US weapons manufacturers are poised to benefit significantly from a major US military buildup in the Caribbean, according to a report published this week by Responsible Statecraft.
Washington has deployed numerous high-value assets to the region, including the guided-missile destroyers USS Gravely and USS Jason Dunham, the Aegis-equipped USS Gettysburg, the littoral combat ship USS Sioux City, and the nuclear-powered attack submarine USS Newport News.
The deployments are largely tied to the Trump administration’s expanding “counter-narcotics” campaign.
The price tags of the systems highlight the financial scale of the deployment, reported the online magazine of the Quincy Institute for Responsible Statecraft.
Arleigh-Burke class destroyers cost about $2.5 billion each, AC-130J Ghostrider gunships around $165 million per unit, P-8 Poseidon aircraft $83 million per unit, and Landing Craft Air Cushion hovercraft approximately $90 million each.
Industry experts said five major defence companies — including Lockheed Martin, Boeing and RTX — stand to gain the most, particularly from follow-up maintenance and sustainment work, which typically account for roughly 70 percent of a weapon system’s lifetime cost.
Billions for contractors
General Atomics has already benefited from the buildup, securing a $14.1 billion contract in mid-September for procurement and sustainment of MQ-9 Reaper systems.
Lockheed Martin, which manufactures the Aegis combat systems used aboard the deployed warships, received a $3.1 billion contract for support services.
In October, Lockheed invested $50 million in Saildrone, a company providing unmanned surface vehicles that have been conducting surveillance in the region since February.
With deployed vessels carrying Tomahawk cruise missiles costing the Pentagon $1.3 million each, missile maker RTX is expected to profit if the US is required to replenish stockpiles.
The US military has carried out airstrikes on vessels in the Caribbean Sea as part of operations against alleged drug-trafficking networks in international waters.
The campaign began in September with the sinking of a Venezuelan speedboat accused by the US of smuggling narcotics and has since expanded to the Eastern Pacific, targeting routes used by “drug traffickers.”
The White House escalated its posture early in Trump’s second term when the president signed an executive order designating drug cartels as foreign terrorist organisations.
Since early September, US forces have conducted at least 20 strikes on alleged drug-trafficking vessels, resulting in 80 deaths.
