Published by the Federation of American Scientists Fund No. 43 (April 2000)

ARMS SALES MONITOR

Highlighting U.S. government policies on arms exports and conventional weapons proliferation.

 

Christmas in April:

Weapons Wish Lists from Around the World

Israel and Syria: Weapons for Peace?

What does it take to support a peace deal in the Middle East? Weapons, of course! Israel has said that in exchange for reaching a peace accord with Syria and withdrawing from the Golan Heights, it wants massive amounts of U.S. weaponry. Israel has reportedly presented the Pentagon with a $17 billion shopping list, including AWACS and Hercules aircraft, Tomahawk cruise missiles, Black Hawk helicopters, and Joint Direct Attack Munition (JDAM) kits to make "smart" satellite-guided missiles. Israel already got $1.2 billion last year for signing the Wye River Agreement with Jordan and continues to receive almost $2 billion of military aid a year for its 1978 peace accords with Egypt.

Taiwan: Weapons or Peace?

Washington recently approved a package of high-tech weapons for Taiwan, including sophisticated air-to-air and anti-ship missiles and a "Pave Paws" long-range radar system. The Pave Paws system could eventually be linked to a theater missile defense system, still in development, increasing the intensity of the ongoing arms race with China. Yet Taiwan didn't get everything on its wish-list; Taipei really wanted four destroyers with the powerful Aegis battle management system, capable of tracking over 100 land, sea, and air targets. Most independent observers believe that the Taiwanese military isn't ready to handle the Aegis warships, and the State Department feared the sale would provoke an angry response by Beijing.

This "compromise" arms deal was an attempt to balance a U.S. commitment to China not to increase arms sales to Taiwan and a Congressional mandate to provide Taiwan with a "sufficient self-defense capability." Yet this sale, like past arms sales to Taiwan, is guaranteed to displease both sides: China feels threatened by sophisticated additions to Taiwan's arsenal, and Congress and Taiwan's elastic interpretation of "self-defense" ensures that Taiwan's need for arms will never be satiated.

Philippines: Weapons for Peacekeeping?

The United States is slowly welcoming the Philippines back into its security assistance net. The Philippines became somewhat estranged from the U.S. militarily in 1992 when it shut down its U.S. bases. U.S. arms sales dropped significantly, and military aid eventually stopped. But the Philippines are once again asking for arms and military aid, and the U.S. appears happy to oblige. The administration's budget includes $2 million in Foreign Military Financing for the Philippines so it can buy spare parts for its aging U.S. arms, including F-5 aircraft, vehicles, and maritime equipment.

Spare parts are likely to be just the beginning. At a press conference with Defense Secretary Cohen in October 1999, Philippine Defense Secretary Mercado said it had "pressing needs" for light, medium, and heavy lift capability for peacekeeping and search and rescue operations. But these aren't the only operations in which the Philippine military is engaged. The government maintains what the U.S. State Department's 1999 Human Rights Report describes as an "uneasy truce" with Muslim separatists, and violence between the two groups has led to "a variety of human rights abuses by both sides."

 

Your Tax Dollars at Work:

The FY2001 Military Aid Budget

For every dollar of the Clinton administration's proposed budget for fiscal year 2001, just over a penny will be spent on international affairs. This international pot must pay for U.S. diplomacy, the Peace Corps, humanitarian aid, debt relief, the United Nations—and shiny new weapons for countries like Israel and Egypt. In fact, military aid for these two recipients alone consumes a fifth of the entire $22.8 billion foreign affairs budget.

The State Department uses the same twisted logic to justify large sums of military aid as it does to support U.S. arms sales. Secretary Albright testified to the House International Relations Committee on February 16 that security assistance programs "contribute to the health of America's defense industrial base, take advantage of opportunities to promote democratic practices, and help friends and allies to develop armed forces that are more capable and better able to operate with our own." The rationale is not particularly convincing, but it doesn't need to be: Congress passes most military aid requests easily, even as the rest of the State Department's budget is strapped for cash.

The section below highlights the President's $6.6 billion budget request for foreign military aid programs funded by the State Dept. in FY01. FY00 figures - official estimates of spending based on the budget passed last fall, including any supplemental appropriations - are also listed for comparison. The source for this information is the State Department's Congressional Budget Justification for Foreign Operations, Fiscal Year 2001, online at http://www.state.gov/www/budget/fy2001/fn150/forops_full/index.html. All dollar figures are in thousands unless otherwise indicated.

