CRS: Conventional Arms Transfers to Developing Nations, 2001-2008

CRS Report for Congress

Prepared for Members and Committees of Congress

Conventional Arms Transfers to DevelopingNations, 2001-2008

Richard F. Grimmett

Specialist in International SecuritySeptember 4, 2009

Congressional Research Service

7-5700www.crs.govR40796

Conventional Arms Transfers to Developing Nations, 2001-2008Congressional Research Service

Summary

This report is prepared annually to provide Congress with official, unclassified, quantitative dataon conventional arms transfers to developing nations by the United States and foreign countriesfor the preceding eight calendar years for use in its policy oversight functions. All agreement anddelivery data in this report for the United States are government-to-government Foreign MilitarySales (FMS) transactions. Similar data are provided on worldwide conventional arms transfers byall suppliers, but the principal focus is the level of arms transfers by major weapons suppliers tonations in the developing world.Developing nations continue to be the primary focus of foreign arms sales activity by weaponssuppliers. During the years 2001-2008, the value of arms transfer agreements with developingnations comprised 64.8% of all such agreements worldwide. More recently, arms transferagreements with developing nations constituted 69.2% of all such agreements globally from2005-2008, and 76.4% of these agreements in 2008.The value of all arms transfer

agreements

with developing nations in 2008 was nearly $42.2billion. This was a nominal increase from $41.1 billion in 2007. In 2008, the value of all arms

deliveries

to developing nations was nearly $18.3 billion, the lowest total in these deliveriesvalues for the entire 2001-2008 period (in

constant

2008 dollars), and only slightly below the2007 total.Recently, from 2005-2008, the United States and Russia have dominated the arms market in thedeveloping world, with both nations either ranking first or second for three out of four years inthe value of arms transfer

agreements

. From 2005-2008, Russia made nearly $35.1 billion, 22.9%of all such agreements, expressed in

constant

2008 dollars. During this same period, the UnitedStates made $56.3 billion in such agreements, 36.7% of all such agreements. Collectively, theUnited States and Russia made 59.6% of all arms transfer agreements with developing nations($91.4 billion (in

constant

2008 dollars) during this four-year period.In 2008, the United States ranked first in arms transfer

agreements

with developing nations with$29.6 billion or 70.1% of these agreements, an extraordinary market share for a single year. Farbehind in second place was Russia with $3.3 billion or 7.8% of such agreements. France wasranked third with $2.5 billion or 5.9%. In global arms transfer

agreements

in 2008, the UnitedStates also dominated, ranking first with $37.8 billion in such agreements or 68.4% of all suchagreements. In 2008, the United States ranked first in the value of arms

deliveries

to developingnations at $7.4 billion, or 40.9% of all such deliveries. Russia ranked second at $5.2 billion or28.5% of such deliveries.In 2008, the United Arab Emirates ranked first in the value of arms transfer

agreements

among alldeveloping nations weapons purchasers, concluding $9.7 billion in such agreements. Saudi Arabiaranked second with $8.7 billion in such agreements. Morocco ranked third with $5.4 billion.

Conventional Arms Transfers to Developing Nations, 2001-2008Congressional Research Service

Contents

Conventional Arms Transfers to Developing Nations, 2001-2008................................................1

Introduction and Overview....................................................................................................1

Major Findings...........................................................................................................................3

General Trends in Arms Transfers Worldwide........................................................................3

General Trends in Arms Transfers to Developing Nations......................................................6

United States...................................................................................................................7

Russia.............................................................................................................................8

China............................................................................................................................10

Major West European Suppliers....................................................................................11

Regional Arms Transfer Agreements...................................................................................13

Near East......................................................................................................................13

Asia....................................................................................................................................14

Leading Developing Nations Arms Purchasers....................................................................15

Weapons Types Recently Delivered to Near East Nations....................................................15

Arms Values Data Tables and Charts for 2001-2008..................................................................18

Selected Weapons Deliveries to Developing Nations, 2001-2008...............................................62

Worldwide Arms Transfer Agreements and Deliveries Values, 2001-2008.................................68

Description of Items Counted in Weapons Categories, 2001-2008............................................81

Regions Identified in Arms Transfer Tables and Charts..............................................................82

Figures

Figure 1. Arms Transfer Agreements Worldwide, 2001-2008 Developed and DevelopingWorlds Compared..................................................................................................................22

Figure 2. Arms Transfer Agreements Worldwide.......................................................................23

Figure 3. Arms Transfer Agreements With Developing Nations.................................................24

Figure 4. Arms Transfer Agreements With Developing Nations by Major Supplier, 2001-2008......................................................................................................................................25

Figure 5. Arms Transfer Agreements With Near East.................................................................28

Figure 6. Arms Transfer Agreement With Developing Nations in Asia.......................................29

Figure 7. Arms Deliveries Worldwide 2001-2008 Developed and Developing WorldsCompared..............................................................................................................................30

Figure 8. Arms Deliveries to Developing Countries by Major Supplier, 2001-2008....................31

Tables

Table 1. Worldwide Arms Transfer Agreements, 2001-2008 and Suppliers’ Share withDeveloping World..................................................................................................................26

Table 2. Worldwide Arms Deliveries, 2001-2008 and Suppliers’ Share with DevelopingWorld.....................................................................................................................................32