GREG ALAN CAIRES
In 2023, sales of American-made military equipment to US allies and partners significantly increased – to $80.9 billion – through the highly successful Foreign Military Sales (FMS) process, a 55.9% increase compared to the $51.9 billion of 2022. This dramatic upswing is the result of continued threats emanating from Russia and China, as well as the war in Ukraine. Massive amounts of American weapons, including Javelin anti-tank missiles, have demonstrably bolstered Ukraine’s resistance and proven critical in stalling Russia’s advance, minimizing the need for direct US military involvement.
But not all foreign military sales move so quickly. Most “friends and family” arms deals forged during White House meetings with foreign leaders slow to a crawl when vital weapons exports begin undergoing bureaucratic review. By design, the standard path for FMS transactions is a deliberative process intended to ensure that various organs of the US Government – the Departments of Defense and State, Congress, etc. – have ample opportunity to discuss and debate these sales. According to the Aerospace Industries Association (AIA) report on FMS, a standard contract for an FMS program takes on average eighteen months to award. Contracts for complex and high technology programs such as unmanned systems, air and missile defense programs, night vision devices, and long-range fires can take much longer. Actual deliveries occur even later.
Such thoughtful consideration was suitable during peacetime, but it inhibits the rapid arming or rearming of allies and partners when tensions are rising. At worst, FMS slows deterrence rather than enhances it.
Take for example, Taiwan: it has 19 outstanding, Congressionally-approved purchases totaling nearly $22 billion. The majority of those purchases are not expected to be delivered until at least 2027. Some of Taiwan’s approved purchases – among them, MQ-9 unmanned systems approved by Congress in 2020 – do not yet have delivery dates as their final approvals move glacially through the executive branch’s review progress. Admittedly, such transfers deserve due consideration. But also keep this in mind: US Indo-Pacific commander Admiral John C. Aquilino recently told Congress that China will be ready to invade Taiwan by 2027. That’s less than three years away. It remains to be seen if the F-16s, M1 tanks, artillery systems, anti-ship missiles, torpedoes and other US-made weapons critical to defend Taiwan from invasion will arrive before the People’s Liberation Army Navy might.
“I was appalled when I found out that there was $21 billion worth of arms that Taiwan purchased and paid for, and we have not delivered them,” US Representative Young Kim of California – chair of the Committee on Foreign Relations’ Indo-Pacific Subcommittee – recently told a Hudson Institute audience. “So, I immediately introduced the Arms Exports Delivery Act, and I think we have started delivering some, but we still have about 19 billion dollars-worth of weapons that Taiwan paid for. We need to do that delivery of arms immediately.”
The Ukraine conflict has shown that the US can expedite arms exports to help a partner fight a war. The US should speed up FMS to Taiwan to help prevent one. Security partners already have policy commitments from Washington. What they need is transparency and accountability in FMS so that the US remains a trusted partner to states on the front lines of international tensions.
Washington is waking up to the problem. In 2023, the Pentagon and State Department conducted reviews of the FMS process to consider how it might be improved; this was followed by a recent House Foreign Affairs Committee report suggesting legislative actions that can be taken to improve the process.
The US Army seems to be embracing this spirit of reform to the FMS process by being an early adopter of the Pentagon’s recommendations and is benefiting from it. Ground-based weapon systems are in demand from the Baltic countries to Bahrain and beyond. With every foreign purchase, the Army gains a better prepared partner as well as a possible cost cut to its own acquisitions. This fosters a robust network of capable allies who share the burden of deterring aggression, aligning with the strategic goals of the United States. Industry leaders and foreign allies are complimentary of the Army’s forward-leaning approach. Army Secretary Christine Wormuth and Assistant Army Secretary for Acquisition, Logistics and Technology Douglas Bush deserve much credit for enabling the service’s high-functioning FMS process.
Air Force Secretary Frank Kendall has found his service’s acquisition organization less willing to more fully embrace the advantages of FMS reform. This reticence could inhibit the Air Force’s acquisition of more capable and expensive weapon systems at a time when the service cannot afford to acquire them alone. The F-35’s global success based on international partnerships and cost sharing proves the business model works. Its undeniable that safeguards are necessary to help protect critical technologies, but the Air Force could greatly benefit from finding ways to achieve consensus and support for export to allies and partners.
Moving forward, the US government should reform the FMS system, minimizing unnecessary bureaucratic hurdles that impede efficient defense trade. The Army has shown it takes senior executives to champion FMS efforts to speed up the process. A streamlined and efficient FMS program that minimizes bureaucratic hurdles will boost the American defense industrial base. Increased FMS activity stimulates US production lines, fosters innovation, and creates high-paying jobs across the country’s manufacturing sector.
Ensuring transparency and accountability are essential for maintaining trust within partnerships and the overall integrity of the system. Regular audits and congressional oversight will ensure that taxpayer dollars are used effectively and responsibly. Ultimately, a reformed and strategic approach to defense exports benefits both the United States and its allies, fostering improved international security and promoting shared economic prosperity. Expediting the process while maintaining rigorous oversight will ensure FMS remains a potent tool for keeping “friends and family” together to deter aggression and for generations to come.
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