Raytheon Technologies – Strategic Culture Foundation https://www.strategic-culture.org Strategic Culture Foundation provides a platform for exclusive analysis, research and policy comment on Eurasian and global affairs. We are covering political, economic, social and security issues worldwide. Sun, 10 Apr 2022 20:53:47 +0000 en-US hourly 1 https://wordpress.org/?v=4.9.16 America’s Merchants of Death: Then and Now https://www.strategic-culture.org/news/2021/08/24/america-merchants-of-death-then-and-now/ Tue, 24 Aug 2021 19:30:43 +0000 https://www.strategic-culture.org/?post_type=article&p=749553 By Sam PIZZIGATI

We denizens of the 21st century have become somewhat accustomed — inured might be the better word — to the murderous mass violence of modern warfare. We shouldn’t find that at all surprising. The 20th century that gave most of us birth, after all, rates as the deadliest century in human history. Upwards of 75 million people died in World War II alone. Millions more have died in “little” wars since, including the nearly quarter-million who perished during the 20 years of the U.S. military war in and on Afghanistan.

But for our forbears, back in the early decades of the 20th century, the incredible deadliness of modern warfare came as something of a shock. The carnage of World War I — with its 40 million dead — left people worldwide searching for new international arrangements that could prevent any repeat of modern war’s horror. The Paris Peace Conference of 1919 launched the League of Nations and sparked a series of additional global parleys. The Washington Disarmament Conference of 1922. The Geneva Arms Control Conference of 1925. The Geneva Disarmament Conference of 1927. In 1928, the world’s top nations even signed an agreement that renounced war as an instrument of national policy.

All these steps would prove hopelessly inadequate to the task at hand. By the mid-1930s the world was swimming in a weapons-of-war sea, and people still reeling from World War I — the “Great War” — wanted to know why. In the United States, peace-seekers would “follow the money” to find out. Many of America’s moguls, they soon realized, were getting ever richer off prepping for war. These “merchants of death” — the era’s strikingly vivid label for war profiteers — had a vested interest in perpetuating the sorts of arms races that make wars more likely. America needed, millions of Americans believed, to take the profit out of war.

On Capitol Hill, the Democratic Senate majority set up a special committee to investigate the munitions industry and named a progressive Republican, North Dakota’s Gerald Nye, to chair it. “War and preparation for war,” Nye noted at the panel’s founding in 1934, had precious little to do with either “national honor” or “national defense.” War had become “a matter of profit for the few.”

The tag “merchants of death” has long since disappeared from our American political lexicon. But the problem Nye named remains. Our contemporary corporate moguls are continuing to get rich off the preparations that make wars more likely and massively multiply death counts when the actual shooting starts. America’s longest war — the war in Afghanistan — offers but the latest example.

We won’t know for some time the total haul of our corporate executive class off the Afghan war’s twenty years. But Institute for Policy Studies analysts Brian Wakamo and Sarah Anderson have come up with some initial calculations for three of the top Department of Defense contractors active in Afghanistan over the 2016-2020 years.

The total compensation for the CEOs at these three corporate giants — Fluor, Raytheon, and Boeing — amounted to $236 million.

The overall personal haul for our current-day “merchants of death” from the carnage in Afghanistan? We would need a modern-day special congressional committee to get at that number, partly because many of the enterprises facilitating death and destruction remain privately held and need not release the annual executive pay figures that publicly traded companies must release.

A modern-day, high-profile panel on war profiteering might not be a bad idea. Congressional members of that panel could start their work by reviewing the 1936 conclusions of the Senate’s original “Special Committee on Investigation of the Munitions Industry.”

Munitions companies, that committee found, have exploited “opportunities to intensify the fears of people for their neighbors and have used them to their own profit.” They have ignited and exacerbated arms races by constantly striving to “scare nations into a continued frantic expenditure for the latest improvements in devices of warfare.”

“Wars,” the Senate panel summed up, “rarely have one single cause,” but it runs “against the peace of the world for selfishly interested organizations to be left free to goad and frighten nations into military activity.”

Do these conclusions still hold water for us today, a new special committee could ask, and, if they do, what can we do to remedy the situation?

Some members of the original Senate panel apparently wanted to nationalize what we now call the “defense industry.” That didn’t happen, and today’s complex of military contractors dwarfs the size of the merchants-of-death network that Americans faced back in the 1930s.

