The United States achieved a record in arms sales to foreign governments in 2024, with exports soaring by 29% to a total of $318.7 billion. This surge is largely attributed to heightened demand from Ukraine and efforts by other nations to replenish their depleting weapons stockpiles following significant military aid shipments to Kyiv.
According to data from the US State Department, military sales organised through the US government rose from $80.9 billion in 2023 to $117.9 billion in 2024. At the same time, direct military sales by US companies climbed from $157.5 billion to $200.8 billion within the same period. These figures underscore the growing role of American defence contractors in supplying weapons to allies worldwide.
Among the notable sales approved in 2024 were $23 billion worth of F-16 fighter jets and upgrades for the Turkish military, $18.8 billion worth of F-15 jets for Israel, and $2.5 billion worth of M1A2 Abrams tanks for Romania. The sales were described by the US State Department as crucial instruments of foreign policy with long-term regional and global security implications.
| Year | US Arms Sales (Billion $) | Direct Sales (Billion $) | Government-Facilitated Sales (Billion $) |
|---|---|---|---|
| 2023 | 246.4 | 157.5 | 80.9 |
| 2024 | 318.7 | 200.8 | 117.9 |
US defence firms have been ramping up production to meet the extraordinary demand for arms that has emerged in the wake of Russia’s full-scale invasion of Ukraine. The war has pushed many governments to bolster their military capabilities, either to aid Ukraine or to ensure their own security in the face of increasing geopolitical tensions.
The growth in American arms exports is seen as a direct result of nations seeking to replenish weaponry supplied to Ukraine. Despite the recent suspension of new foreign aid for 90 days, US military support for Ukraine continues under previously approved packages. Washington remains a critical supplier of arms to Kyiv, further cementing its role as a key player in global defence sales.
Russia’s Arms Industry Collapsing: Putin’s War Costs Moscow Billions
As Russia’s full-scale invasion of Ukraine nears its third anniversary, the war’s consequences are being felt beyond the battlefield. Once the world’s second-largest arms exporter, Russia has seen its military exports shrink by 92% from 2021 to 2024, collapsing from $14.6 billion to under $1 billion. Sanctions, inflation, financial constraints, and a desperate focus on equipping its own military have devastated the industry.
The Stockholm International Peace Research Institute (SIPRI) reported that in 2023, Russia dropped to third place in global arms exports behind the United States and France, with China and Germany following closely behind. Between 2019 and 2023, Russian arms exports plummeted by 53% compared to the previous five-year period. The number of countries purchasing Russian weapons has also declined sharply, from 31 in 2019 to just 12 in 2024. Many former buyers, including India, have turned to competitors, particularly China, as Russian defence firms struggle with production and payment difficulties exacerbated by the war.
Despite the grim outlook, Russia continues to market its Su-57E fifth-generation fighter jet, boasting of its combat experience in Ukraine. However, the aircraft has failed to attract significant foreign interest, with even India—a longtime Russian military customer—showing reluctance. Rosoboronexport, Russia’s state arms exporter, has struggled to secure deals, with no major contracts signed at the 2023 Dubai Airshow, a stark contrast to previous years. While Russian officials claim a record $55 billion in pending orders, skepticism remains about whether these deals will materialize given Russia’s current financial and industrial strains.
Russia’s Declining Arms Exports (2021-2024)
| Year | Arms Export Revenue (USD) | Major Customers Lost |
|---|---|---|
| 2021 | $14.6 billion | – |
| 2022 | $8 billion | – |
| 2023 | $3 billion | – |
| 2024 | < $1 billion | India, Egypt, Indonesia |
The war has forced Russia to prioritize domestic military production over exports, leading to an exodus of foreign customers. High interest rates of 21% have further strained the industry, making foreign deals even less viable. With mounting economic difficulties, corruption, and Western sanctions tightening, Russia’s hopes of reviving its arms export industry seem increasingly bleak. The once-thriving market has been reduced to a shadow of its former self, highlighting the severe economic costs of Putin’s war.
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