Search This Blog

Sunday, January 12, 2025

Connecting The Dots Between Warfare And The Future Of Our Globe

By Ken Larson

The U.S. has spent $Trillions on warfare, incursion and weapons development at many times the rate of any other country. We have sacrificed young soldiers lives reacting globally to perceived security threats while fostering mammoth Military Industrial Complex (MIC) profiteering.

The globe has become too small and too environmentally imperiled to continue operating the MIC without redirecting much of the resources that have fueled it. There simply is no other way. _____________________________________________________________________________

 The 5 largest weapons production and services companies are experiencing the best years in their respective histories. 

Many Americans do not know the number of locations in which we have a military presence today, since in many instances we are not informed when we invade a new country. 
For well over two decades, the US has reacted to the 911 tragedy by creating a behemoth machine that:

  • Knows Only Killing
  • Has Little Understanding of Foreign Cultural Factors in Nation Building
  • Spawns New Versions of Our Old Enemies 
  • Creates a Dangerous Outgrowth of Technology in the Military Industrial Complex and Then Exports It for Profit
  • Defies Financial Control With Dire Consequences for the Nation’s Economic Future 

Warfare Realities Today

Economic competitors like China on the world stage have invested enormous amounts in networks involving prudent infrastructure, financial investment and relationship building while avoiding warfare. 

  • China is quickly growing into the world’s most extensive commercial empire. The scale and scope of the "Belt and Road" initiative is staggering.
  • Estimates vary, but over $300 billion have already been spent, and China plans to spend $1 trillion more in the next decade or so.
  • Unlike the United States and Europe, China uses aid, trade, and foreign direct investment strategically to build goodwill, expand its political sway, and secure the natural resources it needs to grow.

China is Quietly Reshaping the World

A Change Must be Brought About in the Following Manner:

Facing geopolitical and economic realities, stopping war interventions and investing in relationships within and without our country by offering mutual collaboration.


Ceasing to dwell on threat by building long term infrastructure, education and international development.  The threats will melt away. 


Investing for the long term at the stock holder, company and national levels based on a strategy dealing with both present day and long term challenges in education, communication and society value transitions from threat scenarios to cooperative, peaceful ventures. 


Electing a Congress and an Administration that knows how to strike a balance between long and short term actions and letting them know what we think regularly by communicating with them.

 
Knowing that most cultures and societies in upheaval today are watching our national model and choosing whether to support it, ignore it or attack it

The Cost in Dollars and Human Suffering to Our Volunteer Military and Its Veterans Involves Profiteering Among Federal Contractors


The massive backlog in veteran's services recently highlighted in the press and in Congress  reveals a dire necessity for simplification, communication and efficiency in processes, systems and government service contracting in DOD and the Veterans Administration as well as better management of federal government contractors. 

The news media, the auditors and the average American are pointing the finger at the President and the Head of the VA.  One cannot ignore the accountability aspects of these individuals.  

However, the real root causes lie in the massive volume of war veterans returning from our pointless incursions in the Middle East over the last decade, coupled with the historical  lack of integration in process and systems work conducted between the Department of Defense and the VA with poorly managed contractors taking home millions on systems specifications that change like the wind blows.  


A Veteran Connects the Dots in the Military and Veterans Healthcare Systems Maze


The present state of the economy and the needs of our servicemen will not allow the aforementioned to  continue. Government agencies are now hard pressed to insure the most  "Bang for the Buck". It is in the long term interests of the politician, the DOD, the VA and astute contractors to assist in that endeavor. 

The only way to achieve such an objective is through sound technical, cost and schedule contract definition via an iterative process of baseline management and control.

Contract Baseline Management

Government civil servants must be trained to report systemic poor service up the line in lieu of hiding bad news from superiors or developing workarounds.  This must be an expectation built into their job description and they must be rewarded and promoted for meeting that requirement just as they are for the other requirements of their jobs. 

The first whistle to be blown must be to the boss when the service issue occurs, not to the press a year from the occurrence.  


Military Health Care Systems Maze


Strategic and Economic Trends in U.S. Warfare Cannot and Will Not Continue

The debt is too great a burden for generations of tax payers.

It is too risky in terms of technology that falls into enemy hands, either through the "Internet of Things" or by blunders in export management and battlefield events.  

It will be replaced by domestic and foreign relations programs that emphasize global human progress and economic development in lieu of threats.  The result will rely on uplifting, cooperative efforts among nations in lieu of killing. Our competition on the world stage has recognized this fact and is proceeding accordingly. 