Our Pentagon and military, Lindsay Koshgarian of the National Priorities Project points out, currently “take up more than half of the discretionary federal budget each year,” and over half that spending goes to military contractors. Most of these contractors, adds Heidi Peltier, the director of the “20 Years of War” initiative at Boston University’s Pardee Center, essentially operate as monopolies. The excessive profits that status helps them grab are widening America’s core inequality: Lockheed Martin’s executive chair, at last count, is making $30.9 million a year.

In 2020, execs at Lockheed and four other contracting giants — Boeing, Northrop Grumman, Raytheon, and General Dynamics — spent $60 million on lobbying to keep their gravy train going. Over the past two decades, the Center for Responsive Politics reports, the defense industry as a whole has spent $2.5 billion on lobbying “to influence defense policy” and directed another $285 million to political candidates friendly to contracting business as usual.

How can we upset that business as usual? Reducing the size of the military budget can get us started. Contracting out fewer necessary functions — keeping defense work in-house — and reforming the contracting process itself will also be essential.

But executive pay needs to be right at the heart of that reforming. No corporate execs dealing in military matters should have a huge personal stake in ballooning federal spending for war.

Current federal government contracting regulations do limit how much executives can grab directly in salary from the cash their companies pocket for contract work. But corporate execs don’t particularly mind these limits since they get the overwhelming bulk of their total compensation from their stock-based rewards, not their salaries.

Rep. Jan Schakowsky (D-IL) and the Congressional Progressive Caucus have a better approach. Their newly proposed Patriotic Corporations Act would, among numerous other promising provisions, give extra points in contract bidding to firms that pay their top execs no more than 100 times what they pay their most typical workers.

Few defense giants these days come anywhere close to that 100-times ratio. At Raytheon, for instance, the chief exec last year pulled down 193 times the pay of the company’s most typical worker — and that relatively “modest” gap, by U.S. corporate standards, came only after the Raytheon CEO took a temporary Covid-time pay haircut!

counterpunch.org

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Selling Death https://www.strategic-culture.org/news/2021/05/27/selling-death/ Thu, 27 May 2021 17:00:49 +0000 https://www.strategic-culture.org/?post_type=article&p=739449 William Hartung says the bombing of Gaza this month by the U.S.-financed and supplied Israeli military is just the latest example of the devastating toll exacted by American weapons transfers.

By William HARTUNG

When it comes to trade in the tools of death and destruction, no one tops the United States of America.

In April of this year, the Stockholm International Peace Research Institute (SIPRI) published its annual analysis of trends in global arms sales and the winner — as always — was the U.S. of A. Between 2016 and 2020, this country accounted for 37 percent of total international weapons deliveries, nearly twice the level of its closest rival, Russia, and more than six times that of Washington’s threat du jour, China.

Sadly, this was no surprise to arms-trade analysts.  The U.S. has held that top spot for 28 of the past 30 years, posting massive sales numbers regardless of which party held power in the White House or Congress.

This is, of course, the definition of good news for weapons contractors like Boeing, Raytheon and Lockheed Martin, even if it’s bad news for so many of the rest of us, especially those who suffer from the use of those arms by militaries in places like Saudi Arabia, Egypt, Israel, the Philippines and the United Arab Emirates.  The recent bombing and leveling of Gaza by the U.S.-financed and supplied Israeli military is just the latest example of the devastating toll exacted by American weapons transfers in these years.

Israeli artillery firing into Gaza, May 18. (IDF, CC BY-SA 3.0, Wikimedia Commons)

While it is well known that the United States provides substantial aid to Israel, the degree to which the Israeli military relies on U.S. planes, bombs, and missiles is not fully appreciated. According to statistics compiled by the Center for International Policy’s Security Assistance Monitor, the United States has provided Israel with $63 billion in security assistance over the past two decades, more than 90 percent of it through the State Department’s Foreign Military Financing, which provides funds to buy U.S. weaponry.  But Washington’s support for the Israeli state goes back much further. Total U.S. military and economic aid to Israel exceeds $236 billion (in inflation-adjusted 2018 dollars) since its founding — nearly a quarter of a trillion dollars.

King of the Arms Dealers

Donald Trump, sometimes referred to by President Joe Biden as “the other guy,” warmly embraced the role of arms-dealer-in-chief and not just by sustaining massive U.S. arms aid for Israel, but throughout the Middle East and beyond.  In a May 2017 visit to Saudi Arabia — his first foreign trip — Trump would tout a mammoth (if, as it turned out, highly exaggerated) $110-billion arms deal with that kingdom.

