Tensions in the Persian Gulf continue to push the region’s military modernization programs, driving the business of the defense industry, including the Italian one. Leonardo has just signed a contract worth 320 million euros (around 1.3 billion dirhams) with Abu Dhabi Ship Building (Adsb), the Emirati shipyard controlled by the giant Edge Group to supply combat systems for the Falaj 3 patrol boats, destined for the Kuwait Navy.
Leonardo’s combat systems on Kuwait’s patrol boats in the Gulf
Leonardo’s supplies are part of the rearmament program called “Al Dorra”, which includes the order for the construction of eight naval units commissioned by Kuwait to Adsb, for a global value of almost 2 and a half billion dollars. The Falaj 3 class ships are new generation offshore patrol vessels, consisting of light platforms measuring 62 meters in length and 680 tonnes of displacement, designed for patrolling, coastal surveillance and surface warfare missions in contexts with a high density of threats, such as the waters of the Gulf.
Within this program, Leonardo will have the task of providing the most critical technological and lethal component, which specifically includes the Athena Combat Management System (Cms), a software and hardware system that acts as the “brain” of the unit, integrating sensors and coordinating weapon systems in real time. Leonardo will also supply the Kronos Naval HP radar, an advanced system for surveillance and target tracking, and the 76 mm Super Rapido cannon. The weapon is equipped with the Strales guided munition system, a technology for anti-missile defense and countering drones.
The Emirates oil pipeline that will bypass the Strait of Hormuz
The Italy-Emirates axis in Defense
The agreement is part of a strategy of commercial penetration in the global defense market, where the overall spending it reached a record of over 2,800 billion dollars in 2025.
In fact, the agreement serves to launch the new joint Italian-Emirati company between Leonardo and Edge Group (51% controlled by the Emirates and 49% by Italy) which was created with the aim of attacking the international defense market together by exploiting the strengths of both partners. Originally announced via a memorandum of understanding, the joint venture will become operational during 2026. Activities will range from design to local manufacturing in the Emirates, including the transfer of intellectual property licenses and on-site specialized engineering training.
The Italian presence
The industrial agreement is part of an already deep bilateral relationship between Rome and the Emirates, as well as with Kuwait. The cornerstone of this relationship dates back to 2016, when Kuwait ordered 28 Eurofighter Typhoon fighters produced in Italy by Leonardo. Last year, this maxi-order was joined by a three-year renewal of the partnership between the respective Air Forces.
This second agreement, operational at the Ali Al Salem base until December 2029, extends the integrated logistics support services and local training managed by Leonardo Aviation Services, and includes personnel training, electronic warfare support and joint management of flight activities.
At the Ali al Salem base, Italy is present with the “Prima Parthica” operation, with a contingent of around 300 soldiers, engaged in reconnaissance and surveillance activities as part of regional stabilization operations.
An area whose security complexity was recently reaffirmed by the exchanges of gunfire in the Middle Eastern quadrant, which touched the Italian outpost in March, without causing injuries.
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The agreement for Kuwaiti patrol vessels reflects the broader industrial convergence between Rome and the United Arab Emirates. Abu Dhabi is massively expanding its technological investments in Italy: the latest step, in mid-May, was the announcement of Edge’s acquisition of the majority of Cmd, the Lucanian company specializing in diesel engines led by the Negri family.
“In a difficult year for global trade, Italian exports to the Emirates grew by 27%, confirming the centrality of this relationship and the prospects of an increasingly industrial and technological partnership, from artificial intelligence to space”, claimed the Minister of Industry and Made in Italy Adolfo Urso during the Milanese edition of Investopia 2026, the strategic dialogue forum between Italy and the United Arab Emirates. “An agreement with the Emirates can also represent the forerunner for a broader agreement with the entire Gulf Cooperation Council, whose negotiations have reopened after years of stalemate”, hoped the minister.
Leonardo’s accounts after the change at the top
For Leonardo, the order for Kuwait comes in an important internal transition phase. The group has recently seen a changing of the guard at the top: last May 7 the outgoing CEO Roberto Cingolani left the helm of the company with a severance package of 4.48 million euros, passing the baton to Lorenzo Mariani.
The new governance inherits a company experiencing strong financial acceleration. Data for the first quarter of 2026 highlights orders for 9 billion euros (+31% year-on-year), revenues stable at 4.4 billion and an increase in adjusted net profit of 60%, demonstrating how the aerospace and defense sector is capitalizing on the strong international demand for integrated security systems.
Roberto Cingolani kicked out by Leonardo: Lorenzo Mariani in his place. Cattaneo confirmed at Enel and Descalzi at Eni