Wars Fuel Demand: Global Arms Sales Reach $679 Billion in 2024, Says SIPRI
US and European firms lead surge, Russia and Middle East post gains, while China sees decline amid procurement delays
US, Dec 01 : The world’s top arms manufacturers recorded unprecedented growth in 2024, with total revenues for the top 100 companies rising 5.9% to USD 679 billionthe highest figure since SIPRI began tracking the sector. The increase was largely driven by ongoing conflicts in Ukraine and Gaza, alongside a broader surge in global military spending.
Most growth came from the US and Europe, reflecting higher defence budgets and accelerated procurement cycles. Thirty of 39 US firms, including Northrop Grumman, Lockheed Martin, and General Dynamics, saw revenue growth, collectively generating USD 334 billion, up 3.8% from 2023. In Europe, 23 of 26 firms recorded higher sales, with total revenue climbing 13% to USD 151 billion, boosted by wartime procurement linked to the Ukraine conflict. The Czech Republic’s Czechoslovak Group posted a remarkable 193% surge, while Ukraine’s JSC Ukrainian Defense Industry saw a 41% increase.
Despite sanctions, Russia’s two listed firms, Rostec and United Shipbuilding Corporation, recorded a combined 23% revenue increase to USD 31.2 billion, primarily driven by domestic demand. Middle Eastern defence companies also reported higher sales, with Israel’s three top firms achieving a 16% rise to USD 16.2 billion, even amid global criticism over Gaza.
In contrast, Asia and Oceania experienced a slight decline of 1.2%, to USD 130 billion, largely due to a 10% drop among China’s top defence firms, impacted by corruption allegations and delayed procurement contracts.
SIPRI researchers highlighted that while current demand is strong, supply chains could face increasing pressure, particularly regarding critical minerals and tightening Chinese export controls.