May 20, 2017, Riyadh: President Donald Trump and First Lady Melania Trump being escorted by Saudi King Salman to a banquet in their honor. (White House, Shealah Craighead)

On one level, the Saudi deal was a publicity stunt meant to show that President Trump could, in his own words, negotiate agreements that would benefit the U.S. economy. His son-in-law, Jared Kushner, a pal of Prince Mohammed Bin Salman (MBS), the architect of Saudi Arabia’s devastating intervention in Yemen, even put in a call to then-Lockheed Martin CEO Marillyn Hewson. His desire: to get a better deal for the Saudi regime on a multibillion-dollar missile defense system that Lockheed was planning to sell it.  The point of the call was to put together the biggest arms package imaginable in advance of his father-in-law’s trip to Riyadh.

When Trump arrived in Saudi Arabia to immense local fanfare, he milked the deal for all it was worth. Calling the future Saudi sales “tremendous,” he assured the world that they would create “jobs, jobs, jobs” in the United States.

That arms package, however, did far more than burnish Trump’s reputation as a deal maker and jobs creator.  It represented an endorsement of the Saudi-led coalition’s brutal war in Yemen, which has now resulted in the deaths of nearly a quarter of a million people and put millions of others on the brink of famine.

And don’t for a second think that Trump was alone in enabling that intervention. The kingdom had received a record $115 billion in arms offers — notifications to Congress that don’t always result in final sales — over the eight years of the Obama administration, including for combat aircraft, bombs, missiles, tanks, and attack helicopters, many of which have since been used in Yemen.

Yemeni man in June 2019, during a deadly cholera outbreak linked to the wartime destruction of clean-water infrastructure. (Peter Biro, EU Civil Protection and Humanitarian Aid, Flickr, CC BY-NC-ND 2.0)

After repeated Saudi air strikes on civilian targets, the Obama foreign-policy team finally decided to slow Washington’s support for that war effort, moving in December 2016 to stop a multibillion-dollar bomb sale. Upon taking office, however, Trump reversed course and pushed that deal forward, despite Saudi actions that Congressman Ted Lieu (D-CA) said “look like war crimes to me.”

Trump made it abundantly clear, in fact, that his reasons for arming Saudi Arabia were anything but strategic.  In an infamous March 2018 White House meeting with Mohammed bin Salman, he even brandished a map of the United States to show which places were likely to benefit most from those Saudi arms deals, including election swing states Pennsylvania, Michigan and Wisconsin.

He doubled down on that economic argument after the October 2018 murder and dismemberment of Saudi journalist and Washington Post columnist Jamal Khashoggi at that country’s consulate in Istanbul, even as calls to cut off sales to the regime mounted in Congress.  The president made it clear then that jobs and profits, not human rights, were paramount to him, stating:

“$110 billion will be spent on the purchase of military equipment from Boeing, Lockheed Martin, Raytheon, and many other great U.S. defense contractors. If we foolishly cancel these contracts, Russia and China would be the enormous beneficiaries — and very happy to acquire all of this newfound business. It would be a wonderful gift to them directly from the United States!”

And so it went.  In the summer of 2019 Trump vetoed an effort by Congress to block an $8.1-billion arms package that included bombs and support for the Royal Saudi Air Force and he continued to back the kingdom even in his final weeks in office. In December 2020, he offered more than $500 million worth of bombs to that regime on the heels of a $23-billion package to the United Arab Emirates (UAE), its partner-in-crime in the Yemen war.

Saudi Arabia and the UAE weren’t the only beneficiaries of Trump’s penchant for selling weapons.  According to a report by the Security Assistance Monitor at the Center for International Policy, his administration made arms sales offers of more than $110 billion to customers all over the world in 2020, a 75 percent increase over the yearly averages reached during the Obama administration, as well as in the first three years of his tenure.

Will Biden Be Different?

U.S. President Joe Biden condemning rocket attacks into Israel and adding that “Israel has a right to defend itself,” May 15. (The White House, Wikimedia Commons)

Advocates of reining in U.S. weapons trafficking took note of Joe Biden’s campaign-trail pledge that, if elected, he would not “check our values at the door” in deciding whether to continue arming the Saudi regime.  Hopes were further raised when, in his first foreign policy speech as president, he announced that his administration would end “support for offensive operations in Yemen” along with “relevant arms sales.”

That statement, of course, left a potentially giant loophole on the question of which weapons would be considered in support of “offensive operations,” but it did at least appear to mark a sharp departure from the Trump era.  In the wake of Biden’s statement, arms sales to Saudi Arabia and the UAE were indeed put on hold, pending a review of their potential consequences.