Total Security Assistance ($ in thousands)

 

FY2000

(Estimated)

FY2001 (Requested)

Foreign Military Financing

$4,788,994

$3,538,200

Economic Support Fund

2,792,187

2,313,000

International Narcotics and Crime

303,841

312,000

Nonproliferation, Demining and Anti-Terrorism

215,780

311,500

Int. Military Education and Training

49,810

55,000

Peacekeeping Operations

152,418

134,000

Total

$8,303,030

$6,663,700

Foreign Military Financing

Foreign Military Financing (FMF) is the largest U.S. security assistance program and is explicitly targeted towards underwriting sales of American arms to foreign countries. While the $3.5 billion in proposed FY01 FMF funding appears to be a decrease from FY00 levels, if the FY00 funds for the Wye River peace accord supplemental are excluded, the President's 2001 request actually increases FMF spending by about $100 million.

As usual, Israel and Egypt are apportioned the lion's share (about 93%) of FMF (though Israel is usually allowed to spend a percentage on domestically-produced arms). This is euphemistically referred to as "supporting Middle East peace" (see p. 7 for more nifty euphemisms).

The new NATO members (Czech Republic, Hungary, and Poland) are slated to receive $30.3 million to help "modernize and meet NATO standards for interoperability." An additional $81.9 million would help other countries of Eastern Europe and the former Soviet Union "obtain training and equipment in support of participation in NATO's Partnership for Peace." A new "Africa Regional Stability" line item was added to allow for flexible spending on different crisis areas in Africa. The planned funding for Nigeria is supposed to go towards assisting the Nigerian military "to support democracy building efforts" by learning the principles of civilian control of the military.

Foreign Military Financing ($ in millions)

 

FY00

(Estimated)

FY01

(Requested)

Near East

$4,674,215

$3,360,000

Israel

1,920,000

1,980,000

Wye Supplemental

1,200,000

-

Egypt

1,300,000

1,300,000

Supplemental

25,000

-

Jordan

74,715

75,000

Wye Supplemental

150,000

-

Morocco

1,500

2,500

Tunisia

3,000

2,500

E. Europe and CIS

65,750

112,200

New NATO States

20,000

30,300

Partnership for Peace

45,750

78,900

Bosnia

-

3,000

East Asia

1,000

4,000

Mongolia

 

2,000

Philippines

1,000

2,000

Sub-Saharan Africa

12,034

18,000

East Africa Regional

2,034

-

Africa Regional Stability

-

18,000

Nigeria

10,000

-

Western Hemisphere

3,000

5,000

Other

32,995

39,000

Enhanced Int. Peacekeeping Initiative

2,500

6,000

Administrative Costs

30,495

33,000

Rescission

6,006

 

Total FMF

$4,795,000

$3,538,200

Economic Support Fund

This category of bilateral aid is a mixed bag: the proposed $2.3 billion would fund a variety of programs designed to promote democracy and economic development. Yet funds to states like Israel and Egypt essentially enable them to allocate more resources to buying arms. In a telling sign of the link between ESF and military aid, a planned decrease in ESF funds to Israel (to whom "economic" aid is increasingly hard to justify) will be offset by increased FMF.

International Narcotics and Law Enforcement

The State Department's $312 million request to combat international narcotics trafficking and crime is a modest increase over the $304 million appropriated for FY00. The bulk of this funding goes toward counternarcotics aid for Bolivia, Colombia, and Peru, slated to receive $52, $35, and $48 million in FY01, respectively. Two new initiatives are proposed for 2001: $10 million each for a "law enforcement strategy for Africa" and a "civilian police contingent" composed of volunteer U.S. police officers who would participate in "internationally authorized missions."

In addition, President Clinton is requesting $318 million in FY01 for both State and Defense budgets in support of "Plan Colombia," a counternarcotics/insurgency military aid package. This amount is in addition to the $954 million requested in supplemental State and Defense spending for FY00 (see p. 3 for details).

Non-Proliferation, Demining, and Related Programs

This is another broad budget line, ranging from humanitarian de-mining to support for North Korea's energy sector. The largest single funding category would appropriate $68 million for anti-terrorism assistance, including creation of a dedicated "Center for Antiterrorism and Security Training" for training foreign security personnel. Especially welcome is the new $2 million contribution towards destruction of stockpiled small arms in Eastern Europe and sub-Saharan Africa.

International Military Education and Training

The administration proposes boosting funding for international military training across the board by more than $5 million, increasing the number of foreign students trained this year by 823. This free training would be provided to 128 different countries. A number of African and Asian countries that did not participate in training in FY99 or 00 are slated to receive IMET assistance in 2001, including: Burkina Faso, Burundi, Congo, Liberia, Mauritania, Niger, Togo, Cambodia, Laos, and Vietnam. IMET funds are supplemented by foreign military training conducted under the Pentagon’s budget authority.

