding has been described as an aim, not a concluded deal.
FAQ
Has Egypt bought the TOLGA air defence system?
Media reports say about $130 million of the February 2026 MKE package covers TOLGA. MKE’s general manager has called the initial sale symbolic. No unit numbers or official contract text have been published.
Is Egypt producing Turkish drones?
HAVELSAN and AOI agreed in August 2025 to manufacture VTOL drones in Egypt. In September 2026 they signed a sales agreement for the jointly developed Hamza-1 VTOL UAV, without disclosed quantities.
Has Egypt signed a deal for KAAN?
No. There is no KAAN contract between Türkiye and Egypt.
Sources
- Al-Monitor — inside the reported $350m Egypt–Türkiye military pact, 9 Feb 2026
- Military Africa — Egypt–Türkiye arms and joint production deal, 14 Feb 2026
- Anadolu Agency — Türkiye and Egypt sign defence industry letter of intent, 13 Jul 2026
- Ahram Online — Egypt and Türkiye sign defence industry MoU in Sarajevo, 2 Sep 2026
- Sarajevo Times — MKE signs cooperation agreement with Egypt at Balkan Shield, Sep 2026
- Anadolu Agency — MKE sets up Zafer company in Egypt for joint production, Sep 2026
- Anadolu Agency — HAVELSAN and AOI sign Hamza-1 sales deal, 10 Sep 2026
- Anadolu Agency — ASELSAN opens representative office in Egypt, 5 Dec 2025
- Türkiye Today — Türkiye eyes MILGEM-style joint warship building with Egypt, 9 Nov 2026
Featured image: FactFindersEnigma via Wikimedia Commons, CC0. Illustrative photo.