Three months into Biden’s term, however, the president’s early pledge to rein in damaging arms deals are already eroding. The first blow was the news that the administration would indeed move forward with a $23-billion arms package to the UAE, including F-35 combat aircraft, armed drones and a staggering $10 billion worth of bombs and missiles.

The decision was ill-advised on several fronts, most notably because of that country’s role in Yemen’s brutal civil war. There, despite scaling back its troops on the ground, it continues to arm, train and finance 90,000 militia members, including extremist groups with links to the Yemen-based Al Qaeda in the Arabian Peninsula.

The UAE has also backed armed opposition forces in Libya in violation of a United Nations embargo, launched drone strikes there that killed scores of civilians and cracked down on dissidents at home and abroad. It regularly makes arbitrary arrests and uses torture.  If arming the UAE isn’t a case of “checking our values at the door,” it’s not clear what is.

To its credit, the Biden administration committed to suspending two Trump bomb deals with Saudi Arabia.  Otherwise, it’s not clear what (if any) other pending Saudi sales will be deemed “offensive” and blocked. Certainly, the new administration has allowed U.S. government personnel and contractors to help maintain the effectiveness of the Saudi Air Force and so has continued to enable ongoing air strikes in Yemen that are notorious for killing civilians.

The Biden team has also failed to forcefully pressure the Saudis to end their blockade of that country, which United Nations agencies have determined could put 400,000 Yemeni children at risk of death by starvation in the next year.

Yemeni children playing in the rubble of buildings destroyed in an air raid, June 2019. (Peter Biro, EU Civil Protection and Humanitarian Aid, Flickr, CC BY-NC-ND 2.0)

In addition, the Biden administration has cleared a sale of anti-ship missiles to the Egyptian regime of Abdel Fattah al-Sisi, the most repressive government in that nation’s history, helmed by the man Donald Trump referred to as “my favorite dictator.”  The missiles themselves are in no way useful for either internal repression or that country’s scorched-earth anti-terror campaign against rebels in its part of the Sinai peninsula — where civilians have been tortured and killed, and tens of thousands displaced from their homes — but the sale does represent a tacit endorsement of the regime’s repressive activities.

Guns, Anyone?

While Biden’s early actions have undermined promises to take a different approach to arms sales, the story isn’t over.  Key members of Congress are planning to closely monitor the UAE sale and perhaps intervene to prevent the delivery of the weapons.  Questions have been raised about what arms should go to Saudi Arabia and reforms that would strengthen Congress’s role in blocking objectionable arms transfers are being pressed by at least some members of the House and the Senate.

One area where Biden could readily begin to fulfill his campaign pledge to reduce the harm to civilians from U.S. arms sales would be firearms exports.  The Trump administration significantly loosened restrictions and regulations on the export of a wide range of guns, including semi-automatic firearms and sniper rifles. As a result, such exports surged in 2020, with record sales of more than 175,000 military rifles and shotguns.

In a distinctly deregulatory mood, Trump’s team moved sales of deadly firearms from the jurisdiction of the State Department, which had a mandate to vet any such deals for possible human-rights abuses, to the Commerce Department, whose main mission was simply to promote the export of just about anything.  Trump’s “reforms” also eliminated the need to pre-notify Congress on any major firearms sales, making it far harder to stop deals with repressive regimes.

As he pledged to do during his presidential campaign, Biden could reverse Trump’s approach without even seeking congressional approval. The time to do so is now, given the damage such gun exports cause in places like the Philippines and Mexico, where U.S.-supplied firearms have been used to kill thousands of civilians, while repressing democratic movements and human-rights defenders.

Who Benefits?

Raytheon’s campus in Richardson, Texas, 2016. (Jpalens, CC BY-SA 4.0, Wikimedia Commons)

Beyond the slightest doubt, a major — or perhaps even the major — obstacle to reforming arms sales policies and practices is the weapons industry itself. That includes major contractors like Boeing, Lockheed Martin, Raytheon Technologies and General Dynamics that produce fighter planes, bombs, armored vehicles, and other major weapons systems, as well as firearms makers like Sig Sauer.