The globe has become too small to operate the Military Industrial Machine and the resources that have fueled it will be redirected.   There simply is no other way.

 Our returning soldiers and those who have served before, as well as future generations will rely on our leadership in bringing about the necessary transition from a world at war to a world at peace. The time is now - not later.

What Can We Learn From People Who Are Different From Us?

https://rosecoveredglasses.blogspot.com/2020/01/what-can-we-learn-from-people-who-are.html

Tuesday, December 31, 2024

For 2025 - The Dire Need For Long Term Strategic Vision Embodied In The Life Of Jimmy Carter

 


Polarization, ignoring environmental and  geopolitical realities, engaging in costly war intrusions, neglecting education/infrastructure and accumulating a $36 Trillion National Debt, heavily mortgaging future generations, are all symptoms of our lack of long term strategic vision.

Geopolitical Realities and the US Role

George Friedman accurately addressed the historical geopolitical state in a recent article:

“To put it simply, a vast swath of the Eurasian landmass (understood to be Europe and Asia together) is in political, military and economic disarray.

Drawing on the recollection of Desert Storm  it was assumed that American power could reshape the Islamic world at will after the US was attacked September 11th, 2001. All power has limits, but the limits of American power were not visible until later in the 2000's.

At that point two other events intervened.

The first was the re-emergence of Russia as at least a regional power when it invaded Georgia in 2008. [The invasion tactic continued with the Ukraine War]

The other was, of course, the financial crisis. Both combined to define the current situation. [COVID continued the strain on the world economy]

The United States is, by far, the worlds most powerful nation, That does not mean that the United States can — or has an interest to — solve the problems of the world, contain the forces that are at work or stand in front of those forces and compel them to stop. Even the toughest guy in the bar can’t take on the entire bar and win.”

China the Peace Maker 

David Grammig enlightens us in an article in “Geopolitical Monitor to an alternative to war and debt laden international finance being practiced by the Chinese:

Geopolitical calculations are as much a reason for this 2-trillion-dollar project as economic ones.

The OBOR project represents one of China’s new overarching foreign policy goals, and it demonstrates a willingness and ability to challenge old power structures, especially in Central Asia and the Middle East.

The Silk Road, or OBOR project, aims at creating an enormous economic bloc and fostering trade, cultural exchange, political collaboration, and military cooperation among its members – under Chinese domination. [ The recent military competition against U.S. interests and associated weapons buildup by China with threats to Taiwan serve as a diversion from China's overarching foreign policy goals through the Silk Road Project]

An obvious competitor against Russia’s Eurasian Union and India’s Act East and Connect Central Asia initiatives, the OBOR project has many Central Asian and Middle Eastern states justifiably worried of being caught up in a race for dominance in the region, producing somewhat cautious reactions to China’s big plans. Yet, some countries in the region – even those torn by sectarian conflict – may still be inclined to step into a new age due to China’s vast investments and its associated desire to protect its economic engagements.

The United States and its military interventions on the other hand, which aimed at securing political influence and protecting economic interests, bore no sustainable fruits and have led to growing instability in the region. Furthermore, US policy in the Middle East yielded anti-American resentment in the public and political spheres.

China’s approach, however, will most likely not lead to demonstrations, burning flags, and attacks against its embassies, because it will not be seen as a war-mongering imperialistic force, giving itself a chance to establish itself as a partner whose outstretched hand is worth taking.”

The US Market Mirage 

Rana Foroohar demonstrates in Time Magazine how the folly of short term thinking often drives poor investment in the stock market when assessing the value of companies:

“One of the hardest-dying ideas in economics is that stock price accurately reflects the fundamental value of a given firm. It’s easy to understand why this misunderstanding persists: price equals value is a simple idea in a complex world. But the truth is that the value of firms in the market and their value within the real economy are, as often as not, disconnected. In fact, the Street regularly punishes firms hardest when they are making the decisions that most enhance their real economic value, causing their stock price to sink.

There are thousands of examples I could cite, but here’s a particularly striking one: the price of Apple stock fell roughly 25% the year it introduced the iPod. The technology that would kick-start the greatest corporate turnaround in the history of capitalism initially disappointed, selling only 400,000 units in its debut year, and the company’s stock reflected that. Thankfully, Steve Jobs didn’t give a fig. He stuck with the idea, and today nine Apple iDevices are sold somewhere in the world every second.CEOs, who are paid mostly in stock and live in fear of being punished by the markets, race to hit the numbers rather than simply making the best decisions for their businesses long term. One National Bureau of Economic Research study found that 80% of executives would forgo innovation-generating spending if it meant missing their quarterly earnings figures.

