New Delhi [India], January 25 (ANI): India will begin the export of ground systems for the <keyword id="19948663" type="General" weightage="100" keywordseo="brahmos" source="keywords">BrahMos</keyword> supersonic cruise missile in the next 10 days while the missiles of the system would be sent by March this year, <keyword id="19948662" type="General" weightage="20" keywordseo="drdo" source="keywords">DRDO</keyword> chairman <keyword id="20331280" type="General" weightage="20" keywordseo="dr-samir-v-kamat" source="keywords">Dr Samir V Kamat</keyword> said on Thursday. <br /><br />The Defence Research and Development Organisation chairman, in an interview with ANI, said the first set of BrahMos missile systems is expected to reach Philippines by the end of March. <br /><br />"The ground systems should be sent in the next 10 days, the missiles will hopefully go by March (to Philippines)," Kamat said. <br /><br />BrahMos missiles export to the Philippines is the biggest ever defence export contract signed with any foreign country by India.<br /><br />India had signed a deal with the Philippines worth USD 375 million in January 2022 for the supply of shore-based anti-ship variant of the BrahMos supersonic cruise missile. <br /><br />In an interview with ANI, the DRDO chairman said that exports are going to play a significant role in the defence sector. <br /><br />"I am sure over the coming years exports are going to become a very important part of our portfolio," he said. <br /><br />"So far, a lot of our hull-mounted sonars, lightweight torpedo, we have exported radars, we have now a lot of interested (countries) on Pinaka among others," the top DRDO official said. <br /><br />He said that approximately Rs 4.94 lakh crores worth of DRDO-developed products have either been inducted in defence or have received Acceptance of Necessity (AoN) from the <keyword id="20330004" type="General" weightage="20" keywordseo="defence-acquisition-council" source="keywords">Defence Acquisition Council</keyword> (DAC).<br /><br />"The developments are now increasingly getting done much faster than earlier. My estimate is, more than 60 per cent or 70 per cent of the inducted products are in the last 5-7 years. This rate is going to increase dramatically as we go ahead," he added.<br /><br />The BRAHMOS supersonic cruise missile system is one of the most successful missile programmes in the world. As the world's best and fastest precision-guided weapon, BRAHMOS has fortified India's deterrence power in 21st century. Designed and developed by India-Russia JV entity BrahMos Aerospace, supersonic cruise missile BRAHMOS has continued to evolve as the most versatile weapon in its genre. The next generation variant of the missile has smaller, lighter and smarter dimensions designed for deployment on a wider number of modern military platforms. <br />

BrahMos supersonic cruise missile system exports to begin in next 10 days: DRDO chief

India got its first ever export order for <keyword id="961030" type="General" weightage="20" keywordseo="BrahMos-missiles" source="Orion">BrahMos missiles</keyword> on Friday when the <keyword id="3750" type="General" weightage="80" keywordseo="philippines" source="Orion">Philippines</keyword>' <keyword id="43909" type="General" weightage="20" keywordseo="defence-ministry" source="Orion">Defence Ministry</keyword> signed USD 374 million contract with the <keyword id="2635490" type="General" weightage="20" keywordseo="brahmos-aerospace-pvt-ltd" source="Orion">BrahMos Aerospace Pvt Ltd</keyword> (BAPL) to supply undisclosed number of missiles, military officials stated.<br /><br />The BAPL, an India-Russian joint venture, produces the supersonic cruise missile BrahMos that can be launched from submarines, ships, aircraft, or from land platforms.<br /><br />The USD 374 million contract is to supply shore-based anti-ship BrahMos missiles to the Philippines' Navy, the military officials noted.<br /><br />In a statement, the Defence Ministry said: "The BAPL signed a contract with the Department of National Defence of the Republic of Philippines on January 28, 2022, for supply of shore-based anti-ship missile system to Philippines."<br /><br />"The BAPL is a joint venture company of the Defence Research and Development Organisation. The contract is an important step forward for Government of India's policy of promoting responsible defence exports," it added.<br /><br />India has already deployed a sizable number of the Brahmos missiles and other key assets in several strategic locations along the Line of Actual Control with China in Ladakh and Arunachal Pradesh.<br /><br /><strong>SEE ALSO:<br /><a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/budget/news/union-budget-2022-allocation-for-the-education-sector-in-india/articleshow/89176456.cms">Indian education sector’s budget wishlist – Subsidised access to laptops and smartphones, focus on edtech</a><br /></strong><a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/tech/news/ios-15-4-beta-allows-you-to-use-face-id-with-your-mask-on/articleshow/89176571.cms"><strong>iOS 15.4 Beta allows you to use Face ID with your mask on</strong></a><br />

India gets first ever export order for BrahMos missiles, signs $374 million contract with Philippines

<ul><li>India’s <keyword id="9490244" type="General" weightage="20" keywordseo="defense-exports" source="Orion">defense exports</keyword> hit ₹13,000 crore during the fiscal year 2021-22.</li><li>50% of India’s defense exports from 2017 to 2021 were to Myanmar, followed by Sri Lanka at 25%.</li><li>Defence Ministry is gearing up to launch 75 products in the domains of unmanned, robotics systems, intelligent monitoring systems, and more.</li></ul>India's efforts to become self-reliant in the defense sector are showing positive signs. During the fiscal year 2021-2022, India's defense exports touched a record ₹13,000 crore, said Defence Secretary Ajay Kumar. This is an increase of 54.1 percent as compared to the financial year 2020-21.<br />The private sector accounted for 70 percent of the total exports, while the public sector companies did only 30 percent of the exports. In addition, Defence Ministry said the US was the principal buyer, following nations in Southeast Asia, Africa, and West Asia.<br />The defense official said India exports <keyword id="214289" type="General" weightage="20" keywordseo="military-hardware" source="Orion">military hardware</keyword>, including advanced light helicopters, missiles, offshore patrol vessels, surveillance systems, personal protective gear, and various radars. Besides this, light combat aircraft, air-to-air missiles, sonars, and Akash surface-to-air missile systems hold export potential for India.<br />In January, India signed a $374.96-million deal with the Philippines to supply three batteries for the BrahMos cruise missile. This deal emerged as the biggest defense export order for India.<br />Sources said the majority of India’s defense export is in the aerospace sector, in which Indian companies have been manufacturing fuselage for foreign companies. For example, all fuselages of the American helicopter Apache sold worldwide are made in India and developed by a joint venture between Tata and Boeing. Similarly, Lohia Group and Adani Defence are making fuselages for Israeli drones.<br /><cmsannotation type="cmsannotation" annotationid="₹35,000 crore export in next five years" comment="subhead" text="₹35,000 crore export in next five years"><span data-til="noop">₹35,000 crore export in next five years</span></cmsannotation><br />Back in 2020, Prime minister Narendra Modi's government had set a target of ₹35,000 crore export in the aerospace sector and defense services and goods in the next five years. In addition, over 100 products are in the pipeline, including infrastructure to process and store data for classified applications of AI.<br /><br /><strong>SEE ALSO:<br /><a href="https://www.businessinsider.in/tech/news/how-to-safe-my-smartphone-from-security-threats-and-data-leaks-in-2022/articleshow/92848396.cms">Five apps to keep your smartphone safe from security threats and data leaks in 2022</a><br /></strong><a href="https://www.businessinsider.in/tech/enterprise/news/cios-may-be-the-answer-to-the-data-problem-in-esg-implementation/articleshow/92844908.cms"><strong>CIOs may be the answer to the data problem in ESG implementation</strong></a><br />