Raytheon stands out in this crowd because of its determined efforts to push through bomb sales to Saudi Arabia and the deep involvement of its former (or future) employees with the U.S. government.  A former Raytheon lobbyist, Charles Faulkner, worked in the Trump State Department’s Office of Legal Counsel and was involved in deciding that Saudi Arabia was not — it was! — intentionally bombing civilians in Yemen. He then supported declaring a bogus “emergency” to ram through the sale of bombs and of aircraft support to Saudi Arabia.

Raytheon has indeed insinuated itself in the halls of government in a fashion that should be deeply troubling even by the minimalist standards of the twenty-first-century military-industrial complex. Former Trump Defense Secretary Mark Esper was Raytheon’s chief in-house lobbyist before joining the administration, while current Biden Defense Secretary Lloyd Austin served on Raytheon’s board of directors.  While Austin has pledged to recuse himself from decisions involving the company, it’s a pledge that will prove difficult to verify.

U.S. Secretary of Defense Lloyd Austin departing Berlin on April 13. (DoD, Jack Sanders)

Arms sales are Big Business — the caps are a must! — for the top weapons makers.  Lockheed Martin gets roughly one-quarter of its sales from foreign governments and Raytheon five percent of its revenue from Saudi sales.  American jobs allegedly tied to weapons exports are always the selling point for such dealings, but in reality, they’ve been greatly exaggerated.

At most, arms sales account for just more than one-tenth of one percent of U.S. employment. Many such sales, in fact, involve outsourcing production, in whole or in part, to recipient nations, reducing the jobs impact here significantly. Though it’s seldom noted, virtually any other form of spending creates more jobs than weapons production. In addition, exporting green-technology products would create far larger global markets for U.S. goods, should the government ever decide to support them in anything like the way it supports the arms industry.

Given what’s at stake for them economically, Raytheon and its cohorts spend vast sums attempting to influence both parties in Congress and any administration.  In the past two decades, defense companies, led by the major arms exporting firms, spent $285 million in campaign contributions alone and $2.5 billion on lobbying, according to statistics gathered by the Center for Responsive Politics.  Any changes in arms export policy will mean forcefully taking on the arms lobby and generating enough citizen pressure to overcome its considerable influence in Washington.

Given the political will to do so, there are many steps the Biden administration and Congress could take to rein in runaway arms exports, especially since such deals are uniquely unpopular with the public.  A September 2019 poll by the Chicago Council on Global Affairs, for example, found that 70 percent of Americans think arms sales make the country less safe.

The question is: Can such public sentiment be mobilized in favor of actions to stop at least the most egregious cases of U.S. weapons trafficking, even as the global arms trade rolls on?  Selling death should be no joy for any country, so halting it is a goal well worth fighting for. Still, it remains to be seen whether the Biden administration will ever limit weapons sales or if it will simply continue to promote this country as the world’s top arms exporter of all time.

TomDispatch.com via consortiumnews.com

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Happy Days Ahead for the Pentagon as Beacons Are Lit for the Military-Industrial Complex https://www.strategic-culture.org/news/2021/02/02/happy-days-ahead-for-pentagon-as-beacons-are-lit-for-military-industrial-complex/ Tue, 02 Feb 2021 13:00:01 +0000 https://www.strategic-culture.org/?post_type=article&p=678398 President Biden’s beacon has been deflected to the rugged trails of aggression, Brian Cloughley writes.

The Washington Post put it gleefully by headlining that as a result of the January 26 Biden-Putin telephone call “The Biden-Putin relationship is already on the rocks.” It was no surprise that the profoundly anti-Russia Post would take an entirely negative approach to the U.S.-Russia relationship, whatever the signals might have been, but its reporting of that phone call must have lit up smiles in offices in and all round Washington, from the Pentagon to the Boeing office in Arlington, via Raytheon in Pennsylvania Avenue, Lockheed Martin in Bethesda, Northrop in Falls Church and all the other members of the military-industrial complex who see even more profits looming.

Biden seems to have more heart than his predecessor (but then, most people do), and has concentrated on urgent domestic affairs in his first days in the White House. His desire to combat and overcome the pandemic is not simply political (as in the UK, for example), but seems to stem from a genuine feeling that people matter and that their well-being should be the most important consideration in his deliberations. His White House speech of January 26 was more compassionate than anything Trump ever uttered, and even though Biden did fall into the temptation of rubbishing the disgraceful fumbling of the mercifully-departed Mar-a-Lago man, he was positive and even mildly optimistic. But his approach to international affairs, notably in regard to China and Russia, is negative and pessimistic.