Nobody–not Economists, not CEOs and not policymakers–thinks that’s good for real economic growth. Yet the markets stay up because of the dysfunctional feedback loops. Eventually, of course, interest rates will rise, money won’t be cheap anymore, and markets will go back down. None of it will reflect the reality on the ground, for companies or consumers, any more than it did during the boom times.”

Achieving Strategic Vision

From the above analysis by experts, it is apparent that the US is in dire need of strategic vision.  To achieve it we must:

Face  environmental, geopolitical and economic realities, stop war interventions and invest in relationships within and without our country by offering mutual collaboration.

Cease dwelling on threat and build long term infrastructure, education and international development.  The threats will melt away.

Invest for the long term at the stock holder, company and  national levels based on a strategy dealing with present day and long term challenges in education, communication and society value transitions.

Elect a Congress and an Administration that knows how to strike a balance between long and short term actions. We must then let them know what we think regularly by communicating with them.

Know that most cultures and societies in upheaval today are watching our national model and choosing whether or not to support it, ignore it or attack it.

Sunday, December 22, 2024

A 14 Year Military Reporter Describes "Budget Day" At The Pentagon

Image:  Beltway Bandits, Cronyism and Department of Defense Exclusive Contracts
EDITOR’S NOTE:
The following article in “Task and Purpose” by Jeff Schogol, although a bit risque, is an apt description of the annual event I witnessed for 36 years on the inside of the Military Industrial Complex among the nations largest defense contractors. 
At times those of us who know the venue well appreciate a lighter view of it. I found Jeff’s talent for knowledgeably creating that view delightful and along the lines of the legendary HBO Movie, “Pentagon Wars” https://www.youtube.com/watch?v=aXQ2lO3ieBA 
– Ken Larson

“TASK AND PURPOSE” By Jeff Schogol
“One thing your friendly Pentagon correspondent has learned is there are two things you can write about on budget day: Toys and people.
Right now, the U.S. military is like a 5-year-old at a birthday party. Every time it sees that another kid has received a present, it decides that it must have the exact same thing. (Oh, China got hypersonic weapons this year? I want one!)”
________________________________________________________________
“Beloved readers: Monday is the most wonderful all days – budget day!
The Defense Department will unveil its part of the president’s budget request. If you’re a trade reporter, budget day is like Independence Day, Christmas, and the Super Bowl wrapped up in a crushing orgasm.
Your friend and humble narrator has covered quite a few of these budget rollouts over the years. Each time, this reporter asks himself the same question: “How the hell did I get through this last year?”
The answer is simple, really: Budget day is a smorgasbord of figures that have little bearing on reality because lawmakers will end up rewriting the budget to reward their constituents. Defense officials also spend hours speaking in tongues by using arcane acronyms like “POM.” (A Program Objective Memorandum outlines defense spending for the next five years. Since that spans two election cycles, POMs are altered so many times that they become totally unrecognizable from their original form.)
Each defense budget is loaded with toys so that defense industry executives can pay the mortgage for their winter homes in the French Riviera. For reporters who cover the Navy, the big question is how many ships the service plans to build.
Navy leadership has stressed that it is committed to having a total of 355 ships by 2030 even though they have no plan to get there. (For their next miracle, they will walk on water and hand out enough fish and loaves for everyone to enjoy.)
Air Force watchers want to know how many F-35 fighters, KC-46 tankers, and B-21 bombers the service plans to pay for – and then act surprised when the aircraft don’t work. The KC-46, for example, is years behind schedule and the need for a new tanker is urgent because the Air Force’s KC-135s first entered service in the 1950s. (Rather than listing everything that is wrong with the KC-46, I’ll sum up by saying this: It’s built by Boeing.)
While the Air Force is tucking $100 bills into the aerospace industry’s bra strap, the Army will get to talk about all of its new and wonderful modernization programs that don’t have a prayer of becoming a reality. Do you remember the multiple times the Army has tried to replace the Bradley Fighting Vehicle? Yeah, they couldn’t even do that.
God bless the Army, but they are always looking for the gold-plated solution so they can never make a decision. Instead, they will down-select from 150 vendors to 75, and then order five years of intensive testing to find out things such as whether the new squad automatic rifle can fire in space. By the time the Army is comfortable choosing between two options, all the people who were originally in charge of the project have retired or died of old age and Congress will end up cancelling the project.
If you cover the Marine Corps, budget day is about looking for scraps. The Corps’ acquisition budget is tiny compared to the other services because they don’t buy aircraft carriers or bombers. They are constantly looking for a new amphibious vehicle or other weapon systems that are the equivalent of Dollar Store specials. That’s one reason why Marines know there is no better acquisition system than stealing gear from the Army.
The other major category of budget stories looks at whether the military services are adding people – like the Army and Marine Corps did during the Iraq War – or drawing down, as all the military branches did during President Barack Obama’s second term. (The Air Force was so enthusiastic about cutting airmen that one can imagine the service’s leadership singing “It’s Raining Men” at the time.)
When President Donald Trump was elected, there was some speculation that the Marine Corps could become much larger because Trump had endorsed a recommendation from the conservative Heritage Foundation think tank that the Corps have a total of 36 battalions. But in 2017  Defense Secretary James Mattis told the Corps to fix its readiness problems without adding more Marines. (Once again, the Marine Corps was SOL. Note the pattern.)
Whatever great and wondrous things are included in the Pentagon’s latest proposed budget, expect your friend and humble narrator to be listening with rapt attention as military officials go through endless Power Point presentations that have all of the excitement of J-Lo and Shakira’s halftime show – without the vibrating derrieres.”

