Friday, Dec. 6, 2024
Does most US aid to Ukraine go to US companies and workers?
Nearly 70% of the $175 billion in U.S. aid to Ukraine since Russia’s 2022 invasion was spent in the U.S. or on U.S. forces, according to a study by the American Enterprise Institute published in May 2024.
Examples include the Presidential Drawdown Authority, the Foreign Military Financing Program and the Ukraine Security Assistant Initiative. The PDA arms Ukraine and pays U.S. companies for replenishing that armament. The FMF generates greater demand for U.S. firms by encouraging foreign countries to buy weapons from those firms. The USAI provides intelligence and logistical support to Ukraine, often through contracts with U.S. firms. Additional aid is spent on strengthening U.S. military presence abroad.
While the U.S. is the largest absolute donor to Ukraine, it ranks 15th among countries for aid as a percentage of GDP, according to a September 2024 report by the Council of Foreign Relations.
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Sources
- American Enterprise Institute Ukraine Assistance at a Glance
- Council on Foreign Relations How Much U.S. Aid Is Going to Ukraine?
- Lawfare How America’s Aid to Ukraine Actually Works
- Center for Strategic and International Studies How Supporting Ukraine Is Revitalizing the U.S. Defense Industrial Base
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