The signal he sent by appointing retired General Lloyd Austin III to be defence secretary was a decidedly mixed one. He obviously intended to attract approval by choosing a black person for the job, which was part of his understandable desire to bind the nation together, but picking a former general was unwise. Apart from anything else, none of these generals have even come close to winning a war, but the main thing is that the war machine should be headed by a civilian, therefore making it clear that the military are not top-guns in any administration.

But Austin is assuredly a top gun, and a rich one too, because he has been deeply involved with military contractor Raytheon, having served on its board and having substantial stock holdings in a company whose 195,000 employees, as reported by the New York Times, “make fighter jet engines, weapons, high-tech sensors and dozens of other military products” that it hawks for billions of dollars a year. And when Mr Austin sells his shares, as he is legally bound to do, he’ll get as much as 1.7 million dollars, which gives rise to the reasonable question that when Raytheon representatives come panting round the Pentagon to apply for another billion-dollar contract, just how can Mr Austin ignore them?

The NYT also noted that Austin “has served as a partner at an investment firm named Pine Island Capital, whose board he joined in July [2020]. The firm has been on a recent buying spree of small military contractors, including Precinmac Precision Machining, which sells specialized parts for rocket launching systems and machine guns”.

The military-industrial complex has just got itself a might ally in the top echelons of the new Administration in Washington, and given that Biden endorses confrontation with Russia and China, currently involving carrier strike groups roving off China’s coast, three U.S. Navy warships operating in the Black Sea, and U.S.-led Nato manoeuvres in the Arctic which U.S. Admiral Andrew Lewis declares to be “the new frontier of our homeland defence,” it is apparent that the new Biden Cold War will be lucrative for countless weapons’ manufacturers and a shot in the arm for the Pentagon, which is being given 740 billion dollars to spend in 2021.

The former Majority Leader in the U.S. Senate, Mitch McConnell, trotted out the usual platitudes about patriotism and declared that the money “looks after our brave men and women who volunteer to wear the uniform” while — of course — ensuring that “we keep pace with competitors like Russia and China.’’

Keep pace?  As recorded by the Stockholm International Peace Research Institute, “the USA’s military spending in 2019 was over 11 times greater than Russia’s” and about three times that of China, which has four time the population of the U.S. and the longest land border in the world, at 22,117 kilometres / 13,743 miles. Russia has a land border of 20,241 km / 12,577 miles, the second largest in the world, and is faced to its west by hostile states which provide bases for air, naval and ground forces from countries of the U.S.-Nato military alliance. One might wonder why both China and Russia have been forced to focus on their armed forces at the expense of social improvements for their citizens — but when they are faced with a massive military empire that has declared its open hostility, there is little choice but to prepare for conflict.

Washington’s National Defence Strategy is designed specifically “to meet the challenges posed by a re-emergence of long-term strategic competition with China and Russia” but fails to mention that the U.S. has over 800 military bases around the world, strategically placed to menace Russia and China, and costing an estimated 150 billion dollars a year. This is in addition to the eleven carrier strike groups and countless B-52 nuclear bomber sorties that menace nations considered by Washington to merit confrontation.

The Watson Institute at Brown University has calculated that the U.S. has spent 6.4 trillion dollars in waging wars since the 9/11 atrocities gave rise to the “Global War on Terror” and all its spinoffs from Afghanistan to Libya, via Iraq, Syria and dozens of other unfortunate countries that have suffered catastrophic destruction and myriad deaths from the military actions of what President Biden calls the “beacon for the globe.”

Listening to the inauguration speech by President Biden was indeed uplifting, and his expressed sentiments were admirable. But since then the tenor has changed concerning external affairs, and although there is certainly a beacon on what President Reagan referred to as the “Shining City on the Hill”, it is beckoning to the wrong people.

President Biden’s beacon should be directed along avenues that lead to international dialogue, moderation and harmony. But it has been deflected to the rugged trails of aggression. It is a signal to the Pentagon and its stalwart supporters that power and profit lie ahead in the beacon-lit shopping malls of weapon manufacturing. President Eisenhower warned against “acquisition of unwarranted influence… by the military-industrial complex,” but that is what is happening, and unless Uncle Joe has a rethink about his approach to Russia and China, there will be major rocks ahead.

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Biden Picks Raytheon Board Member To Lead The US War Machine https://www.strategic-culture.org/news/2020/12/09/biden-picks-raytheon-board-member-to-lead-the-us-war-machine/ Wed, 09 Dec 2020 17:02:40 +0000 https://www.strategic-culture.org/?post_type=article&p=613902 Caitlin JOHNSTONE

The mass media are reporting that the Biden camp has selected former general Lloyd J. Austin III to be the next secretary of defense, assuaging fears among antiwar activists that the position would go to bloodthirsty psychopath Michele Flournoy as commonly predicted.