India's defense exports surge to ₹13,000 crore — private companies beat govt

<ul><li><keyword id="68124" type="General" weightage="80" keywordseo="hal" source="Orion">HAL</keyword> is one of the world’s largest and oldest defence manufacturing companies, and its investors have gotten very rich this year.</li><li>HAL’s rise could also benefit two other defence manufacturers, say analysts.</li><li>The company’s large orderbook, and interest in the <keyword id="763438" type="General" weightage="50" keywordseo="tejas-lca" source="Orion">Tejas LCA</keyword> by six countries has driven the rally in its stock.</li></ul>Defence indigenization has been one of the goals of the current Indian government, with an aim to reduce dependence on foreign countries. But a crucial aspect that gets relatively less airtime is defence exports – and it has made investors of <keyword id="151778" type="General" weightage="50" keywordseo="hindustan-aeronautics" source="Orion">Hindustan Aeronautics</keyword> richer by 75% in 2022 alone.<br /><br />Hindustan Aeronautics Limited (HAL) has been identified by analysts as “the defence Prime” – essentially crowning HAL as the kingpin of the Indian defence sector. <br /><br />According to the analysts at ICICI Securities, HAL’s defence export efforts could also open up export opportunities for two other state-owned defence manufacturers – Bharat Electronics and Bharat Dynamics, thereby helping to expand the Indian defence industrial complex in general.<br /><br />₹1 lakh invested in HAL at the beginning of 2022 is now worth ₹1.75 lakh.<br /><br />          <div type="image" title="HAL 01_01_22 to 08_08_22." msid="93426009" hostid="261" caption="&amp;lt;p&amp;gt;HAL share price in 2022&amp;lt;/p&amp;gt;"></div><br /><cmsannotation type="cmsannotation" annotationid="Why is HAL surging?" comment="subhead" text="Why is HAL surging?"><span data-til="noop">Why is HAL surging?</span></cmsannotation><br /><br />HAL is in talks with Egypt, Malaysia and Nigeria for defence exports that could amount to over $5.5 billion, with tenders for setting up manufacturing facilities for the <keyword id="6376012" type="General" weightage="80" keywordseo="tejas" source="Orion">Tejas</keyword> Mk1A light combat aircraft, helicopters and maintenance of Malaysia’s <keyword id="51948" type="General" weightage="50" keywordseo="sukhoi" source="Orion">Sukhoi</keyword> fighter jets, among others.<br /><br />The Indian government’s focus on increasing defence indigenization has also helped HAL in securing economies of scale, making its export offers more competitive. This, coupled with the high technical ratings of Tejas, have made it a key contender for bagging contracts from Egypt and Malaysia.<br /><br />According to the company’s latest financials, HAL’s current orderbook stands at ₹82,000 crore – this is 3.3-times the company’s FY22 revenue. Further, it has a strong pipeline of ₹1.24 lakh crore of manufacturing orders over the next three to four years, which will help the company deliver double-digit revenue growth, according to a report by ICICI Direct Research.<br /><br /><cmsannotation type="cmsannotation" annotationid="India’s defence exports: A quick dekko" comment="subhead" text="India’s defence exports: A quick dekko"><span data-til="noop">India’s defence exports: A quick dekko</span></cmsannotation><br /><br />In the Defence Production Policy of 2018, the Indian government set out an ambition of hitting $5 billion in annual defence exports by 2025.<br /><br />In 2017-18, India’s defence exports stood at $0.66 billion and have crossed $1.6 billion this year. Its latest major defence deal was for the BrahMos cruise missile with the Philippines, worth $375 million.<br /><br />Some major players in the Indian defence industry include HAL, Bharat Electronics, Bharat Dynamics, Bharat Forge, BrahMos Aerospace, <keyword id="363595" type="General" weightage="50" keywordseo="tata-advanced-systems" source="Orion">Tata Advanced Systems</keyword> and L&amp;T, among others.<br /><br /><cmsannotation type="cmsannotation" annotationid="A Tejas success story" comment="subhead" text="A Tejas success story"><span data-til="noop">A Tejas success story</span></cmsannotation> <br /><br />Once rejected by the Indian Navy as “too heavy”, Tejas has been one of the success stories of India’s defence indigenization efforts. And now, according to the government, six countries are interested in HAL’s light combat aircraft.<br /><br />The Egyptian air force needs 70 light combat aircraft at an estimated cost of $3 billion. HAL has offered to set up production facilities for the Tejas aircraft and helicopters in Egypt. <br /><br />HAL has already offered the twin-seater variant of the Tejas LCA to Malaysia in a deal worth $1.5 billion, in addition to maintenance of the Russian-origin Sukhoi 30 fighter jets.<br /><br />The Indian government said that the US, Australia and Indonesia have also expressed interest in the Tejas.<br /><br /><strong>SEE ALSO:<br /><br /><a href="https://www.businessinsider.in/business/auto/news/tractors-and-better-cars-drive-mms-q1-net-profit-but-the-future-is-electric/articleshow/93374861.cms">Tractors and better cars drive M&amp;M’s Q1 net profit but the future is electric</a><br /><br /><a href="https://www.businessinsider.in/finance/news/globalized-inflation-is-threat-to-global-economy-itself-says-rbi-guv-das/articleshow/93366552.cms">Globalized inflation is a threat to global economy itself, says RBI guv Das</a><br /><br /></strong><a href="https://www.businessinsider.in/finance/news/rbi-hikes-repo-rate-by-50-basis-point-to-5-4-as-inflation-is-still-uncomfortable/articleshow/93362291.cms"><strong>RBI hikes repo rate by 50 basis point to 5.4% as inflation is still ‘uncomfortable’</strong></a><br />

This defence sector stock boosted investor wealth by 75%

<img class="gwt-Image" src="/photo/51990100.cms" />Larsen and Tourbo (L&amp;T) is going to export like never before as the engineering and manufacturing giant will be assisting South East Asian nations in enhancing anti-submarine warfare (ASW).
<br /><br />

	For the first time ever, L&amp;T is going to export ships to the South East Asian countries and with the new DPP Policy of the government, L&amp;T is expecting significant growth orders on the defence side.
<br /><br />

	L&amp;T’s plans also coincide with PM Narendra Modi’s "Act East" policy.
<br /><br />

	Steering this initiative along with company's domestic and international defence sector plans is L&amp;T’s Senior Vice President, Head of Defence &amp; Aerospace, Jayant D Patil. 
<br /><br />

	An alumnus of IIT-Bombay, Patil is responsible for the entire defence and aerospace strategic business sectors of L&amp;T. 
<br /><br />

