ABSTRACT
Greece is a net arms importer. Most of the military hardware and advanced weapons systems in service with the Greek armed forces are procured from major arms producers. Nevertheless, there are noteworthy exceptions to this general rule as some defence inputs are produced locally. A combination of both strategic and economic factors was the driving force behind Greece’s defence industrialization strategy. Currently, the Greek defence industrial base exhibits a dualism. On the one hand, the publicly-owned defence companies face acute financial and managerial problems and rely heavily on state subsidies. On the other hand, there exists a number of private enterprises, most of them small and medium sized, that exhibit appreciably better performance often with a strong export orientation, engaging as sub-contractors in collaborative programs with major international producers. Given the size of the domestic market, a viable option for the Greek defence industry is to seek a deeper integration in the evolving joint European defence industrial base.
