“The New York Times” rated Israel as the third largest supplier of weapons and military technology to the US in 2004, ahead of France and Germany. Israeli defense industries signed 113 contracts worth $124 million with the US Department of Defense last year.
”The New York Times” published a report on the Pentagon’s increasing inclination to rely on foreign suppliers. This trend is motivated by a wish to save on R&D costs, and by the shrinking of the military-industry base in the US.
Foreign defense industries receive only a miniscule share of US Defense Department procurement spending, but their share is rising rapidly, despite efforts by Congress to force the Pentagon to buy US-produced items.
”The New York Times” reports that Canada was the leading foreign weapons supplier to the US in 2004, with 775 contracts worth $600.9 million, followed by the UK, with 649 contracts worth $340.2 million.
France, home to giant military and aerospace corporation European Aeronautic Defence and Space Company (EADS), whose civilian division manufactures Airbus planes, was ranked in fourth place, with 55 contracts worth $108.6 million. Sweden was fifth, with 27 contracts worth $68.5 million, followed by Germany, with 161 contracts worth $55 million.
Israeli defense products have a large presence in the US Armed Forces, including unmanned aerial vehicles (UAVs, some of which are being used in Iraq), upgraded versions of the Python missile (manufactured in the southern US), detachable fuel tanks for US planes, and reactive armor for US armored personnel carriers in Iraq.
Published by Globes [online] - www.globes.co.il - on September 28, 2005