Follow us on social

war profit

War drives revenue increases for world's top arms dealers

New data shows weapons companies winning in all conflicts around the world

Analysis | QiOSK

Revenues at the world’s top 100 global arms and military services producing companies totaled $632 billion in 2023, a 4.2% increase over the prior year, according to new data released by the Stockholm International Peace Research Institute (SIPRI).

The largest increases were tied to ongoing conflicts, including a 40% increase in revenues for Russian companies involved in supplying Moscow’s war on Ukraine and record sales for Israeli firms producing weapons used in that nation’s brutal war on Gaza. Revenues for Turkey’s top arms producing companies also rose sharply — by 24% — on the strength of increased domestic defense spending plus exports tied to the war in Ukraine.

The United States remains the world’s dominant arms producing nation, with $318 billion in revenues flowing to American firms in the world’s top 100 for 2023, more than half of the global total. And the five highest revenue earners globally were all based in the United States — Lockheed Martin, Raytheon (now RTX), Northrop Grumman, Boeing, and General Dynamics.

China ranked second to the United States in arms industry revenues, with nine firms accounting for 16% of the revenue received by companies in the global top 100. Two of the fastest growing countries in terms of revenue growth for top companies were also in Asia, South Korea (plus 39%) and Japan (plus 35%). South Korea’s increase was tied to major export deals with Poland and Australia, while Japan’s was driven by its largest military buildup since World War II.

SIPRI’s analysis takes a “just the facts” approach, tracking sales numbers and correlating them with increases in domestic and export spending tied to specific events. It does not address the dire humanitarian circumstances that underlie the growing revenues of top arms companies, most notably Israel’s unconscionable attacks on Gaza, which have killed over 40,000 people directly and many more through indirect causes, including over 62,000 who have died from starvation. The companies and countries fueling this mass slaughter — including U.S. firms that have supplied a substantial share of the bombs, missiles, and aircraft used in Gaza — should be held to account for their actions, even as they halt the supply of weapons and services that the Israeli government is using to commit ongoing war crimes.

Another major impact of the revenue surge for top arms makers is the diversion of funding and talent from addressing urgent global problems, from climate change to poverty to outbreaks of disease. And the more companies and countries become dependent on the profits of war, the harder it will be to shift funding towards other urgent priorities. The continuing militarization of the global economy has a double cost — lives lost in conflict and devastating problems left unsolved. The situation needs to be treated as far more than a grim parade of statistics about who benefits from a world at war. It should be treated as an urgent call to action for a change in global priorities.


Top image credit: Andrew Angelov via shutterstock.com
Analysis | QiOSK
Here is why US troops may be in Iraq indefinitely
Top photo credit: Iraqi Prime Minister-designate Mohammed Shia al-Sudani, appears during a vote in Sudani's cabinet at the parliament in Baghdad, Iraq, October 27, 2022.

Here is why US troops may be in Iraq indefinitely

Middle East

When Arab leaders arrived in Iraq last week for the Arab League Summit, they were greeted by a city determined to impress.

Driving into the city from Baghdad International Airport, they passed the statue marking the spot where, on January 3, 2020, a U.S. drone strike killed Maj. Gen. Qassem Soleimani, commander of Iran’s Quds Force, and Abu Mahdi al-Muhandis, commander of Iraq’s Kata’ib Hezbollah militia. The strike, carried out on Iraqi soil without the consent of the government, amplified demands for the withdrawal of U.S. and coalition forces.

keep readingShow less
Keir Starmer UK
Top photo credit: Britain's Prime Minister Keir Starmer ( Benjamin Cremel/Pool)

The UK hits peak feebleness on Israel–Gaza

Europe

On May 19, the British and Canadian prime ministers and French president issued a joint statement against Israel’s actions in Gaza. Beyond the grand gestures, the statement was weakly worded and will have no impact.

It is consistent with the British government’s policy of going soft on Israel since 2023 and shows the weakness of parliamentary accountability in Britain.

keep readingShow less
Trump and Ramaphosa: Awkward meeting could have upsides
Top photo credit: President Cyril Ramaphosa (Photo: GCIS/Flickr) and Donald Trump (Gage Skidmore/Flickr)

Trump and Ramaphosa: Awkward meeting could have upsides

Africa

Set to the background of increased diplomatic tensions between their two countries, South African president Cyril Ramaphosa will be making a much-anticipated visit to the White House today to meet Donald Trump.

Ramaphosa is reportedly eyeing the meeting as an opportunity to reset relations, both economically and diplomatically.

keep readingShow less

LATEST

QIOSK

Newsletter

Subscribe now to our weekly round-up and don't miss a beat with your favorite RS contributors and reporters, as well as staff analysis, opinion, and news promoting a positive, non-partisan vision of U.S. foreign policy.