From an embargo to a multi-billion dollar defense powerhouse

Wars & Conflicts · Published 16 October 2026 Swipe more like this →

In short: In 1975, the United States imposed an arms embargo on Turkey. Instead of retreating, the Turkish military founded Aselsan to build its own high-tech arsenal. Today, that domestic initiative has evolved into a global defense giant capable of producing advanced radar systems and electronic warfare technology.

Aselsan was born out of necessity following the 1975 US embargo triggered by Turkey's invasion of Cyprus. To secure its own military capabilities, the Turkish Army Foundation established the company to focus on indigenous research and development. By 1979, Aselsan began production at its Macunköy facilities in Ankara, focusing on building a self-sufficient infrastructure for air, land, and maritime defense systems.

The company's growth is defined by massive industrial scaling and technological diversification. It operates across five distinct business sectors, including microelectronics, radar systems, and electronic warfare. A key milestone in its technological independence occurred in 2014 when Aselsan and Bilkent University established Turkey's first commercial chip factory to produce GaN chips for missiles and radars. This move allowed the company to move beyond assembly toward core component manufacturing.

Currently, Aselsan is a major contractor for the Turkish Armed Forces, recently securing a $6.5 billion contract in November 2025 for new air-defense systems under the 'Steel Dome' project. The company is aggressively expanding its physical footprint; it plans to spend $1.5 billion on an Oğulbey Technology Base in Ankara. This facility is intended to double Aselsan's production capacity and is projected to become Europe's largest air defense facility, marking a transition from a regional manufacturer to a primary global exporter.

Aselsan also maintains a significant international presence with associated companies in Azerbaijan, Kazakhstan, Saudi Arabia, and the United Arab Emirates. Its first international venture was Aselsan Baku, established in 1998, which produces both civil and military hand-held radios.

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