	In an exclusive interview, Patil divulges details on L&amp;T’s export plans and the type of ships they will be exporting
<br /><br />

	<strong>Q: How has the journey been so far? Did you face any bottlenecks as far as DPP policy is concerned?</strong>
<br /><br />

	A: At L&amp;T, we have been building solutions in-house and have been looking at select export opportunities for some time. Wherever we looked at an export opportunity, one limitation we saw was that we needed complete end-to-end solution to create unique value-additions. That necessarily meant that if you look at any platform technology, we did not have 100% platform solutions in-house. For example, if we decided to offer somebody an anti-submarine warfare capability, we needed to import a weapon for want of indigenous products. Now how do I import weapons or sensors in this country and re-export and get export permissions?
<br /><br />

	Today with the change in policies leading to easing and expeditious clearances of the export applications, this has been made possible.
<br /><br />

	<strong>Q: What kind of solutions are you looking at?</strong>
<br /><br />

	A: So, one can look at something like a "Brahmos" subject to specific clearances. These are end-to-end integration solutions, which we have matured while working with our armed forces for 20 years in India. 
<br /><br />

	Today, we can architect such complete solutions and integrate them on ships backed by policies. We are actually working out with few countries, and in next six months, we expect to make an announcement that we have actually sold ships and modernisation solutions to at least one friendly nation. Today, we do just about 150 crore a year in export sales, even this is not small as most Indian companies don't do that much as annual sales in defence. 
<br /><br />

	<strong>Q: What about the exporting ships to Vietnam?</strong>
<br /><br />

	A: This ‎is one serious opportunity being pursued and is under discussions. While we look forward to expeditious conclusion, we will have to wait for formal announcements.
<br /><br />

	<strong>Q: How do you see your company’s overall exports growing on the defence side?</strong>
<br /><br /> A: I see it growing over years to come. We believe that this is aligned with the government's plans and agenda of <keyword id="6354869" type="UNKNOWN" weightage="100" keywordseo="make-in-India">Make in India</keyword> for export and expect the government’s support in growing exports in this sector. All defence exporting nations do this and India cannot be an exception. We have not put numbers to our export targets. Maybe in a couple of months, I should be able to share some numbers with you. <br /><br />

	<strong>Q: What kind of ships you will be exporting?</strong>
<br /><br />

	A: First that we built were small ships, which were essentially interceptor boats. The difference is that these are designed in-house at our ship design centre to compete in Buy Global RFP conceptualised post 26/11 Mumbai attacks to outrun and catch anyone in sea.
<br /><br />

	We have developed an amazing solution, we have a ship that can do 90-100 Kmph in water and nobody in India has ever done anything of this kind. We won the global RFP and are building 54 for Indian Coast Guard. These are built at our Hazira as well as Katupalli shipyards. We are currently building OPVs for Coast Guard and Floating Dock for Indian Navy, all designed in-house. 
<br /><br />

	<strong>Q: What are your expectations from the defence ministry?</strong>
<br /><br />

	A: Going forward, we expect the MoD to give larger warships to us and not only to the MoD shipyards, whom we work with as Tier1 to built and install weapon systems, platform specific engineering systems and logistics solutions. We believe that this will see us build requisite track record for exports across platforms as well as systems.
<br /><br />

	Today, submarines are there around the corner, you'll see the artillery guns getting concluded in the near future, we see that the communication suite will mature in the next 2 to 3 years and in the fourth year we will start having some revenues on that, FICV development about to begin. We have also developed a wall penetrating and ground penetrating radars that reveal what is going on across the wall and see mines buried underground.
<br /><br />

	So in about next few years, we would have moved ahead of others not only in India but also target exports. These capabilities and track record has been built leveraging L&amp;T’s own R&amp;D investments and using indigenous knowledge.
<br /><br />

	<em>(Anupama Airy is the Founder and Editor of EnergyInfraPost.com and DefenceAviationPost.com. She can be reached at <a href="mailto:anupama.airy@gmail.com" target="_blank">anupama.airy@gmail.com</a>​, Twitter handle: @anupamaairy)</em>
<br /><br />

	<em>(Image: Indiatimes)</em>
<br /><br />


L&T is going to export ships to South-East Asian nations for the first time ever. Here are the details