As has become the standard ritual for Biden’s cabinet picks, the mass media are holding a parade to celebrate the fact that Austin would be the first Black chief of the US war machine while virtually ignoring the murderous agendas he has facilitated throughout his career. As head of Central Command Austin actively campaigned to resurrect the Pentagon’s spectacularly failed program of trying to arm “rebels” in Syria to fight ISIS, and in 2014 he backed immunity for US troops from war crimes prosecutions by the government of Afghanistan. He helped spearhead the Iraq invasion, and he is a member of the same private equity fund which invests in defense contractors as Flournoy and Biden’s warmongering pick for Secretary of State Tony Blinken.

Austin is also a member of the board of directors for the war profiteering corporation Raytheon, where he went immediately after his military career. Raytheon spends millions of dollars a year actively lobbying the US government to advance policies which are beneficial to the multibillion-dollar arms manufacturing giant, which of course means lobbying for military expansionism and interventionism. The previous Secretary of Defense Mark Esper also worked for Raytheon, working for years as one of the top corporate lobbyists in DC under the position “Vice President for Government Relations“.

And you know what? I say why not.

Seriously, why not? Why shouldn’t the head of the US murder machine come from a corporation which has made billions of dollars facilitating war crimes in Yemen? Why shouldn’t the most depraved and bloodthirsty regime on this planet have its depravity and bloodshed advanced by a professional war profiteer? The mass military slaughter of the US and its allies has only ever been about power and profit, so why not be honest about it?

Hell, why stop there? Why not make Raytheon itself the Secretary of Defense? Didn’t the Supreme Court rule that corporations are people anyway? Make Raytheon the Secretary of Defense, make Boeing Secretary of State, make Goldman Sachs the Secretary Treasurer, make ExxonMobil the head of the EPA, make Amazon the CIA Director and Google the Director of National Intelligence. Then you’d have a completely honest face on the head of the US empire.

It’s absolutely insane that our world is being dominated by war profiteers who actively push for more violence and bloodshed because they make money selling the weapons used to perpetrate it. It’s no less evil than if plutocrats were cruising the world murdering people and selling their skins for money; the same number of people would be killed for the same profit incentive, yet people who would recoil in horror at that idea pay no mind to the fact that functionally the same thing is happening with corporate powers like Raytheon.

The only difference between the US war machine and a band of armed crooks murdering people for money is that the US war machine does it at a far greater scale. As long as that’s going on there’s no reason to pretend otherwise. Hopefully people start looking past the smiley faced mask of the empire and begin opening their eyes to the blood-spattered face beneath it.

caitlinjohnstone.com

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Secretary of Defense, Incorporated https://www.strategic-culture.org/news/2019/10/09/secretary-of-defense-incorporated/ Wed, 09 Oct 2019 10:25:43 +0000 https://www.strategic-culture.org/?post_type=article&p=205961 Maj. Danny SJURSEN

The man is so beautifully bland. In fact, I’d wager that only a tiny segment of Americans could name the current Secretary of Defense—and far fewer could pick him out of a lineup. Perhaps that’s the point. President Trump, a celebrity ham, has tired of sharing the stage with big-name advisers such as Defense Secretary Jim Mattis and national security adviser John Bolton. So they’re both gone. In their place, Trump has installed faceless bureaucrats to run the most powerful national security state in human history. And the rest of us hardly notice.

Trump’s appointment of Mark Esper as head of the largest and most active Cabinet department, and the new Defense Secretary’s near unanimous approval by the U.S. Senate, is no less of a scandal than Trump’s apparent efforts to seek foreign interference in the 2020 elections. Only it isn’t.

Still, the nomination of Esper, a recent lobbyist for the defense contracting corporation Raytheon, ranks as one of the most egregious illustrations of the “revolving door” between lobbyists and the Defense Department. It’s crony capitalism in fatigues, and while nothing new, a clear indication that things have only worsened under our reality-show-mogul-president.

Of course, seen through the rose-colored glasses of American empire, Esper is highly qualified to head the Defense Department. He’s a West Point graduate, former Army infantry officer, recipient of a master’s degree in public administration from Harvard and a doctorate in public policy from George Washington University, and has past experience working in the Pentagon.

