On 26 August 2025, Turkey and Egypt signed an agreement in Cairo to jointly collaborate in the production of vertical take-off and landing (VTOL) unmanned aerial vehicles (UAV) (a type of drone which lifts off like a helicopter and cruises like a small plane).
The deal has been brokered between HAVELSAN, a Turkish defence contractor, and Egypt’s Arab Organization for Industrialization, a state-owned conglomerate known to run military factories. On basis of several report, it is confirmed that production will commence at the AOI-affiliated Kader Factory for Developed Industries in Cairo.
On 27 August 2025, HAVELSAN, made the announcement through its official X account, stating “We signed a strategic cooperation agreement with the Arab Organization for Industrialization (AOI), one of Egypt’s leading industrial institutions, for the joint production of autonomous unmanned aerial vehicles”.
It further added, “Within the scope of this partnership, the assembly and joint production of autonomous unmanned aerial vehicles will be carried out”.
Anadolu Agency (AA) further reported that the cooperation agreement covers the joint production of the BAHA, BULUT and BOZBEY sub-cloud unmanned aerial vehicles, developed within the Turkish defence industry.
The aim of the agreement is to address the needs of Egypt and the African market by providing cost-effective solutions customized specifically to the region.
An agreement for the production of vertical takeoff and landing unmanned aerial vehicles (VTOL-UAV) was signed in Cairo between the Turkish company HAVELSAN and the Egyptian Organization for Industrialization (AOI).
— Salih Mutlu Şen (@TurkishCairoAmb) August 26, 2025
Congratulations on this achievement.
The production process… pic.twitter.com/L1Uik3F8q1
Turkey’s ambassador in Cairo, Salih Mutlu Şen, also taking to X, announced the agreement while congratulating both sides.
Janes reported that HAVELSAN had briefly posted, then deleted a statement about joint production, Showcasing a video of HAVELSAN’s BAHA, a small fixed-wing VTOL drone. Some Egyptian sources referred to a model called “Torgha” or “Turkha,” a name not confirmed by HAVELSAN.
AOI is a state entity supervised by a committee chaired by Egypt’s president, and it serves as a hub for local manufacturing and licensed production. HAVELSAN is owned by the Turkish Armed Forces Foundation and develops software, autonomous systems and command-and-control products.
The drone deal came after the March agreement for joint production of unmanned ground vehicles at the same Kader factory. HAVELSAN and AOI said project aims to build vehicles in Egypt under license with Turkish technical support.
In July 2023, Turkey and Egypt restored full diplomatic ties and exchanged ambassadors. President Recep Tayyip Erdoğan visited Cairo in February 2024 for talks with President Abdel Fattah el-Sisi.
HAVELSAN’s VTOL line includes BAHA, which entered the Turkish military’s inventory in April 2025, as well as BULUT, which joined Turkish service this summer.
In regard to the recent agreement, HAVELSAN CEO Mehmet Akif Nacar expressed his thoughts on the joint partnership with AOI by stating “This partnership will enhance local production capacity while bringing autonomous UAV technologies to the region, allowing us to make a strong entry into the African market”.
Chairperson of the AOI, Maj. Gen. Mokhtar Abdullatif, also noted that HAVELSAN’s experience in the field of technology, combined with AOI’s production capabilities, will support Egypt’s defence and technology vision. He added, “This cooperation is not only about production; it is also a significant step toward technological independence and sustainable exports”.
The agreement is expected to bolster the Turkish- Egyptian ties.