ABOUT THE AUTHOR:
Image result for jEFF SCHOGOL TASK AND PURPOSE

Jeff Schogol covers the Pentagon for Task & Purpose. He has covered the military for 14 years and embedded with U.S. troops in Iraq and Haiti. Prior to joining T&P, he covered the Marine Corps and Air Force at Military Times.J

Saturday, December 21, 2024

"Helmets to Hardhats" Non-Profit Connects Over 30,000 Veterans To Federally-Approved Apprenticeship Training Programs And Careers


"MILITARY.COM" By 
Darrell Roberts
"The training is privately funded, provided by the trade organizations themselves at no cost to the veteran. 

This apprenticeship training does not cost taxpayers a dime. Union members, along with their signatory contractor partners, invest more than $1.3 billion annually to fund and operate nearly 2,000 apprenticeship training facilities across North America."

_________________________________________________________________________________


"Returning home can be an overall overwhelming experience. With that said, this Veterans Day, I have a challenge for you.

Talk to a veteran, and tell that veteran that once he or she returns to civilian life, there are groups that want to help -- and, more importantly, there are viable pathways to new, fulfilling careerswaiting on them.

I lead an organization that focuses on connecting veterans to career opportunities in the construction industry: Helmets to Hardhats.

Helmets to Hardhats is a national nonprofit designed to support transitioning active-duty military service members. We work every day, in every part of the country, to ensure all service members understand that hope and opportunity await them upon their return home.

While many companies and groups claim to help employ veterans, are those veterans connected to jobs, or are they connected to careers?

There is a big difference.

This is why Helmets to Hardhats introduces transitioning service members to promising career providers and vice versa. Because that is what they deserve: careers.

Veterans must simply create a profile with us to help training directors determine what transferable skills the applicant acquired during his or her military service.
I know the challenges associated with coming home. I served in both the Navy and the Army National Guard.

This is why I am exceptionally proud of the work we do – of the apprenticeship training programs with which we are affiliated. Each of our efforts feeds into a comprehensive approach, creating viable pathways to success for our nation’s heroes.

Helmets to Hardhats has made nearly 30,000 successful career transitions thus far. That means we have helped roughly 30,000 hard-working men and women find a place in the unionized construction industry.

And our work is far from finished.

According to the U.S. Department of Veterans Affairs, the female veteran population and the minority veteran population are both on the rise. Our organization works with all populations, including historically underserved communities and disabled veterans, to be sure all veterans have a fair shot at succeeding.

Here is how it works: Our regional managers hit the pavement each day to get more veterans registered for the federally-approved apprenticeship training of North America’s Building Trades Unions (NABTU). Along with our boots on the ground, we also use the digital space to ensure all veterans are aware of, not only the apprenticeship training, but also the good-paying careers associated with this training.

 And no prior experience is needed. Most successful placements are veterans who begin with little to no experience in his or her chosen field.

