As the war in Iran deeply impacts large parts of the global economy, the arms sector is reaping thousands of orders. During the first sixteen days of operations against Iran, the coalition led by the United States consumed $26 billion worth of ammunition, according to a study by the Royal United Services Institute (Rusi). More than 11,200 projectiles were fired, including 1,200 Patriot missiles, several hundred Tomahawks, and 300 Thaad interceptors. Each arsenal emptied is a potential order for the arms industry.
The first to benefit are the three major American companies. RTX, Lockheed Martin, and Northrop Grumman are expected to capture the bulk of the $16.5 billion in military sales to Gulf states approved by the State Department since the beginning of the conflict. Boeing will triple its production of sensors for Patriot Pac-3 missiles under a seven-year contract with the Pentagon. In Washington, Donald Trump said he wants to increase the US defense budget to $1.5 trillion, while Pete Hegseth confirmed that an additional request of around $200 billion had been submitted to the White House.
The Financial Times also revealed that the broker for Defense Secretary Pete Hegseth attempted to invest millions of dollars in a BlackRock index fund dedicated to the defense industry just before the attack on Iran was launched. The investment ultimately did not go through.
