Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

U.S. weapons exports rise 2.8% to $175 billion in fiscal 2020

Stock MarketsDec 04, 2020 10:30PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: The Pentagon building is seen in Arlington, Virginia, U.S.

By Mike Stone

WASHINGTON (Reuters) - Sales of U.S. military equipment to foreign governments rose 2.8% to $175 billion in the latest fiscal year, officials said on Friday, with looser restrictions under President Donald Trump boosting purchases during his time in office.

The U.S. State Department disclosed military sales figures for the 2020 fiscal year, which ended on Sept. 30. Sales of U.S. military equipment in the prior fiscal year had totaled $170 billion.

Sales of fighter jets and guided missiles have risen in the past year as U.S. allies sought to gain access to the latest technology from companies including Lockheed Martin (NYSE:LMT) Co and and Raytheon Technologies (NYSE:RTX). Major deals in fiscal 2020 included Japan's purchase of 63 F-35 fighter jets from Lockheed Martin for as much as $23 billion.

There are two major ways foreign governments purchase arms from U.S. companies: direct commercial sales negotiated between a government and a company; and foreign military sales in which a foreign government typically contacts a Defense Department official at the U.S. embassy in its capital. Both require U.S. government approval.

The direct military sales by U.S. companies jumped 8.4% to $124.3 billion in fiscal 2020 from $114.7 billion in fiscal 2019, while sales arranged through the U.S. government fell 8.3% to $50.78 billion in 2020 from $55.39 billion the prior year, the State Department said.

On average, foreign military sales under Trump amounted to $57.5 billion per year, versus an average of $53.9 billion per year for the eight years under his predecessor Barack Obama, in 2020 dollars, according to Bill Hartung, director of the Arms and Security Program at the Center for International Policy think tank. Sales averaged about 6% more per year under Trump, Hartung said.

Trump's administration in 2018 rolled out a new "Buy American" program that relaxed restrictions https://www.reuters.com/article/us-usa-trump-arms-insight/arming-the-world-inside-trumps-buy-american-drive-to-expand-weapons-exports-idUSKBN1HO2PT on military sales while encouraging U.S. officials to take a bigger role in increasing business overseas for the U.S. weapons industry. Trump is due to leave office on Jan. 20.

U.S. weapons exports rise 2.8% to $175 billion in fiscal 2020
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (1)
Henrik Lindberg
Henrik Dec 07, 2020 1:24PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Four more years!
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email