Security concerns boost Turkish and global defense firms – Latest News
ISTANBUL
Rising global security concerns, NATO’s increased defense spending targets and Europe’s pivot toward cooperation with Türkiye have triggered a rally in defense and aerospace stocks.
Amid this surge, two Turkish companies, Aselsan and Papilon Savunma, have emerged as standout performers.
Following the Russia-Ukraine war, many European nations have ramped up their defense investments, placing Turkish defense products firmly on the radar of European firms.
The decision by NATO leaders to raise defense spending to 5 percent of GDP by 2035 has further boosted the market value of defense companies across global exchanges.
In the first half of 2025, Aselsan delivered a remarkable 100.8 percent return to its investors. The company reached the highest market capitalization within the BIST 100 index and continues to expand its export figures. Aselsan now ranks among the top global defense firms in terms of market value.
Another Turkish firm, Papilon Savunma, saw its shares climb 138.6 percent, reflecting strong investor interest amid heightened geopolitical tensions.
Beyond Türkiye, escalating tensions between India and Pakistan have positively impacted defense and aerospace stocks across Asia. Analysts anticipate increased defense spending and investment in the region as geopolitical risks intensify.
Global defense giants also posted impressive gains in the first half of the year. Germany’s Rheinmetall led with a 183.4 percent return, followed by South Korea’s Hanwha Aerospace at 159.7 percent, Sweden’s Saab at 125.8 percent, Italy’s Leonardo at 84.3 percent, and the U.K.’s Rolls-Royce at 70.1 percent.
