Turkey has cancelled a $500 million deal with Israel Aircraft Industries for the upgrade of its aircraft, in protest of the ongoing Israeli aggression in Lebanon - according to the Israeli news website YNet.

In what YNet calls 'a severe blow to Israel Aircraft Industries’, the Turkish government has canceled a deal to upgrade fighter jets worth $500 million because of the Israeli aggression in Lebanon. The report says that more such deals with Israel Aircraft Industries may be cancelled.

Turkey showed interest in upgrading 50 of its Phantom jets for $500 million. It is now believed that Turkey will purchase new F-16 jets from the United States instead of upgrading its old fleet.

A senior Israeli military official said Monday "They (the Turks) are old customers, and the cancellation of the deal is a very bad sign."

The YNet site says that Turkey's interest in Israeli military products has long been considered a "goldmine" for Israel.

Turkish officials are currently negotiating the purchase of the planes from the US manufacturer Lockheed Martin. A deal is expected to be finalized during the coming months.

Turkey is reported to be interested in buying 30 F-16s of the most up-to-date version called the 'F-16 Block 52+', in a deal which may be worth as much as 1.5 billion US dollars.

Source: Cihanews.com