Trump May Loosen U.S. Weapons Export Regulations
The Trump administration is reportedly considering an executive order to ease restrictions on U.S. arms exports, according to four sources cited by Reuters. The White House has not yet commented on the matter.
Sources suggest the order could mirror a proposal introduced last year by Trump’s national security adviser, Michael Waltz, while he was a Republican congressman.
Waltz’s plan aimed to raise the threshold for congressional review of arms transfers from $14 million to $23 million and increase the limit for military equipment, upgrades, training, and services from $50 million to $83 million. Higher thresholds would apply to NATO allies and key U.S. partners.
Reuters notes that such a move could boost sales for major U.S. defense contractors, including Lockheed Martin (LMT.N), RTX Corp (RTX.N), and Boeing Co (BA.N).
Meanwhile, the Financial Times reported that shares of the six largest U.S. defense companies have fallen by 4% since Trump returned to the White House, while European defense firms have surged nearly 40% in the same period.
During his first term, Trump often expressed frustration over Congress delaying foreign arms sales due to human rights or other concerns, making this potential order a logical extension of his long-standing stance on the issue.
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