Veterans even earn wages and benefits as they work through the earn-while-you-learn training. And, since these apprenticeship training programs are regulated and approved at both the federal and state levels, veterans can supplement their incomes by also utilizing their GI Bill benefits.

That means two checks: one from the contractor and one from the GI Bill.

In today’s hyper-partisan climate, it can be difficult to find programs that truly work, and even tougher to enjoy support from both sides of the aisle. Yet NABTU’s apprenticeship training does just that.

What’s not to like?

If you take away one piece of information after reading this, please know that this is not about finding jobs for veterans. This is about so much more. This is about connecting our brave service members to life-changing, lucrative careers.

By working alongside both labor and management, veterans are empowered to succeed – and there is no greater deed than helping a brother or sister who has served our country. So, even if you tell just one veteran, I challenge you to pass this message along:

Veterans should know that when they get home, Helmets to Hardhats is here. Apprenticeship training is available. Careers are waiting for them."

ABOUT THE AUTHOR:


Darrell Roberts is the Executive Director of Helmets to Hardhats




Saturday, December 14, 2024

The Veterans Administration Disability Rating And Records Systems – What Veterans Deal With As They Navigate Them

 


EDITOR'S NOTE: The "TASK AND PURPOSE" Article by Jeff Schogol below admirably demonstrates that the application for VA disability benefits is far from simple and quite extensive for the Veteran applicant to receive his or her rating.

The image above depicts a second challenging factor for veterans health care; the enormously expensive and as yet not completed Military And Veterans Health Care Records System that has exceeded a decade in development and has yet to be launched effectively.

________________________________________________________________________________

"TASK AND PURPOSE" By Jeff Schogol

"The disability benefits that veterans receive from the Department of Veterans Affairs have become the subject of a growing number of policy papers and editorials that argue those benefits are too generous or too easily given out.

However, what is often missing from those arguments is the reality behind the process — the steps veterans have to go through, the evidence they have to provide to prove their injuries were a result of their service, and how those benefits are tallied up and assigned a value. Veterans health benefits, particularly disability compensation, are far from simple or easy to navigate. They revolve around disability ratings, which range from 0 to 100% and despite claims to the contrary that have cropped up on social media — and in discussions on veterans’ care — disability benefits are not equivalent to welfare and being a “disabled veteran” in the eyes of the VA, does not bar someone from full-time work.

Between combat, training, and everyday accidents, veterans can leave military service with a number of debilitating injuries and illnesses, the most severe of which may qualify for a 100% disability rating from the Department of Veterans Affairs. These veterans often face growing medical expenses over their lifetime and their health conditions make it difficult for them to work at the level they’d be at if they hadn’t been injured as a result of their service.

Here’s how the VA determines eligibility ratings and what they actually mean.

Veterans disability benefits are not an entitlement

The first step in the process is that a veteran must submit a claim, which the VA then reviews before determining whether the veteran is eligible for benefits under the applicable federal regulation, according to the VA. After applying private medical records, military records, and other required documents, the VA determines whether a veteran’s disabilities are connected to their service.

The VA then decides if the veteran needs to undergo a VA examination, and based on the evidence presented, it assigns the veteran a rating based on the criteria found within the VA Schedule for Rating Disabilities (VASRD).

Some of the health conditions that typically qualify for a 100% disability rating, according to the VA, include the loss of a hand and foot; the loss of both hands or both feet; and complete blindness from an injury.

But obtaining a 100% disability rating from the VA is “extremely challenging,” and veterans rarely receive such a rating for a single condition, said Michael Embrich, a Navy veteran, former member of the Secretary of Veterans Affairs Advisory Committee on the Readjustment of Veterans, and a former congressional staffer 

“For many veterans, it can take 10 to 20 years post-service to reach this rating as their conditions worsen or new service-connected issues arise,” said Emrbich, who is also a columnist for Rolling Stone. “Typically, only the most critically wounded combat veterans receive a 100% rating immediately upon evaluation.”

Embrich noted that VA benefits are not intended to replace disabled veterans’ income. Rather, disability benefits are intended to compensate veterans for the loss that they have endured. In other words, these benefits are earned. They are not an entitlement.

The U.S. government does not place any restrictions on veterans with a 100% disability rating preventing them from working full time unless their rating includes Total Disability based on Individual Unemployability, or TDIU, Embrich said.

