Russian military op spurs European demand for U.S. drones, missiles.
QUICK FACTS:
- European governments have approached the U.S. government and defense contractors with a shopping list of arms including drones, missiles and missile defenses as the Russian invasion of Ukraine drives renewed demand for U.S. weaponry, Reuters reports.
- Requests are coming in from countries in Eastern Europe looking to acquire weaponry that Ukraine has used against Russian forces, including anti-aircraft Stinger missiles and anti-tank Javelin missiles, according to unnamed Reuters sources.
- The inquiries come as countries in Europe boost defense budgets, with Germany, Sweden, and Denmark among those promising a sharp increase in spending.
- Raytheon Technologies and Lockheed Martin Corp jointly produce Javelins, while Raytheon makes Stingers, Reuters notes.
- The potential for a surge in sales of all types of weaponry since the invasion began Feb 24 has lifted Lockheed stock 8.3% and Raytheon shares 3.9%.
- Raytheon executive Tom Laliberty said the company recognizes “the urgent need to replenish depleted inventories of Javelin and Stinger.”
- Under ordinary circumstances, U.S. defense deals take years of negotiations, approvals, and vetting after countries have spent up to several years deciding on their needs.
COUNTRIES INVESTING IN U.S. MILITARY-INDUSTRIAL COMPLEX:
- Germany, which is nearing a deal for 35 Lockheed Martin Corp F-35 jet fighters, has inquired about systems to defend against ballistic missiles, sources familiar with the situation said, according to Reuters.
- Germany is also examining U.S.-made missile defense systems like Terminal High Altitude Air Defense (THAAD), although that is not a frontrunner for purchase, a Reuters source said, as opposition politicians have asked about the purchase of the short-range rocket interceptor called Iron Dome to protect Berlin.
- Poland urgently wants to purchase sophisticated Reaper drone systems from the United States, a Polish government official said this week.
- Poland wants to buy several MQ-9 Reaper drones made by General Atomics, including under a special, accelerated procedure, and is eyeing further procurements later, Lieutenant Colonel Krzysztof Platek, a spokesperson for the Polish Defence Ministry’s Armament Agency, said in an interview on Wednesday.
BACKGROUND:
- Mara Karlin, a Pentagon assistant secretary of defense, said European allies are “doubling down” on their defense spending, after a congressional hearing where she spoke of “Russian aggression that threatens the territorial integrity of Europe,” Reuters notes.
- The Pentagon’s Defense Security Cooperation Administration is having weekly meetings of its European Crisis Management Team to review specific requests related to the current situation in Ukraine, a Reuters source said, because the sale of arms by U.S. contractors to foreign governments requires U.S. approval.
- The U.S. government is apparently looking to speed up its approval for sales and transfers of arms produced by American defense contractors, as the Pentagon has re-established a team to respond to the increased demand.
- “The Department of Defense is exploring options to support Ukraine’s needs, rapidly replenish U.S. inventories and backfill depleted stocks of allies and partners,” a senior Defense official said, adding that the Pentagon was working with contractors on ways to “mitigate supply chain constraints (and) accelerate production timelines.”