<ul class="summary-list"><li>India has long been one of the world's biggest arms buyers, relying on others to equip its forces.</li><li>But New Delhi is investing heavily in domestic production to arm itself and export to the world.</li></ul><p>India has long been the world's largest arms importer, relying on other countries to supply it with <a href="https://www.businessinsider.com/india-china-buying-new-light-tanks-for-himalayan-mountain-warfare-2023-6">tanks</a>, <a href="https://www.businessinsider.com/first-jet-landing-on-vikrant-reflect-indian-aircraft-carrier-ambitions-2023-2">warships</a>, and <a href="https://www.businessinsider.com/indian-air-force-modernization-not-only-because-of-china-2021-9">fighter jets</a>. But it has been investing heavily in its domestic arms industry with the goal of equipping its own forces and increasing its arms sales around the world.</p><p>New Delhi has made headway toward that goal with its "Make in India, Make for the World" initiative, launched in 2020, and by forging closer defense relationships with other countries.</p><p>India's need to wean itself off its heavy dependency on arms imports became more apparent after Russia attacked Ukraine in 2022. New Delhi still has close ties with Moscow but the war has made the Russians less dependable suppliers.</p><p>Recent arms sales and exercises illustrate how India seeks to turn that domestic arms production into foreign sales and perhaps even take some of that market away from its biggest supplier.</p><h2>Shopping around</h2><div type="image" title="India army soldier Pinaka rocket launcher parade" height="1333" width="2000" msid="104092852" hostid="261" sizebytes="141000"></div><p>In September 2022, India agreed to sell its powerful Pinaka multi-barrel rocket launchers to Armenia — the first foreign export of the Pinaka — along with anti-tank missiles and assorted ammunition in a $260 million deal.</p><p>That sale came two and a half years after Armenia bought four of India's Swathi counter-battery radars, which track incoming artillery and rockets and plot return fire, for $40 million, choosing the Indian option over equivalent Polish and Russian systems in what was considered <a href="https://timesofindia.indiatimes.com/india/india-pips-russia-and-poland-for-40m-armenia-defence-deal/articleshow/74432148.cms" target="_blank" rel="noopener">a big achievement</a> for the then-nascent Make in India program.</p><p>New Delhi's aspirations for <a href="https://timesofindia.indiatimes.com/india/centres-new-plan-to-boost-exports-of-made-in-india-weapons-to-africa-middle-east/articleshow/100054640.cms?from=mdr" target="_blank" rel="noopener">a foothold in the African and Middle East arms markets</a> would undoubtedly get a boost from a sizable arms deals with Egypt. Over the past decade, Egypt has spent large sums on high-end weapons systems, primarily from France and Russia. Between 2015 and 2019, <a href="https://www.wilsoncenter.org/article/egypt-and-allure-military-power" target="_blank" rel="noopener">Egypt was the world's third-largest arms importer</a>.</p><p>India has been improving its ties with Egypt, as seen in their expanded military exchanges.</p><div type="image" title="India Narendra Modi Egypt Abdel Fattah al-Sisi Cairo" height="1479" width="1977" msid="104092853" hostid="261" sizebytes="91154"></div><p>India's air force and navy participated in Egypt's Bright Star-23, a multilateral military exercise, in September. It was the first time India had joined, and during the drills, an Indian air force Il-78 tanker <a href="https://timesofindia.indiatimes.com/india/exercise-bright-star-23-indian-air-force-refuels-egyptian-rafale-fighters/articleshow/103603060.cms?from=mdr" target="_blank" rel="noopener">refueled</a> Egyptian MiG-29M and Rafale fighters — Russian- and French-made jets, respectively.</p><p>That refueling underscored the degree of interoperability the militaries have developed and illustrated the countries' rapidly growing defense ties — ties that may translate into arms sales, particularly of India's domestically developed weapons.</p><p>In January, Egyptian President Abdel Fattah el-Sisi visited New Delhi and met with Indian Prime Minister Narendra Modi. The leaders <a href="https://www.bloomberg.com/news/articles/2023-01-25/india-hosts-egypt-s-sisi-as-it-looks-to-increase-defense-sales" target="_blank" rel="noopener">discussed</a> "defense platforms" and "equipment-related linkages" and <a href="https://www.reuters.com/world/india/india-egypt-will-seek-deepen-military-co-operation-foreign-secretary-2023-01-25/" target="_blank" rel="noopener">deepening cooperation</a> between their militaries and defense industries.</p><p>In June, Modi visited Egypt, the first visit to Cairo by an Indian leader <a href="https://www.newarab.com/analysis/why-india-and-egypt-are-forging-new-strategic-relationship" target="_blank" rel="noopener">since 1997</a>, where the two leaders decided to boost cooperation in several fields, <a href="https://www.hindustantimes.com/india-news/modi-meets-egypt-s-sisi-to-deepen-bilateral-ties-101687718543603.html" target="_blank" rel="noopener">including security and technology</a>. During Modi's visit, a former Indian Air Force chief <a href="https://timesofindia.indiatimes.com/india/india-egypt-can-cooperate-in-field-of-military-rd-manufacturing-former-iaf-chief-on-pm-modis-state-visit/articleshow/101245090.cms?from=mdr" target="_blank" rel="noopener">told Indian media</a> that the countries were eager to cooperate on military research, development, and manufacturing.</p><div type="image" title="Egypt air force fighter jet India tanker refueling" height="1000" width="1500" msid="104092854" hostid="261" sizebytes="39568"></div><p>"There is a very significant possibility of exporting weapon systems, sensors and platforms and also supporting Egypt" in its efforts to "building up their own industrial complex," the former air force chief was quoted as saying, noting their "commonalities of equipment, and thinking."</p><p>There have been reports that India is interested in <a href="https://www.theweek.in/news/india/2023/02/14/hal-pushing-for-lca-tejas-deal-with-malaysia-argentina-and-egypt-show-interest.html" target="_blank" rel="noopener">selling Egypt about 20</a> its Tejas light multi-role combat jets and in setting up production lines for that aircraft and for Indian-made helicopters in Egypt.</p><p>In February, the chairman of Hindustan Aeronautics Limited, which makes the Tejas, <a href="https://www.egyptdefenceexpo.com/news/hal-egypt-tejas-aircraft-contract-works" target="_blank" rel="noopener">said</a> the company was in talks to supply 35 Tejas Mk-1As to Egypt alongside a complete technology transfer that would enable Cairo to build the aircraft locally. (Egypt and India collaborated on development of the Helwan HA-300 light supersonic interceptor in the 1960s, but that project was ultimately canceled.)</p><p>India has also shown interest in exporting its domestically developed Akash medium-range air-defense system and the BrahMos cruise missile to a number of countries, <a href="https://www.al-monitor.com/originals/2021/02/egypt-india-russia-made-brahmos-missile-system-weapons.html" target="_blank" rel="noopener">including Egypt</a>. Brahmos is a joint Indian-Russian venture and officials are now <a href="https://www.reuters.com/business/aerospace-defense/india-russia-joint-venture-hopes-5-bln-supersonic-missile-exports-by-2025-2022-10-18/" target="_blank" rel="noopener">angling for billions</a> in foreign sales of it.</p><h2>Cashing in on the value market</h2><div type="image" title="India Narendra Modi helicopter factory" height="1157" width="2000" msid="104092855" hostid="261" sizebytes="138288"></div><p>While some of these deals could undoubtedly boost India's defense exports, it is still early days. After all, Indian defense exports in recent years were negligible compared to heavyweights like the US and France, and New Delhi remains heavily reliant on imports.</p><p>In the coming years, India could carve out a sizable place for itself in the <a href="https://warontherocks.com/2022/05/helping-india-replace-russia-in-the-value-arms-market/" target="_blank" rel="noopener">growing market for "value arms,"</a> which caters to countries looking for a better deal on older or slightly less capable hardware.</p><p>With a bigger share of that market, India could replace Russia and <a href="https://www.businessinsider.com/china-arms-sales-may-get-boost-from-russia-war-ukraine-2023-7" target="_blank" rel="noopener">compete with China</a> for exports, profits from which would also help Indian firms develop indigenously made equipment to fulfill domestic requirements.</p><p>While selling arms to Armenia may eventually be seen as the start of the Make in India initiative's ambitious effort to take New Delhi from the being the world's largest arms importer to a significant exporter, making that transformation is much easier said than done.</p><p>Securing even bigger deals with Egypt and other countries, and sweetening the pot with technology transfers and other incentives, might get that effort farther off the ground, helping India stand out in a crowded marketplace.</p><p><em>Paul Iddon is a freelance journalist and columnist who writes about Middle East developments, military affairs, politics, and history. His articles have appeared in a variety of publications focused on the region.</em></p>