“In cases of TDIU, income is restricted to the poverty threshold (approximately $13,000 annually),” Embrich said. “The government generally encourages veterans to pursue employment and does not impose work restrictions solely based on a 100% disability rating.”

Disability rating ‘math’

Many veterans with a 100% disability rating have several injuries or ailments. But the process by which the VA calculates overall disability ratings for multiple health conditions is not straightforward arithmetic. There’s math, and then there’s VA math.

For example, if a veteran has three health conditions that are assigned 50%, 30% and 10% disability ratings respectively, that doesn’t mean the veteran will be assigned a 90% disability rating for all three, explained Scott Hope, deputy national service director for training with DAV (Disabled American Veterans).

The VA would take the highest disability rating the veteran has, in this case 50%, to determine the “remaining essential function of the veteran,” Hope said. In other words, the VA would view this veteran as 50% able.

That means the next highest disability rating would only apply to the 50% able side of the equation, Hope said. So, when the VA combines a 50% and 30% disability rating, it gets 15%. The overall rating would be 65%.

Under this scenario, that leaves the 10% disability rating, he said. At this point, the VA has determined that the veteran is 35% able, so 10% of that is 3.5%.

Disability ratings always end in zero, and they are rounded up or down, Hope said. That means the veterans combined disability rating of 68.5% would be rounded up to 70%.

“You would need 27 10% disabilities to get to 100%, if you had only 10% disabilities,” Hope said. “You would need 13 20%’s, nine 30%’s, six 40%’s, five 50%’s, and so on. Pretty soon, you’re just going up half a percent with each one of these things until you finally get to a number that actually increases your overall rating.”

The costs of 20 years of war

It hasn’t been easy for veterans of the Global War on Terrorism to navigate the VA’s disability process and receive the compensation they’re owed, said Rodger Pinto, on the policy and advocacy team with Iraq and Afghanistan Veterans of America.

Many Iraq and Afghanistan veterans are suffering from different types of cancer as well as respiratory and digestive system ailments as a result of being exposed to toxins, Pinto told Task & Purpose

“The post 9/11 generation of veterans has had some big challenges when it comes to disability ratings, primarily because of the nature of the conflicts we were involved in and the length of those conflicts — toxic exposure being one of the first big challenges that our generation of veterans faced,” Pinto said. “And that required really significant levels of advocacy as well as a large piece of legislation moving through Congress: The PACT Act.”

Passed in August 2022, the PACT Act allows the VA to presume that Iraq and Afghanistan veterans suffering from lung cancer and other diseases were sickened by their exposure to burn pits and other sources of toxins. It also makes it easier for veterans who were exposed to Agent Orange while serving outside Vietnam as well as veterans suffering from Gulf War Illness to file medical claims with the VA.

Another challenge facing Iraq and Afghanistan veterans is the combined effects of 20 years of war and constant deployments, Pinto said. Repeated exposure to concussions from blasts have taken a toll on many of these veterans.

Traumatic brain injury, TBI, is one of the signature injuries of both the Iraq and Afghanistan wars due to the widespread use of improvised explosive devices, or IEDs, by enemy forces, he said.

In January 2014, the VA recognized the following health conditions as those presumed to be connected to service for veterans diagnosed with service-connected TBI: Parkinson’s disease, unprovoked seizures, certain dementias, depression, and diseases of hormone deficiency.

Although the VA’s disability process has improved over the past 20 years, “It is still very much a work in progress,” Pinto said.

“It’s a big challenge for the veterans community, especially post passage of the PACT Act,” Pinto said. “We’ve seen a lot of folks claim that veterans benefits have exploded — the recent Economist article that came out calling veterans too generous. The article fails to mention that for the past 20 years they’ve also been engaged in warfare. Just kind of conveniently leaves out the fact that we’ve just had our longest conflict to date. We’ve sent soldiers and sailors and Marines to war, and at the end of the day, we don’t want to pay the bill for what that has cost them.”

What is a ‘100% disability’ rating and what does that actually mean for veterans

ABOUT THE AUTHOR:






Jeff Schogol is a senior staff writer for Task & Purpose. He has covered the military for nearly 20 years. Email him at schogol@taskandpurpose.com; direct message @JSchogol73030 on Twitter; or reach him on WhatsApp and Signal at 703-909-6488.

