Page 61 - Five Forces of Americanisation Richard Hooke 04072025 final post SDR1

The UK Defence Industry in the 21 Century
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The Five Forces of Americanisation

Source: BAE Systems Annual Report, 2024
Whilst the world’s largest defence companies remain those headquartered in the USA, BAE remains
the sole European member of the top 10. Chinese companies now report their revenues and three
are in the top 10, with growth rates suggesting investment in aerospace and maritime capabilities.

World’s Top Defense Companies 2024
(Defence News, February, 2025)

SIPRI includes Russian company, Rostec, in its Top 100. A holding company with no manufacturing capacity,
it controls a number of companies for which, unlike previous years, no published data was available: High
Precision Systems, KRET, Russian Electronics, Russian Helicopters, United Aircraft Corp, United Engines Corp.
and UralVagonZavod. SIPRI’s estimated sales for Rostec in 2023 were $21,730m, up 49.3% on 2022’s
$14,550, placing it at number 8 on Defense News’ list
(Source: Defense News, February, 2025)
It is noteworthy that China now publishes fuller figures on its defence spending and details of the
indigenous defence company recipients. It seems designed to project a sense of confidence and
power. Russia, on the other hand, has continued to conceal its spending and this reflects a less
emboldened and assured posture. We might have expected inflated figures to be reported, even
though acquiring materiel and troops from North Korea suggests a need that one assumed would
preferably be disguised.
Since 2005, directed by its government to lead the UK’s response to changing market conditions, UK
business has taken action to rationalise its defence industry. A number of UK defence companies
formerly listed on the London Stock Exchange have been acquired by new foreign owners, from both
the USA and from other countries considered allies according to the global security framework
established after the Second World War.
There are now six UK companies in the top 100 worldwide (defence sales only), compared with 11 in
2025. Serco is a new UK entrant, reflecting the UK’s increasing use of outsourced service providers in
the period.

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07/07/2025 Richard Hooke 2025