India is a growing defense powerhouse, and now it's looking to cash in on it

Prime Minister <keyword id="6354477" type="General" weightage="80" keywordseo="narendra-modi" source="Orion">Narendra Modi</keyword> on Wednesday assured the new generation entrepreneurs in the defence equipment world that the 'Made in <keyword id="3658" type="General" weightage="80" keywordseo="india" source="Orion">India</keyword>' products will get priority in defence procurement.<br /><br />Sixty-eight per cent of the defence budget has been earmarked for indigenous products, he added.<br /><br />While inaugurating the defExpo-2022 here, the Prime Minister also launched the Indian Military Airworthiness Procedures (IMAP), HTT-40, Indian Defence Mart and defence <keyword id="15298793" type="General" weightage="80" keywordseo="space-msn" source="Orion">Space Msn</keyword> besides virtually laying the foundation stone for the DEESA Airfield.<br /><br />He said the country was once a net importer of defence equipment, but over the last eight years, defence manufactured in India is in demand across the world, and the exports have grown eight times. It has touched USD 1.59 billion, and the country targets to achieve the USD 5 billion mark in the next five years.<br /><br />Citing the success of the Brahmos missile, Prime Minister <keyword id="6354642" type="General" weightage="80" keywordseo="modi" source="Orion">Modi</keyword> said it is placed in one of the best technology missile categories and many countries have evinced interest in buying it.<br /><br />All three defence wings and indigenous companies' innovations are putting the nation on global armament nation. INS Vikrant aircraft carrier, Lightweight Helicopter 'Prachand' and tanks and indigenous combat guns are the pride of India, he said.<br /><br />"In the coming years, Space Diplomacy is going to take India to a new height as our satellites will be sharing real-time access with 60 developing countries. <keyword id="62000" type="General" weightage="80" keywordseo="maritime-security" source="Orion">Maritime Security</keyword> is a global priority and India has taken initiative in maritime security in the Indian Ocean region, in which 46 friendly countries are working on it," he said.<br /><br />Some 450 Memoranda of Understandings and agreements are going to be signed during these four days of DefExpo-2022.<br /><br />The Prime Minister, without naming the Congress, said, "Earlier pigeons were released, now Cheetah is now released, this is the difference of the government."<br /><br />He added in the past years, "our majority budget was going into importing defence equipment, now the time has changed. All three defence wings have made a list of 411 equipment which will be purchased from domestic manufacturers, only select items will now be imported," he added.<br /><br /><strong>SEE ALSO:<br /><a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/india/news/indians-to-benefit-as-canada-aims-to-grant-citizenship-to-300000-people-in-2022-23/articleshow/94956352.cms">Indians to benefit as Canada aims to grant citizenship to 300,000 people in 2022-23</a><br /></strong><a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/india/news/over-50-lakh-vehicles-deregistered-in-delhi-till-oct-17-this-year/articleshow/94956121.cms"><strong>Over 50 lakh vehicles deregistered in Delhi till Oct 17 this year</strong></a><br />

