US arms companies suffer losses due to aid lack to Ukraine
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Economics
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US arms companies suffer losses due to aid lack to Ukraine

US military aid
Source:  online.ua

American analysts in the Defense Express publication report a reduction in arms production in the US due to the refusal of the House of Representatives in Congress to approve a request for financing military aid to Ukraine, Israel and Taiwan.

How the suspension of aid to Ukraine by the US caused losses to defence companies

The publication notes that there is now less and less confidence that Republicans in the House of Representatives will approve a bill to finance aid to Ukraine, Israel and Taiwan.

The authors of the material refer to the director of the development of the US Army's armed forces, according to whom, without a financing program for the expansion of the industrial production of ammunition, it is not worth counting on indicators that will exceed the output of 72 thousand ammunitions per month.

The lack of aid to Ukraine has caused losses to US defence companies
The production of ammunition has decreased in the USA

Obviously, by the same year 2025. Analysts note that this is 864,000 155-mm rounds per year or 2.8 times less than the Russian Federation's 2024 plans for producing large-calibre projectiles.

What affected the reduction of military-industrial production in the USA

According to experts, the reduction of defence and military production in the USA was influenced by the situation at the front in Ukraine and the internal situation with the state of defence and industrial production.

In 2023, the Pentagon could confidently say to the gunsmiths: expand production - we will buy everything. And this meant scaling up the production not only of the ammunition itself, but of all its components, including explosives and gunpowder, which had to increase proportionally. But the current situation clearly shows that the business-friendly confidence in further development has come to an end. ... And this is as far as possible from the Trumpists' promise to make someone great again, because insecurity and mistrust only creates chaos, analysts note.

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