Saturday, December 07, 2024

41 US Arms Companies In Top 100 Revenue Worldwide On The Back Of Wars And Regional Tensions

 


PLEASE CLICK IMAGE TO ENLARGE

"Stockholm Internatinal Peace Research Institute "

"United States companies recorded arms revenues of $317 billion, half the total arms revenues of the Top 100 "

_________________________________________________________________

"(Stockholm, 2 December 2024) Revenues from sales of arms and military services by the 100 largest companies in the industry reached $632 billion in 2023, a real-terms increase of 4.2 per cent compared with 2022, according to new data released today by the Stockholm International Peace Research Institute (SIPRI), available at www.sipri.org.

Read this press release in Catalan (PDF), French (PDF), Spanish (PDF) or Swedish (PDF).

Click here to explore the interactive table of the SIPRI Top 100 arms-producing and military services companies in the world, 2023.

Download the SIPRI Fact Sheet here.

Accurate, dependable information is more important than ever. Invest in the facts. Support SIPRI.

Arms revenue increases were seen in all regions, with particularly sharp rises among companies based in Russia and the Middle East. Overall, smaller producers were more efficient at responding to new demand linked to the wars in Gaza and Ukraine, growing tensions in East Asia and rearmament programmes elsewhere.

SIPRI Top 100 companies ramp up production and build workforces

In 2023 many arms producers ramped up their production in response to surging demand. The total arms revenues of the Top 100 bounced back after a dip in 2022. Almost three quarters of companies increased their arms revenues year-on-year. Notably, most of the companies that increased their revenues were in the lower half of the Top 100.

‘There was a marked rise in arms revenues in 2023, and this is likely to continue in 2024,’ said Lorenzo Scarazzato, a Researcher with the SIPRI Military Expenditure and Arms Production Programme. ‘The arms revenues of the Top 100 arms producers still did not fully reflect the scale of demand, and many companies have launched recruitment drives, suggesting they are optimistic about future sales.’

US companies’ arms revenues rise, but production challenges remain

The 41 companies in the Top 100 based in the United States recorded arms revenues of $317 billion, half the total arms revenues of the Top 100 and 2.5 per cent more than in 2022. Since 2018, the top five companies in the Top 100 have all been based in the USA.

Of the 41 US companies, 30 increased their arms revenues in 2023. However, Lockheed Martin and RTX, the world’s two largest arms producers, were among those registering a drop.

‘Larger companies like Lockheed Martin and RTX manufacturing a wide range of arms products often depend on complex, multi-tiered supply chains, which made them vulnerable to lingering supply chain challenges in 2023,’ said Dr Nan Tian, Director of SIPRI’s Military Expenditure and Arms Production Programme. ‘This was particularly the case in the aeronautics and missile sectors.’

European arms industry trails rest of world in revenue growth

The combined arms revenues of the 27 Top 100 companies based in Europe (excluding Russia) totalled $133 billion in 2023. This was only 0.2 per cent more than in 2022, the smallest increase in any world region.

However, behind the low growth figure the picture is more nuanced. European arms companies producing complex weapon systems were mostly working on older contracts during 2023 and their revenues for the year consequently do not reflect the influx of orders.

‘Complex weapon systems have longer lead times,’ said Lorenzo Scarazzato. ‘Companies that produce them are thus inherently slower in reacting to changes in demand. That explains why their arms revenues were relatively low in 2023, despite a surge in new orders.’

At the same time, a number of other European producers saw their arms revenues grow substantially, driven by demand linked to the war in Ukraine, particularly for ammunition, artillery and air defence and land systems. Notably, companies in Germany, Sweden, Ukraine, Poland, Norway and Czechia were able to tap into this demand. For instance, Germany’s Rheinmetall increased production capacity of 155-mm ammunition and its revenues were boosted by deliveries of its Leopard tanks and new orders, including through war-related ‘ring-exchange’ programmes (under which countries supply military goods to Ukraine and receive replacements from allies).

Wartime production leads to sharp rise in Russian firms’ arms revenues

The two Russian companies listed in the Top 100 saw their combined revenues increase by 40 per cent to reach an estimated $25.5 billion. This was almost entirely due to the 49 per cent increase in arms revenues recorded by Rostec, a state-owned holding company controlling many arms producers, including seven previously listed in the Top 100 for which individual revenue data could not be obtained.

