Half a trillion on war: global arms expenditures rose

Military expenditures grow

If you divide the amount of the military expenditure incurred by the governments of the entire population of the Earth, it turns out that in terms of per person per year comes to $228. The amount of these expenditures reached the level of 2.3% of world GDP.

The absolute world leader in spending on military purposes is the United States: despite the fact that in 2015 related costs in the country fell by more than 2%, the United States accounted for more than one third (36%) of all global military spending — $596 billion.

Russia in this ranking — in fourth place (in addition to the US ahead of China and Saudi Arabia) with military spending at $66,421 billion Eastern Europe along with the Middle East, Asia and Oceania were the main regions that contributed to the global growth of the military expenses, while the expenses of the countries of North America, Western Europe, Africa and Latin America declined.

What is SIPRI and how he believes

Stockholm Institute for peace studies funded by the Swedish government and other research grants. Since 1969 he publishes the “SIPRI Yearbook” (in Russian language publication produced in collaboration with the Institute of world economy and international relations). The Yearbook provides an overview of the global market of armaments, disarmament and the situation of international security. SIPRI estimates are based on data from open sources.

SIPRI maintains a database on arms transfers worldwide. Information on the sale of weapons included in the database only in case if the delivery is accurate.

The Stockholm Institute is the world top-100 arms producers. To calculate the place the manufacturer uses standard unit indicator indicator expressed in US dollars at 1990 prices. Thus, according to the compilers of databases, it is possible to achieve comparable indices for a long period of time — in databases, see SIPRI data on arms sales in the world since 1950.

The Americans dominate

In contrast to rising military expenditures indicator, which is formed as a combination of the military budgets of all countries of the world, the arms sales of top 100 companies-manufacturers (both domestic and for export) in 2015, decreased by 0.6%. Under the “sale of weapons” researchers from Sweden understand not only the supply of new weapons and maintenance of military equipment, delivery of spare parts and components etc.

As in the case with military spending, the market for weapons is dominated by American companies: in 2015, they provided 57% of the total volume of sales of products and services to participants in the top 100 (this, however, 2.9% lower than a year earlier). The top 10 biggest sellers of weapons in 2015 consists of seven U.S. companies. As the authors of the study, the sales volume of American manufacturers falling for the fifth consecutive year. Global leader is the largest company in the world defense industry Lockheed Martin. This manufacturer, more than 90% of sales of which goes to the military order of the Pentagon, produces a wide range of military equipment, including ballistic missiles, advanced military aircraft, cruisers, radar systems, etc.

“Lockheed Martin is the largest weapons manufacturer in the world,” says Od Fleran, Director of weapons programs and military expenditures SIPRI. The decline in sales of American manufacturers expert associates with export restrictions, delays in delivery of equipment and the strengthening of the dollar.

The top 10 sellers of weapons other than of U.S. companies also entered the British BAE Systems, Italian Finmeccanica and the European Corporation (headquarters in France) Airbus.

Russian order

11 Russian companies in the hundred of the largest producers of weapons, in 2015 sold arms to 6.2% more than in 2014, estimated by SIPRI. But the contribution of Russian manufacturers in the total sales of the top 100 is relatively small — of 8.1%. Sales volume increased in ten of the 11 Russian producers, says SIPRI.

In September, the American edition of DefenseNews has published a ranking of the military-industrial companies received the highest income from sales of military products for the year 2015. The list includes seven Russian defense companies: concern “Almaz-Antey”, United aircraft Corporation “Helicopters of Russia”, Corporation “Tactical missiles” concern radio-Electronic technologies, and Uralvagonzavod, RTI. According to estimates DefenseNews, in 2015, they collectively earned $20.5 billion.

Based on the estimates of SIPRI, the most part produced in Russia weapons were intended for the Russian army. Only during the international military-technical forum “Army-2016” in September of this year, the defense Ministry has signed 17 long-term contracts with six companies of 130 billion rubles (over $2 billion). The Ministry ordered the latest developments of Russian military-industrial complex — tanks “Armata” self-propelled artillery “Msta-s”, submarines of project 636 “Varshavyanka” and others Commenting on signed contracts, Deputy defense Minister Yuri Borisov said that the task of the state defense order to increase the number of new equipment in the Russian army to 70%.

In addition, Russia, according to estimates by SIPRI, is the second country in the world in terms of arms exports (after the USA), providing 25% of global exports. The main buyers of Russian weapons last five years are the five countries: Egypt, India, Iraq, Algeria, and Vietnam. Two countries from among the main partners of Russia — Egypt and India — are in the top 5 the world’s major buyers of weapons. The other three — Saudi Arabia, Australia and the UAE — are customers of American companies.