68% of defence budget allocated for procuring indigenous equipment: PM

<ul class="summary-list"><li>The apparent growth of China's ICBM force has received <keyword id="6356001" type="UNKNOWN" weightage="60" keywordseo="international">international</keyword> attention in recent weeks.</li><li>That growth is only one facet of China's rapid and ongoing military expansion.</li><li>That expansion worries China's neighbors, which are now expanding their own missile arsenals.</li></ul><p>Recent <a href="https://www.washingtonpost.com/national-security/china-nuclear-missile-silos/2021/06/30/0fa8debc-d9c2-11eb-bb9e-70fda8c37057_story.html" target="_top">r</a><a href="https://www.washingtonpost.com/national-security/china-nuclear-missile-silos/2021/06/30/0fa8debc-d9c2-11eb-bb9e-70fda8c37057_story.html" target="_top">eports</a> based on <a href="https://fas.org/blogs/security/2021/07/china-is-building-a-second-nuclear-missile-silo-field/" target="_top">satellite imagery</a> show that China is building as many as 230 new silos to hold <keyword id="1413547" type="PERSON" weightage="60" keywordseo="intercontinental-ballistic-missiles">intercontinental ballistic missiles</keyword> that could deliver nuclear warheads as far away as the US.</p><p>The construction may indicate a massive expansion of those capabilities and would be the latest chapter in China's meteoric military growth, which, along with Beijing's aggressive actions in places like the South China Sea, has already sparked a different kind of missile race.</p><p>Countries in the Indo-Pacific region are acquiring or expanding their own arsenals of long-range missiles, largely with China in mind. Those missiles are conventionally armed but also have offensive capability.</p><p>"In response to China's past and recent rapid expansion of missile capabilities, there is indeed a missile race ongoing in the Indo-Pacific," said Patrick Cronin, the Asia-Pacific Security chair at the Hudson Institute think tank.</p><p>Those countries - Cronin cited South Korea and "the Quad" of India, Japan, Australia, and the US - see the threat China poses differently, but the cumulative effect is clear. "It's a full acceleration of a missile race, frankly," Cronin told Insider.</p><h2>Hedging their bets</h2><div type="image" title="China military missile DF-21" height="1673" width="2500" msid="84899924" hostid="261"></div><p>China's <a href="https://media.defense.gov/2020/Sep/01/2002488689/-1/-1/1/2020-DOD-CHINA-MILITARY-POWER-REPORT-FINAL.PDF" target="_top">military</a>, particularly its navy and air force, is now one of the largest in the world and is developing the capability to conduct and sustain long-range operations.</p><p>The missiles that China <a href="https://missilethreat.csis.org/country/china/" target="_top">is fielding</a>, particularly the DF-21 and DF-26, also erode the physical buffer that countries like Australia and the US have long seen as an advantage.</p><p>"The tyranny of distance is no longer quite as tyrannical. It's not so distant either," Cronin said. "So all of these countries have to start filling in their own offensive capabilities."</p><p>US allies in the region, particularly Japan and South Korea, were long able to rely on the US military for their defense, but uncertainty over the US's commitment has prompted them to bolster and diversify their own firepower.</p><p>"The US has, over time, both demonstrated a great ability to defend allies but also occasional lapses to follow-through," Cronin said. "It's entirely possible that these countries don't want to rely exclusively on the US. They want to hedge their bets."</p><h2>Growing arsenals</h2><div type="image" title="Japan Ground Self-Defense Force fires surface-to-ship missile" height="1053" width="2000" msid="84899926" hostid="261"></div><p>Worried about <a href="https://www.businessinsider.com/chinas-coast-guard-ships-worrying-japan-scrambling-to-keep-up-2021-2" target="_top">Chinese activity in its waters</a>, Japan is <a href="https://www.navalnews.com/naval-news/2021/01/japan-to-greatly-extend-range-of-type-12-anti-ship-missiles-modify-it-for-f-15j/" target="_top">increasing</a> the range of its <a href="http://www.military-today.com/missiles/type_12.htm" target="_top">Type 12</a> anti-ship cruise missiles from about 200 km to 900 km, with the eventual goal of 1,000 km. Tokyo is also <a href="https://www.fpri.org/article/2021/02/the-ryukyu-defense-line-japans-response-to-chinas-naval-push-into-the-pacific-ocean/" target="_top">p</a><a href="https://www.fpri.org/article/2021/02/the-ryukyu-defense-line-japans-response-to-chinas-naval-push-into-the-pacific-ocean/" target="_top">utting</a> Type 12s and anti-aircraft batteries in the Ryukyu Islands, which sit between Japan and Taiwan.</p><p>Japan has <a href="https://www.defensenews.com/industry/techwatch/2020/03/13/japan-unveils-its-hypersonic-weapons-plans/" target="_top">p</a><a href="https://www.defensenews.com/industry/techwatch/2020/03/13/japan-unveils-its-hypersonic-weapons-plans/" target="_top">lans</a> for two hypersonic weapons: the <keyword id="9230033" type="UNKNOWN" weightage="60" keywordseo="hypersonic-cruise-missile">Hypersonic Cruise Missile</keyword> and the Hyper Velocity Gliding Projectile. The HVGP is <a href="https://mainichi.jp/english/articles/20200225/p2a/00m/0na/012000c" target="_top">expected</a> to have a range of about 500 km and a warhead designed to penetrate the decks of aircraft carriers. Tokyo hopes to deploy it by 2026.</p><p>Japan has <a href="https://mainichi.jp/english/articles/20210605/p2a/00m/0na/008000c" target="_top">indicated</a> that it wants long-range missiles that can be fired from its <a href="https://www.forbes.com/sites/davidaxe/2020/08/05/japan-turns-its-f-15s-into-ship-killers/?sh=1c157d63aa53" target="_top">aircraft</a> and <a href="https://www.navalnews.com/naval-news/2021/05/japans-new-aegis-equipped-ships-what-we-know-so-far/" target="_top">ships</a>, and its <a href="https://news.usni.org/2021/07/15/2021-defense-of-japan-report" target="_top">recently published </a><a href="https://news.usni.org/2021/07/15/2021-defense-of-japan-report" target="_top">defense </a><a href="https://news.usni.org/2021/07/15/2021-defense-of-japan-report" target="_top">white paper</a> specifically mentions the procurement of stand-off missiles as a priority.</p><p>Australia is <a href="https://www.businessinsider.com/australia-preparing-to-fight-alongside-us-and-on-its-own-2021-6" target="_top">pursuing a military buildup</a> as it moves into what Prime Minister Scott Morrison last year <a href="https://www.pm.gov.au/media/address-launch-2020-defence-strategic-update" target="_top">called</a> "a new and less benign strategic area" amid competition in the region. Morrison said Australia will expand its plans to acquire long-range maritime and land strike capabilities.