Global Weapons Industry Reaches Historic Heights Amid Rising International Tensions

Record-Breaking Arms Sales Signal New Era of Military Build-Up

The global weapons industry has reached unprecedented levels, with the world’s 100 largest weapons and military services companies generating $679 billion in 2024, according to the Stockholm International Peace Research Institute (SIPRI). This record-breaking figure represents a significant shift in international security dynamics and highlights the growing militarisation of global affairs.

The surge in weapons production and sales comes at a critical moment when multiple conflicts are reshaping the geopolitical landscape. The record-breaking figure comes amid conflicts in Gaza and Ukraine, simmering tensions across East Asia, and historically high defense budgets worldwide. This development has profound implications for international stability and regional security arrangements.

United States Dominates Global Arms Market

The United States was by far the largest exporter of major arms in 2020–24 with a share of 43 per cent of global arms exports. American defence giants including Lockheed Martin, Northrop Grumman, and General Dynamics have capitalised on heightened global demand, with U.S. arms revenues reaching $334 billion in 2024.

Meanwhile, Ukraine was the world’s largest importer of major arms in 2020–24, as its imports increased nearly 100 times over compared with 2015–19. It was the only European state among the world’s top 10 arms importers in 2020–24. This dramatic shift reflects the urgent military requirements resulting from ongoing conflict.

Nuclear Tensions and Modernisation Programmes

Beyond conventional weapons, nuclear arsenals remain a major concern. Of the total global inventory of an estimated 12,241 warheads in January 2025, about 9,614 were in military stockpiles for potential use. The situation is particularly alarming as nearly all of the nine nuclear-armed states continued intensive nuclear modernization programmes in 2024, upgrading existing weapons and adding newer versions.

China’s nuclear expansion has been especially notable, with China’s nuclear arsenal growing faster than any other country’s, by about 100 new warheads a year since 2023. This rapid expansion has prompted concerns about a new arms race among major powers.

Implications for Global Security

Global arms revenues are expected to remain elevated in 2025 as the conflicts in Ukraine and Gaza continue to rumble on and tensions persist across East Asia. The sustained high levels of military spending and weapons production suggest that the international community is preparing for a prolonged period of strategic competition and potential conflict.

For citizens worldwide, these developments underscore the fragility of current peace arrangements and the urgent need for diplomatic solutions to prevent further escalation. The militarisation trend also raises questions about resource allocation, as massive sums are directed toward weapons systems rather than addressing pressing humanitarian and environmental challenges.