‘Official data on Russian arms production is scarce and questionable but most analysts believe that the production of new military equipment increased substantially in 2023, while Russia’s existing arsenal underwent extensive refurbishment and modernization,’ said Dr Nan Tian. ‘In particular, combat aircraft, helicopters, UAVs, tanks, munitions and missiles are all thought to have been produced in greater numbers as Russia continued its offensive in Ukraine.’

South Korean and Japanese companies lead revenue growth in Asia and Oceania

The 23 companies in the Top 100 based in Asia and Oceania recorded 5.7 per cent arms revenue growth year-on-year, to reach $136 billion. The four South Korea-based companies recorded a combined 39 per cent increase in arms revenues to reach $11.0 billion. The five companies based in Japan saw their combined arms revenues rise by 35 per cent to $10.0 billion. A policy of military build-up in Japan since 2022 drove a flurry of domestic orders, with some companies seeing the value of new orders increase more than 300 per cent.

‘The sharp growth in arms revenues among South Korean and Japanese companies reflects the bigger picture of military build-ups taking place in the region in response to heightened threat perceptions,’ said Xiao Liang, a Researcher with the SIPRI Military Expenditure and Arms Production Programme. ‘South Korean firms are also trying to expand their share of the global arms market, including demand in Europe related to the war in Ukraine.’

Middle East arms producers see revenue growth linked to Gaza, Ukraine conflicts

Six of the Top 100 arms companies were based in the Middle East. Their combined arms revenues grew by 18 per cent to $19.6 billion. With the outbreak of war in Gaza, the arms revenues of the three companies based in Israel in the Top 100 reached $13.6 billion. This was the highest figure ever recorded by Israeli companies in the SIPRI Top 100. The three companies based in Türkiye saw their arms revenues grow by 24 per cent to $6.0 billion, benefiting from exports prompted by the war in Ukraine and from the Turkish government’s continued push towards self-reliance in arms production.

‘The biggest Middle Eastern arms producers in the Top 100 saw their arms revenues reach unprecedented heights in 2023 and the growth looks set to continue,’ said Dr Diego Lopes da Silva, Senior Researcher with the SIPRI Military Expenditure and Arms Production Programme. ‘In particular, as well as taking in record arms revenues in 2023, Israeli arms producers are booking many more orders as the war in Gaza rages on and spreads.’

Other notable developments

  • The nine companies in the Top 100 based in China saw their smallest year-on-year percentage increase in arms revenues (+0.7 per cent) since 2019 amid a slowing economy. Their total arms revenues in 2023 reached $103 billion.
  • The combined arms revenues of the three Indian companies in the Top 100 increased to $6.7 billion (+5.8 per cent).
  • NCSIST, the only Taiwan-based company in the Top 100, recorded a 27 per cent increase in its arms revenues to $3.2 billion.
  • Türkiye’s Baykar produces armed uncrewed aerial vehicles (UAVs) that have been widely used in the war in Ukraine. Exports accounted for around 90 per cent of its arms revenues in 2023, which increased by 25 per cent over the year to $1.9 billion.
  • The United Kingdom’s Atomic Weapons Establishment, which designs, manufactures and maintains nuclear warheads, recorded the largest year-on-year percentage increase in arms revenues (+16 per cent) among UK companies in the Top 100, to reach $2.2 billion.
About the SIPRI Arms Industry Database

The SIPRI Arms Industry Database was created in 1989. At that time, it excluded data for companies in China, the Soviet Union and countries in Eastern Europe. The current version contains data for 2002–23, including data for companies in Russia. Chinese companies are included from 2015 onwards.

‘Arms revenues’ refer to revenues generated from the sales of military goods and services to military customers domestically and abroad. Unless otherwise specified, all changes are expressed in real terms and all figures are given in constant 2023 US dollars. Comparisons between 2022 and 2023 are based on the list of companies in the ranking for 2023 (i.e. the annual comparison is between the same set of companies). Longer-term comparisons are based on the sets of companies listed in the respective year (i.e. the comparison is between a different set of companies).

The SIPRI Arms Industry Database, which presents a more detailed data set for the years 2002–23, is available on SIPRI’s website at <https://www.sipri.org/databases/armsindustry>.

This is the first of three major data launches in the lead-up to the release of SIPRI’s flagship publication in mid 2025, the annual SIPRI Yearbook. Ahead of this, SIPRI will release its international arms transfers data (details of all international transfers of major arms in 2024) as well as its world military expenditure data (comprehensive information on global, regional and national trends in military spending in 2024).

Media contacts

For information or interview requests contact Mimmi Sh