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October 21, 2003

For decades, Western Europe was, after the United States, the major source of high tech weapons. This is changing. U.S. weapons spending increased 26 percent between 2000 and 2002. Most of this was for internal use, as weapons exports held steady. Western European NATO nations saw their spending on weapons decline three percent (adjusted for inflation) in the same period. While the U.S. used to have a 3:1 weapons spending edge over Western European nations, this ratio is now 4:1. The gap in spending on military research and development is even greater, and is currently estimated at about 8:1 in favor of the United States. Part of this is due to the War on Terror, but the continued post-Cold War disarmament in Europe also plays a major role. Europeans, unlike the US, are determined to shrink their post-Cold War forces by cutting weapons spending more than payroll. Part of this decline in Europe also has to do with the stagnating weapons export market. Many West European arms manufacturers kept themselves going by exporting a large portion of their production. So now they are caught in a vise between lower domestic and export sales. As a result of all this, the qualitative difference between American and European armed forces will widen. The Europeans don't like this, but they are not willing to spend the money required to change it. It's easier and cheaper to complain loudly about "American hegemony." 


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