</p><p>Canberra is <a href="https://www.smh.com.au/politics/federal/australia-to-buy-ship-killing-missiles-and-shift-focus-to-indo-pacific-20200630-p557op.html" target="_top">buying</a> 200 <a href="https://www.naval-technology.com/projects/long-range-anti-ship-missile/" target="_top">Long Range Anti-Ship Missiles</a> from the US and is <a href="https://www.smh.com.au/politics/federal/australia-to-build-its-own-missiles-with-1bn-guided-weapons-facility-20210330-p57fdm.html" target="_top">investing</a> $1 billion to build guided missiles domestically. That investment includes a ship-launched <a href="https://www.janes.com/defence-news/news-detail/update-lockheed-martin-thales-australia-team-for-surface-launched-lrasm-development" target="_top">version</a> of the LRASM and <a href="https://www.defensenews.com/industry/techwatch/2020/11/30/australia-us-partner-on-air-launched-hypersonic-missile/" target="_top">hypersonic weapons</a> that will be developed in consultation with the US.</p><div type="image" title="India Brahmos cruise missile" height="920" width="1400" msid="84899927" hostid="261"></div><p>India, too, is continuing to develop its <a href="https://missilethreat.csis.org/country/india/" target="_top">own missile arsenal</a> to <a href="https://www.hindustantimes.com/india-news/brahmos-akash-and-nirbhay-india-rolls-out-its-missiles-to-counter-chinese-threat/story-USsylwt4wxOaXzrml07DgJ.html" target="_top">counter </a><a href="https://www.hindustantimes.com/india-news/brahmos-akash-and-nirbhay-india-rolls-out-its-missiles-to-counter-chinese-threat/story-USsylwt4wxOaXzrml07DgJ.html" target="_top">China</a>.</p><p>It is <a href="https://www.airforce-technology.com/news/bdl-signs-contract-to-deliver-akash-missiles-to-indian-air-force/" target="_top">acquiring</a> new long-range <a href="https://www.airforce-technology.com/news/bdl-signs-contract-to-deliver-akash-missiles-to-indian-air-force/" target="_top">anti-ai</a><a href="https://www.airforce-technology.com/news/bdl-signs-contract-to-deliver-akash-missiles-to-indian-air-force/" target="_top">rcraft</a> and <a href="https://missilethreat.csis.org/missile/nirbhay/" target="_top">cruise missiles</a>, <a href="https://www.jagranjosh.com/general-knowledge/k-missile-family-1601983618-1" target="_top">developing</a> new submarine-launched ballistic missiles for its new <a href="https://www.naval-technology.com/projects/arihant-class/" target="_top">Arihant-class</a> nuclear-powered ballistic-missile subs, and working on a <a href="https://eurasiantimes.com/brahmos-ii-missile-program-to-greatly-benefit-from-the-successful-test-of-russian-zircon-hypersonic-missile/" target="_top">hypersonic variant</a> of its <a href="https://missilethreat.csis.org/missile/brahmos/" target="_top">Brahmos cruise missile</a>. India is also <a href="https://www.army-technology.com/news/brahmos-supersonic-cruise-missile-test-firing-fails/" target="_top">increas</a><a href="https://www.army-technology.com/news/brahmos-supersonic-cruise-missile-test-firing-fails/" target="_top">ing</a> the range of the Brahmos again, this time from 400 km to 800 km.</p><p>In July, South Korea successfully <a href="https://www.navalnews.com/naval-news/2021/07/south-korea-conducts-submarine-launched-ballistic-missile-test/" target="_top">tested</a> a sub-launched <keyword id="42458" type="PERSON" weightage="60" keywordseo="Ballistic-missile">ballistic missile</keyword> for the first time, firing it from an underwear barge. The missile, believed to be a Hyunmoo-2B, is reported to have a range of 500 km and will likely be fitted on future <a href="https://www.naval-technology.com/projects/kss-iii-jangbogo-iii-class/" target="_top">Dosan Ahn Chang Ho-class</a> submarines.</p><p>Following the US's recent agreement to <a href="https://www.defensenews.com/global/asia-pacific/2021/05/25/us-lifts-missile-restrictions-on-south-korea-ending-range-and-warhead-limits/" target="_top">lift </a><a href="https://www.defensenews.com/global/asia-pacific/2021/05/25/us-lifts-missile-restrictions-on-south-korea-ending-range-and-warhead-limits/" target="_top">restrictions</a> that limited South Korea's missiles to a range of 800 km, Seoul can now build longer-range missiles.</p><p>This missile proliferation isn't limited to the major Indo-Pacific powers.</p><p>India is <a href="https://eurasiantimes.com/brahmos-missile-1st-export-contract-of-indian-russian-cruise-missile-to-be-signed-once-pandemic-ends-co-director/" target="_top">looking to export</a> the Brahmos to other countries in the region, including the <a href="https://www.wionews.com/india-news/india-philippines-brahmos-pact-a-deal-that-sends-message-to-china-368326" target="_top">Philippines</a> and <a href="https://theprint.in/defence/rajnath-singh-assures-friend-vietnam-of-help-modernising-its-armed-forces/553405/" target="_top">Vietnam</a>, both of which have maritime disputes with China.</p><div type="image" title="Taiwan navy ship launches a Hsiung Feng II missile" height="1270" width="2000" msid="84899929" hostid="261"></div><p>Taiwan, which <a href="https://www.reuters.com/world/asia-pacific/taiwan-says-seeking-long-range-cruise-missiles-us-2021-04-19/" target="_top">hopes</a> to buy American cruise missiles, has extended the range of its <a href="https://missilethreat.csis.org/missile/hsiung-feng-iie/" target="_top">Hsiung Feng IIE</a> cruise missiles to 1,200 km and is <a href="https://thediplomat.com/2021/03/taiwan-mass-producing-new-long-range-missile/" target="_top">developing</a> another missile, the <a href="https://missilethreat.csis.org/missile/yun-feng/" target="_top">Yun Feng</a>, with a standard range of 1,200 km and an extended range of 2,000 km.</p><p>The sheer number of missiles in strategic locations along the Indo-Pacific, as well as those that can be launched from aircraft, ships, and submarines, could give the US and its allies their own form of anti-access/area denial capability, especially if their efforts are coordinated.</p><p>"That means that if the Chinese think they can get away with some aggression with relatively little risk, they're going to be very badly mistaken," Cronin said.</p><p>Cronin noted that while missile capabilities are an "essential" and "pointed" part of the competition with China, they are not the most important part. The countries in question also remain focused on deterrence, not aggression, even as they hurry to improve and expand those capabilities.</p><p>"People have been reluctant to say there's an <keyword id="67280" type="PERSON" weightage="60" keywordseo="arms-race">arms race</keyword> in Asia. Maybe an arms walk," Cronin said. "But the arms walk is getting pretty fast."</p>