Peacekeeping Operations

The President's proposed $134 million for peacekeeping will go to a variety of global hot spots, including Kosovo, the Democratic Republic of the Congo, Sierra Leone, East Timor, Haiti, and southern Lebanon. The money may be used for non-lethal military equipment for peacekeeping organizations such as the Economic Community of West African States (ECOWAS). Additionally, $20 million would be earmarked for the African Crisis Response Initiative to train and equip African militaries for peacekeeping missions.

 

Aid to Colombia: Counter-Narcotics or Counter-Insurgency?

Colombian President Pastrana has requested billions of dollars in U.S. economic and military aid to help Colombia crack down on its flourishing drug trade. Yet most of the coca cultivation in Colombia takes place in the southern territory controlled by leftist guerillas, who have been fighting the Colombian government for the past thirty years in a devastating civil war. Pastrana's "Plan Colombia" involves beefing up the Colombian military in order to vanquish simultaneously the drug traffickers and the rebels who help protect their trade.

The Clinton administration, unfazed by the prospect of crossing the fine line into counter-insurgency, has offered most of the military aid called for in Plan Colombia. Military and police aid account for 81 percent of the administration's proposed aid package, compared to a meager 3 percent for human rights and judicial reform. For the first time, large quantities of U.S. military equipment and training would go the Colombian army, which has committed serious human rights abuses in the past and is known to have ties with the right-wing paramilitaries responsible for the vast majority of current human rights abuses (as well as a significant amount of drug trafficking).

If approved by Congress, the U.S. aid package would provide the Colombian security forces with 30 Black Hawk helicopters, 15 UH-1N Huey helicopters, and funds to sustain Colombia's existing 18 Hueys. It would also support the creation and training of two new counter-narcotics battalions, plus provide construction of a radar command center, aircraft upgrades, small arms and ammunition, and material and operational assistance for intelligence and early-warning activities.

On March 30, 2000, the House passed, 263 to 146, a supplemental appropriations bill for FY00 (H.R. 3908) that includes the Colombia aid package. The bill would appropriate $1.701 billion for counter-narcotics activities, including $1.07 billion for Colombia. This is in addition to the $330 million in assistance already planned for 2000 and 2001, bringing the total two-year aid package for Colombia to $1.337 billion. The House rejected an amendment offered by Rep. Obey (D-WI) to remove $500 million intended to support the Colombian military's "push" into southern, guerrilla-controlled territory. It did, however, approve a minimum of $50 million for the large number of persons expected to be displaced by this offensive. Congress also failed to pass an amendment offered by Rep. Pelosi (D-CA) to provide funding for drug treatment programs in the United States, a counter-drug method shown to be much more cost-effective than interdiction. Fairly weak human rights criteria were also attached to the aid.

The package is now being held up in the Senate by Majority Leader Trent Lott (R-MI), who favors the aid package to Colombia but opposes any extra "emergency" appropriations for 2000. It is likely that Congress will consider aid to Colombia as part of the 2001 foreign aid budget bill, which is normally debated during spring and summer and approved in late summer or early fall.

 

Aid for Colombia: Clinton Administration Proposal vs. Aid Passed by House Appropriations Committee on March 9, 2000 ($ in millions)

Administration House of Representatives
Military assistance  $         761.6 56.2%  $         700.7 52.4%
Police assistance 349.2 25.8% 386.7 28.9%
Alternative development 116.5 8.6% 118.0 8.8%
Aid to the displaced* 39.5 2.9%

39.5*

3.0%
Law enforcement / rule of law 46.5 3.4% 45.5 3.4%
Judicial reform 24.0 1.8% 26.5 2.0%
Human rights 17.0 1.3% 19.0 1.4%
Peace 1.0 0.1% 1.0 0.1%
Total  $   1,355.3 100%  $   1,336.9 100%
* Amended in House floor vote to at least $50 million    

 

U.S. Arms Exports: FY1999 and FY2000

Below is a list of new Foreign Military Sales (FMS), or government-to-government, contracts for fiscal year 1999 and predicted new agreements for fiscal year 2000. Also listed are initial figures on shipments of State Department-licensed Direct Commercial Sales (DCS) for FY1999. The DCS numbers are likely to be significantly revised upwards as more information on arms shipments becomes available to the State Department. DCS deliveries for FY2000 are estimates based on current export licenses (Source: Congressional Budget Justification for Foreign Operations FY2001).

