Washington arms sales hit record

WASHINGTON — Sales of US military equipment to foreign governments last year rose 16 percent to a record $238 billion, the US State Department said on Monday.

It came as countries sought to replenish stocks sent to Ukraine and prepare for major conflicts.

The figures underpin expectations of stronger sales for the likes of Lockheed Martin, General Dynamics and Northrop Grumman, with their shares forecast to rise amid rising global instability.

Arms sales and transfers are viewed as "important US foreign policy tools with potential long-term implications for regional and global security", the State Department said in a statement.

Sales approved in the year included $10 billion worth of High Mobility Artillery Rocket Systems to Poland, $2.9 billion worth of AIM-120C-8 Advanced Medium Range Air-To-Air Missiles to Germany, and National Advanced Surface-to-Air Missile Systems to Ukraine.

Lockheed and General Dynamics expect existing orders for hundreds of thousands of artillery rounds, hundreds of Patriot missile interceptors, and a surge in orders for armored vehicles will underpin their results in coming quarters.

Direct military sales by US companies rose to $157.5 billion in fiscal 2023 from $153.6 billion in fiscal 2022, while sales arranged through the US government rose to $80.9 billion in 2023 from $51.9 billion the previous year.

Agencies via Xinhua