A missile race is heating up all across Asia

<p><div class="KonaFilter image-container display-table float_right"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/5758a9535124c9803ed47642-800" alt="India's Brahmos supersonic cruise missiles, mounted on a truck, pass by during a full dress rehearsal for the Republic Day parade in New Delhi, India, January 23, 2006. REUTERS/Kamal Kishore/File Photo " data-mce-source="Thomson Reuters" data-mce-caption="India's Brahmos supersonic cruise missiles pass by during a full dress rehearsal for the Republic Day parade in New Delhi" /><p class="source"><span>Thomson Reuters</span></p><p class="caption">India's Brahmos supersonic cruise missiles during a rehearsal for the Republic Day parade in New Delhi, India, January 23, 2006.</p></div><p></p></div></div></p><p>In 2015, arms-transfer agreements reached a total value of $79.9 billion, down from the 2014 total of $89 billion, according to a report from the nonpartisan Congressional Research Service.</p><p>The US dominated the trade, making agreements valued at $40.2 billion, which was 50.29% of all such agreements.</p><p>That number was up from $36.1 billion in 2014 and was well ahead of second-place France, which made agreements worth $15.3 billion, 19.16% of agreements made globally in 2015.</p><p>The total value of <keyword id="6356001" type="COMPANY" weightage="60" keywordseo="international">international</keyword> arms-transfer agreements during the 2012-2015 period was up significantly over the previous three years, going from $266.6 billion between 2008 and 2011 to $317 billion.</p><p>The developing-developed-world breakdown held steady over those two three-year periods as well. Developing-world countries were involved in 80.92% of arms-transfer agreements made around the world between 2012 and 2015, up only slightly from the 80.39% share recorded between 2008 and 2011.</p><p>The US was first in the value of all arms deliveries made around the world, at a value of $16.9 billion or 36.62% of the total. Russia was second last year, making $7.2 billion in such deliveries. France was third, at $7 billion in deliveries.</p><p>2015 was the eighth year in a row that the US was first in this category, and Russia was second in each of those eight years.</p><p>"These three suppliers of arms in 2015 collectively delivered approximately $31.3 billion, or 67.77% of all arms delivered worldwide by all suppliers in that year," wrote Catherine A. Theohary, a national-security policy specialist at the CRS and the author of the report.</p><p><div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/5863e3adee14b618038b5798-840/screen shot 2016-12-28 at 110653 am.png" alt="Arms sales weapons sales worldwide" data-mce-source="US government/Congressional Research Service" /><p class="source"><span>US government/Congressional Research Service</span></p></div><p></p></div></div></p><p>Many major weapons suppliers saw increases in sales in 2015. In addition to the US's market share, which grew from 40.5% in 2014 to 50.3% last year, the four major Western European suppliers - France, the UK, Germany, and Italy - held about 22% of worldwide arms agreements last year.</p><p>While 2015 saw an increase in total weapons sales, "the international arms market is not likely growing overall," Theohary writes, adding:</p><blockquote>"There continue to be significant constraints on its growth, due, in particular, to the weakened state of the global economy. ... Concerns over their domestic budget problems have led many purchasing nations to defer or limit the purchase of new major weapon systems."</blockquote><blockquote>"Some nations have chosen to limit their purchasing to upgrades of existing systems and to training and support services. Others have decided to emphasize the integration into their force structures of the major weapon systems they had previously purchased."</blockquote><p>As the expansion of the global weapons market appears to have halted, competition among suppliers has increased, with arms producers vying to satisfy traditional partner countries as well as to attract new customers.</p><p>European sellers and the US have been competing to make sales to India and to oil-rich Persian Gulf states, particularly of combat aircraft. In turn, developing countries with cash to spend have leveraged competition among arms suppliers to secure better deal terms and the transfer of more advanced technology.</p><p><div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/5627a4b1bd86ef14008c383f-1200/1200px-eagleresolve130428-m-hf949-002.jpg" alt="Qatar military army Eagle Resolve tanks" data-mce-source="US Marine Corps photo by Lance Cpl. Juanenrique Owings" data-mce-caption="Tanks assigned the Qatar Emiri Land Forces roll through Al Galail, Qatar, April 28, during Eagle Resolve 2013, an annual multilateral exercise designed to enhance regional cooperative defense efforts in the Gulf Cooperation Council nations and U.S. Central Command. The 26th MEU is deployed to the 5th Fleet area of operations as part of the Kearsarge Amphibious Ready Group." data-link="https://commons.wikimedia.org/wiki/Category:Army_of_Qatar#/media/File:Eagle_Resolve_130428-M-HF949-002.jpg" /><p class="source"><span><a href="https://commons.wikimedia.org/wiki/Category:Army_of_Qatar#/media/File:Eagle_Resolve_130428-M-HF949-002.jpg">US Marine Corps photo by Lance Cpl. Juanenrique Owings</a></span></p><p class="caption">Tanks assigned the Qatar Emiri Land Forces roll through Al Galail, Qatar, during Eagle Resolve 2013, an annual multilateral exercise designed to enhance regional cooperative <keyword id="6354810" type="ORGANIZATION" weightage="100" keywordseo="Defense">defense</keyword> efforts in the Gulf Cooperation Council nations and US Central Command.</p></div><p></p></div></div></p><p>It should be noted that all arms-transfer agreements to developing countries in 2015 were down in value from the previous year, falling from $79.3 billion to $65.2 billion. The value of arms deliveries to developing countries also ticked down, from $36.2 billion in 2014 to $33.6 billion in 2015.</p><p>Between 2012 and 2015, the US and Russia made up just over half of all arms-transfer agreements to developing-world countries. Each year between 2008 and 2015, two or three major suppliers made most of the arms transfers to the developing world.</p><p>The US market share, as a percentage, of arms-transfer agreements with developing-world countries rose slightly in 2015 from the previous year, even as the total dollar value fell.</p><p>Most of those agreements were made with countries in the Middle East and Asia, including deals to sell Patriot missiles and other munitions to Saudi Arabia; Patriot missiles, Javelin missiles, and Apache helicopters to Qatar; and aircraft upgrades and the Aegis Shipboard Combat System to South Korea.</p><p><div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/5863e49df10a9ac1348b53a6-840/screen shot 2016-12-28 at 111203 am.png" alt="Arms transfers arms sales weapons sales worldwide" data-mce-source="US government/Congressional Research Service" /><p class="source"><span>US government/Congressional Research Service</span></p></div><p></p></div></div></p><p>Russia saw a slight decline in the value of global arms-transfer agreements, falling from $11.2 billion in 2014 to $11.1 billion last year, but the value of its deals with developing countries rose from $10.2 billion in 2014 to $11 billion.</p><p>Russia is able to offer a variety of munitions, from low-tech gear to advanced weapons systems. Those offerings have helped it remain competitive in some markets, even as other suppliers outstrip Moscow's research and development efforts.</p><p>Russia has sold combat aircraft and main battle tanks to China and India and made arms deals with the likes of Malaysia, Burma, and Algeria.</p><p>Moscow has focused its recent arms-sales efforts on Latin America, where Venezuela has been a principal buyer. Russia has also worked to make its weapons-deal terms more flexible and to improve its follow-on services to clients.</p><p><div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/5730bb93910584155c8c18a4-2400" alt="russia victory day parade" data-mce-source="REUTERS/Grigory Dukor" data-mce-caption="Russian S-400 Triumph medium-range and long-range surface-to-air missile systems drive during the Victory Day parade, marking the 71st anniversary of the victory over Nazi Germany in World War Two, at Red Square in Moscow, Russia, May 9, 2016." /><p class="source"><span>REUTERS/Grigory Dukor</span></p><p class="caption">Russian S-400 Triumph medium-range and long-range surface-to-air-missile systems drive during the Victory Day parade, at Red Square in Moscow, Russia, May 9, 2016.</p></div><p></p></div></div></p><p>Among Western European powers, France and the UK have had the most success making deals with developing countries between 2008 and 2015, but Germany has had success selling naval systems customized for developing countries, as has the UK with aircraft sales.</p><p>European powers have made a variety of lucrative deals with Middle Eastern states, including French deals for frigates with Egypt and Rafale fighter jet and missile sales to Qatar, as well as the UK's sale of 72 Eurofighter Typhoon fighter jets to Saudi Arabia.</p><p>"The major West European suppliers, individually, have enhanced their competitive position in weapons exports through strong government marketing support for their foreign arms sales," Theohary writes. </p><p>"All of them can produce both advanced and basic air, ground, and naval weapon systems," she added, noting that the US's largest customer base and ongoing demand for US weaponry are challenges to European suppliers.</p><p><div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/534aa0326bb3f7e63fc4bdcd-2400" alt="Eurofighter Typhoon production line at BAE systems" data-mce-source="REUTERS/Phil Noble" data-mce-caption="A worker crosses the floor of the Eurofighter Typhoon production line at BAE systems Warton plant near Preston, northern England September 7, 2012." /><p class="source"><span>REUTERS/Phil Noble</span></p><p class="caption">A worker crosses the floor of the Eurofighter Typhoon production line at BAE systems Warton plant near Preston, northern England, September 7, 2012.</p></div><p></p></div></div></p><p>China has also emerged as an influential arms supplier since the 1980s, when Beijing proved willing to provide weaponry to Iran and Iraq during their brutal war that lasted most of that decade.</p><p>From 2012 to 2015, China's arms-transfer agreements to developing countries averaged more than $4 billion annually, with 2015 as the highest year, when the country made $6 billion in deals. Those sales can be attributed to an ongoing relationship with Pakistan, as well as to deals with smaller values made with countries in Asia, Africa, and the Middle East.</p><p>While Beijing has provided small arms and light weapons to many African states and sold missiles to ther countries, few developing countries with large financial resources have turned to China, as the countries weaponry lags behind that of Russia and the West in terms of sophistication.</p><p><div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/55e82826bd86ef1c008b7c8c-2400" alt="china parade" data-mce-source="Andy Wong/Reuters" data-mce-caption="Chinese military vehicles carrying DF-21D anti-ship ballistic missiles, potentially capable of sinking a U.S. Nimitz-class aircraft carrier in a single strike, travel past Tiananmen Gate during a military parade to commemorate the 70th anniversary of the end of World War II in Beijing Thursday Sept. 3, 2015." /><p class="source"><span>Andy Wong/Reuters</span></p><p class="caption">Chinese military vehicles carrying DF-21D antiship ballistic missiles, potentially capable of sinking a US Nimitz-class aircraft carrier in a single strike, travel past Tiananmen Gate during a military parade to commemorate the 70th anniversary of the end of World War II in Beijing, September 3, 2015.</p></div><p></p></div></div></p><p>The US, with a diverse stable of buyers developed in the decades since the Cold War, has been able to conclude a series of deals each year, providing follow-on products like upgrades, spare parts, and ordnance for those deals in the years afterward.</p><p>This means Washington is likely to retain its spot as a main weapons supplier to developing countries, as it "provides a steady stream of orders from year to year, even when the United States does not conclude major new arms agreements for major weapon systems," Theohary writes.</p><p>"It also makes the United States a logical supplier for newer- generation military equipment to these traditional purchasers," she adds.</p>    <div class="margin-top">        <h3>NOW WATCH: <a href="http://www.businessinsider.com/trump-nukes-tweet-arms-race-nuclear-weapons-putin-russia-morning-joe-2016-12">'Let it be an arms race': Trump doubles down on nuclear weapons tweet</a></h3>        <div>            <div>    <script src="http://player.ooyala.com/v3/6e12e8b3387a44daacfb73afba25a76e"></script>    <div class="ooyala-video-player" data-video-autoplay="false" data-video-id="tlb2ZqODE6MPwuZGfJnziqgTbYIlVD_s" data-player-variable="ooyalapopvideo" id="ooyalaplayer_popvideo" style="width:1280px;height:720px"></div>    <script>    if (typeof RunFunctions === 'undefined') { var RunFunctions = []; }     RunFunctions.push(function()    {         var ooyalapopvideo = OO.Player.create('ooyalaplayer_popvideo', 'tlb2ZqODE6MPwuZGfJnziqgTbYIlVD_s',{ autoplay: 'false' });     });    </script>    <noscript><div>Please enable Javascript to watch this video</div></noscript></div>        </div>        <script>(function() { function createPlayer() { OO.ready(function() { RunFunctions.forEach(function(ooyalaFunction) { ooyalaFunction(); }); RunFunctions = [];}); } createPlayer(); }()); </script>    </div>

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