Global arms sales climbed to an unprecedented level in 2024, propelled by governments racing to modernize their militaries amid intensifying conflicts and mounting geopolitical tensions, according to a new report from the Stockholm International Peace Research Institute (SIPRI) released Monday, reported by The Nation.
The world’s 100 largest defense companies generated a record $679 billion in revenue last year, a 5.9% increase and the strongest annual rise since 2018. SIPRI attributes the surge largely to the wars in Ukraine and Gaza, as well as expanding defense budgets across major powers responding to regional security anxieties.
U.S. and European firms accounted for most of the growth. American manufacturers posted a combined $334 billion in sales despite persistent delays and cost overruns in marquee programs, including the F-35 fighter jet and the Columbia-class submarine. In Europe, 23 of 26 companies boosted revenue, driving regional sales up 13% to $151 billion. The Czech-based Czechoslovak Group recorded the sharpest jump worldwide; an extraordinary 193%; buoyed by large supply contracts for Ukraine.
Türkiye strengthened its position in the global defense market, adding a fifth firm—MKE—to the Top 100 alongside ASELSAN, TAI, Baykar, and Roketsan. The country’s arms sales rose 11% to $10.1 billion.
Russian companies, despite sanctions and severe labor shortages, saw revenues grow 23% to $31.2 billion, supported almost entirely by domestic demand linked to the war in Ukraine.
By contrast, Asia-Oceania saw a 1.2% dip in total sales, driven mostly by a pullback in Chinese procurement amid sweeping corruption probes. Still, Japan and South Korea posted strong double-digit increases fueled by rising exports and regional rearmament.
The Middle East reached its highest representation ever in SIPRI’s Top 100, with nine companies generating $31 billion in sales. Israeli firms expanded output despite international criticism of the Gaza war, while the UAE’s state-owned EDGE Group ranked 37th with $4.7 billion in revenue.
