World’s top arms producers see revenues rise amid wars and regional tensions

Revenues from sales of arms and military services by the 100 largest companies in the industry reached $632 billion in 2023, a real-terms increase of 4.2 percent compared with 2022, according to new data released today by the Stockholm International Peace Research Institute (SIPRI), Report informs.

Arms revenue increases were seen in all regions, with particularly sharp rises among companies based in Russia and the Middle East. Overall, smaller producers were more efficient at responding to new demand linked to the wars in Gaza and Ukraine, growing tensions in East Asia and rearmament programs elsewhere.

In 2023 many arms producers ramped up their production in response to surging demand. The total arms revenues of the Top 100 bounced back after a dip in 2022. Almost three-quarters of companies increased their arms revenues year-on-year. Notably, most of the companies that increased their revenues were in the lower half of the Top 100.

‘There was a marked rise in arms revenues in 2023, and this is likely to continue in 2024,’ said Lorenzo Scarazzato, a Researcher with the SIPRI Military Expenditure and Arms Production Programme. ‘The arms revenues of the Top 100 arms producers still did not fully reflect the scale of demand, and many companies have launched recruitment drives, suggesting they are optimistic about future sales.’