The manufacturer of the Hermes armed drone and cutting-edge surveillance technology, among other products, hailed the announcement as a product of the so-called Abraham Accords that saw Israel establish diplomatic ties with several Arab states including the UAE last year.

The new venture, Elbit Systems Emirates, "will seek to foster a long-term cooperation with the United Arab Emirates (UAE) Armed Forces," the Israeli firm said in a statement.

Company vice president Ran Kril said, "the Abraham Accords provide a sound basis for business collaborations in the region", calling the UAE one of the region's "important new markets" for Elbit.

Israeli air force commander Amikam Norkin was in the UAE over the weekend to attend the Dubai Airshow, after his Emirati counterpart visited Israel last month to observe Israel's largest-ever joint military drill.

Defence Minister and former Israeli military chief of staff Benny Gantz and other senior defence officials are due to visit Dubai next week to inaugurate "the first ever national pavilion" at the air show, Gantz's office said in a statement.

Other leading Israel defence industry firms, including giant Rafael, will participate in the exhibit, his office said.

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ELBIT SYSTEMS

HERMES INTERNATIONAL