Two years after Russia’s full-scale invasion of Ukraine, the latest tranche of desperately needed American military aid to the former Soviet state is hung up in the Senate. In the first months after Russia’s invasion, support for Ukraine was an issue with wide bipartisan support.
Many Republican lawmakers and their constituents have since soured on sending billions to support Ukraine in its war with Russia, preferring to spend that money on domestic issues. Nationwide, American views have likewise shifted. Widespread support for American aid to Ukraine in 2022 has waned as the war carries on without a clear end.
The issue is a topic of much debate. President Biden advocated for continued aid in the first five minutes of his State of the Union address. In all that discussion, however, one aspect of this issue is largely overlooked: the money committed to Ukraine creates jobs and invigorates the American defense industrial base.
Since the invasion of Ukraine in February 2022, the United States has committed $44 billion in security assistance to Ukraine. This assistance, channeled through various avenues, has not only bolstered Ukraine’s defenses but has also provided a remarkable boost to the domestic defense industry. That’s because the majority of this aid is not simply flowing overseas; rather, it is being reinvested in American manufacturing and technology.
Nearly two-thirds of the funding allocated for Ukraine is destined for American factories scattered across the nation, encompassing facilities in Lima, Ohio, and Scranton, Pennsylvania, among others.
Ukraine aid is often explained by House Republicans as a pot of American money sent directly to President Volodymyr Zelensky for him to use as he likes. Quite the opposite: this money is used to build American tanks, drones, howitzers and rocket artillery systems in the United States.
Almost all of this funding — 90 percent — goes to the American defense industrial base. When equipment is drawn from existing U.S. military inventory to support Ukraine, it must be replaced to maintain domestic military readiness.
Congressional funding for Ukraine is allocated toward purchasing replacements for the equipment sent to Ukraine. This process re-invests this money domestically while ensuring U.S. military units remain equipped and prepared for their own operational requirements. Moreover, the Ukraine Security Assistance Initiative, formed by the Pentagon in July 2022, has enabled direct contracts with American defense industry partners to supply new equipment to Ukraine.
The ripple effects of this support are felt nationwide, with the Ukraine Security Assistance Initiative orders going directly to prime American defense vendors and critical suppliers in 37 states and 72 cities. All of this contributes to job creation and economic stimulation within the United States.
This infusion of funds into the defense industrial base not only sustains existing jobs but also catalyzes revitalization within an industry that has faced significant challenges in recent years.
Post-Cold War consolidation in the military industry has led to reduced competition and innovation. Additionally, the atrophy of certain sectors within the industrial base, due to reduced demand or outsourcing, can limit the surge capacity needed for national emergencies.
For years, the United States has maintained its military procurement at levels typical of peacetime periods, leading to an industrial base ill-prepared for the challenges of today’s great power competition. U.S. aid to Ukraine is breathing some new life into a sector that forms the backbone of national security. Aside from the geopolitical benefits of supporting Ukraine’s military, this aid serves as a powerful engine for economic growth and industrial resurgence within the United States.
Aid to Ukraine is not just a lifeline for a nation fighting for its sovereignty but a significant stimulus for the American economy and military sector. By directing funds into the domestic defense industrial base, the United States not only supports Ukraine’s battle for independence but simultaneously strengthens its own military readiness, supports American jobs, and stimulates economic growth.
As policymakers consider the future of U.S. assistance to Ukraine, they must recognize that this support is an investment in America’s security, industry and workforce. In these turbulent times, bolstering the U.S. defense industrial base through aid to Ukraine is a clear win-win, fostering a stronger, more resilient America while upholding the values of freedom and democracy on the global stage.