Listed below is the State Department's FY01 budget request for International Military Education and Training (IMET), raised this year from $50 to $55 million. Also listed are the estimated budget for FY00 and the number of students expected to be trained in both years. In FY01, the U.S. plans to provide training to 128 countries, including all but seven states of the African continent!

FMS Agreements and DSC Deliveries ($ in thousands)
FMS Agreements    DCS Deliveries
Country FY99 FY00 (est.)    FY99  FY00 (est.)
Africa (sub-Saharan)    
Angola  $                    -    $             1,000    $               -    $                 1
Benin 300    
Botswana 365 650                    10              1,390
Burundi    
Cameroon 8                      1              1,319
Cape Verde 45 100    
Central African Republic 160    
Chad 500 1,150    
Congo                        5
Cote d’Ivoire 1,200 500    
Djibouti    
Eritrea 2,428    
Ethiopia 1,500    
Gabon 68                        5
Ghana 2,155 3,540                        4
Guinea 58 30    
Guinea-Bissau    
Kenya 71 4,000                      5                   62
Lesotho    
Madagascar    
Malawi 1,150    
Mali 680    
Mauritania                        1
Mauritius                        5
Mozambique 500    
Namibia 30 350                   100
Nigeria 231 2,300                     64
Reunion                        2
Rwanda 350    
Sao Tome & Principe 150    
Senegal 1,276 13,030                     25
Seychelles    
Sierra Leone 180    
South Africa 388 575                  176              6,342
Tanzania 100                    48                      9
Uganda 1,900                   115
Zambia                   139
Zimbabwe 350                      2                 143
Subtotal  $             6,319  $          37,049    $           242  $         9,731
     
Americas    
Antigua & Barbuda 0 330   177 66
Argentina 12,494 11,700                  485           25,622
Aruba                     18
Bahamas 36 140              1,658              2,904
Barbados 350                      9                   11
Belize 791 200   0 5
Bermuda                     14
Bolivia 2,500                   424
Bolivia (counter-narcotics) 1,787 6,500    
Brazil 14,769 24,000              1,831           22,512
Canada 76,918 98,000              1,758           78,883
Cayman Islands                     15
Chile 4,206 486,500              2,096              5,898
Colombia 3,420 252,000                  996           10,458
Colombia (counter-narcotics) 1,099 100,000    
Costa Rica 1,750                  179                 486
Dominica 120    
Dominican Republic 441 510                    68              3,129
Ecuador                  705              6,997
Ecuador (counter-narcotics) 655 3,410    
El Salvador 337 2,990                  161              1,222
French Guiana                  166                 346
Grenada 120                        4
Guatemala                    26              1,249
Guyana 2,300                      3                   72
Haiti 400                     21
Honduras 566 8,000                      6                 652
Jamaica 165 650                    74                 152
Mexico 5,651 20,000              5,521           62,335
Netherlands Antilles                      2                 188
Nicaragua                   282
Panama 222 590                    39                 510
Paraguay 30 75                    93                   42
Peru 30 3,700                    35              3,048
Peru (counter-narcotics) 157    
St. Kitts & Nevis 212 120                      1                      4
St. Lucia 220                     14
St. Vincent & Grenadines 3 120                        6
Suriname                    11                   30
Trinidad & Tobago 425                  213                 117
Uruguay 1,033 1,530                  706                 549
Venezuela 9,564 10,000            41,966           32,026
Subtotal  $        134,586  $     1,039,250    $      58,985  $     260,311
East Asia & Pacific    
Australia  $        422,460  $        357,000            18,650         216,174
Brunei                  337              3,725
Cambodia 200 2,000    
China (satellites)           750,000
Fiji                        2
Hong Kong              1,103                 891
Indonesia 1,638                  630  
Japan 226,450 438,588   118,542 2,202,192
Laos 2,000    
Macao                    74                   35
Malaysia 30,683 11,000              2,811           14,454
New Caledonia                      2                   84
New Zealand 119,567 30,900              2,130           22,027
Papua New Guinea                    58                 209
Philippines 9,803 42,000                  815           33,082
Singapore 680,943 293,000            10,873           84,577
Solomon Is.                        1
South Korea 510,615 800,000            10,711         474,751
Taiwan 559,401 550,000            15,500         200,000
Thailand 46,047 83,500              4,299           32,464
Tonga    
Subtotal  $     2,607,807  $     2,609,988    $   186,535  $ 4,034,668
     
Europe