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Arms to the Poor: From Krupp to Bush

August 1, 2007 By Jeff

The military-industrial complex that Eisenhower warned against is alive and well – even if their products are sometimes shoddy and ineffective. The arms business has become one of America’s great exports as it arms countries like India, Pakistan, Afghanistan and Iraq. These days it is reminiscent of the Krupp family business which discovered that it was possible to sell arms to just about anyone in the 19th century, leading to their selling arms and defenses to both sides during World War I. And of course the company was instrumental in arming the German armies during WW II, making huge amounts of profit and paying little in labor since the government kindly supplied them with slave labor. I suppose it is something of a come down for the family now to be selling coffee grinders and espresso machines.

But not to worry, there are plenty of companies willing and able to take on the challenge of arming the world. And while it can be argued that everyone does it, the United States remains in first place in maintaining its post WW-II leadership in finding ways to arm countries or selected rebels around the world. The rationale for doing this is not always clear and is usually done for transitory reasons, and not infrequently with mixed consequences.

The U.S. government and arms manufacturers armed Iran under the Shah and of course saw those armaments fall into the hands of the revolution. Adding insult to injury, the Reagan administration provided arms to Iran as part of its Iran-Contra policy/scandal. (The income from these sales of weapons to Iran under Reagan were then used to provide arms to the Contras in Nicaragua). At around the same time the U.S. provided arms to Saddam Hussein in an effort to support its war against Iran. More recently the U.S. provided arms support to the forces of Osama bin Laden to fight the Russians in Afghanistan. The list goes on and the positive consequences have mostly fallen to the American companies that are heirs to the Krupp value system – and the politicians whose campaigns are funded by the arms manufacturers. In any case the arms provided to Iran, Saddam Hussein, and bin Laden have all been used against our national interest at one time or another.

Now we have the latest proposed handout to the arms companies. Having totally screwed up Iraq and most of the Gulf region with Bush’s fiasco, we are searching for ways to cut our losses and one way is to bribe Saudi Arabia, Kuwait, Qatar, the United Arab Emirates, Egypt and Bahrain with upwards of $20 billion in sales to this group of gulf states and some $30B of new sales to Israel. All of this is in addition to whatever arms remain in Iraq after a war that is now estimated to cost over a trillion dollars. The hope and the wish seem to be that all these new weapons in the region will keep our Iraq adventure from becoming the beginning of a monstrous disaster in the region. Also that these countries will all work to keep Iran at bay.

One of the clever strategies of the family Krupp was to sell defensive armor to one side and then stronger weapons to the other and then the first side would need even stronger defensive armor, and the cycle would continue. With all of the new weapons around the world it is clear that the U.S. will need to improve its weaponry and defenses and so the Krupp strategy is alive and well and the cycle can continue.

Filed Under: Economy, Iran, Iraq, Middle East, U.S. Foreign Policy

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