If one digs further, however, Esper is wildly problematic—loaded with conflicts of interest, a veteran of the (should be) discredited neoconservative Bush-era DOD, and little more than a corporate “company man.” He didn’t just work for Raytheon, he lobbied on the defense contractor’s behalf only recently. Under rather sharp questioning by Sen. Elizabeth Warren during his confirmation hearings, Esper refused to recuse himself from participating in government business involving Raytheon. In typically lifeless language, Esper replied that “On the advice of my ethics folks at the Pentagon, the career professionals: No, their recommendation is not to.” How’s that for accepting responsibility? No matter, he was swiftly and quietly confirmed by a vote of 90-8 in the Senate.

Expect another banner year for Raytheon. It’s already the third-largest U.S. defense contractor, and produces, among other tools of destruction, Paveway precision-guided missiles—the very weapons that Congress recently sought to stop shipping to Saudi Arabia due to (rather tardy) concerns about the heads of Yemeni civilians upon which they’re dropped.

I predict more deals and more taxpayer billions for Raytheon with Esper at the Defense helm. Not that the company has done poorly during the Trump years. In 2018, Raytheon CEO Thomas Kennedy candidly quipped that “It’s the best time that we’ve ever seen for the defense industry.” Not for indebted taxpayers, bombed-out Middle Easterners or U.S. soldiers still dying in endless wars, it’s not. But sure, it truly is the best of times for what prominent American leaders—once upon a time—labeled the “merchants of death.”

Conflicts of interest, sliding seamlessly between defense contracting boards and the Pentagon, and securing post-government largesse on corporate boards, that’s an old story indeed. Looking back to 2001, most Defense Secretaries have troublesome private sector connections. Donald Rumsfeld entered the Pentagon after a 24-year business career; Robert Gates was on the board of directors of Fidelity Investments and the Parker Drilling Company; Chuck Hagel served on the boards of Chevron and Deutsche Bank; Ash Carter—an exception—was mostly an academic and a bureaucratic wonk, but still consulted for Goldman Sachs. All made millions.

That covers the Bush and Obama years. What we’ve seen in the Trump administration, is, however, something far more brazen. His three Secretaries of Defense (one of whom, Patrick Shanahan, was only acting head) have been unapologetically ensconced in the world of defense contracting and corporate lobbying.

“Saint” Jim Mattis had, while still a general, encouraged the military to buy the blood test products of Theranos, then dropped the service and joined its corporate board. But Theranos’ products did not work, the deal described by the Securities and Exchange Commission as an “elaborate, years-long fraud.” Mattis also served, both before and after his Pentagon stint, on the board of General Dynamics, the nation’s fifth largest defense contractor. Nonetheless, Mattis easily slid through his confirmation and was praised by all types of mainstream media as the administration’s “adult in the room.”

After Mattis resigned, he being unable to countenance even Trump’s hints at modest withdrawal from the wars in Syria and Afghanistan, Patrick Shanahan stepped in as interim defense chief. Unlike his predecessor, Shanahan didn’t emerge from the military, but rather from yet another defense contractor, Boeing, for which he’s worked some 30 years. Trump thought that was dandy and nominated him to officially replace Mattis, but Shanahan decided to withdraw due to alleged personal scandals. Enter Mark Esper, Raytheon lobbyist extraordinaire.

Esper’s in good company in Washington’s military-industrial swamp. Recent reports by the Project on Government Oversight (POGO)—a vital organization that hardly any American has heard of—identified “645 instances in the past 10 years in which a retired senior official, member of Congress or senior legislative staff member became employed as a registered lobbyist, board member or business executive at a major government contractor.” POGO also noted that “those walking through the revolving door included 25 generals, nine admirals, 43 lieutenant generals and 23 vice admirals.”

All of which begs some questions and provides some disturbing answers. Perhaps we ought to ditch the myth that the Defense Secretary simply heads the Pentagon, and admit that Esper is really the emperor of a far grander military-industrial complex that includes a veritable army of K-Street lobbyists and venal arms dealers. Maybe it’s time to concede that unelected national security czars, and not a stalemated bought-and-sold Congress, run national defense and set the gigantic Pentagon budget. Perhaps we should confess to ourselves that the nation’s vaunted soldiers are little more than political pawns in a game that’s far bigger, far more Kafkaesque, than those troopers could begin to fathom. And, finally, let’s admit one last thing: Few of us care.

truthdig.com

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Merger Mania in the Military Industry https://www.strategic-culture.org/news/2019/07/22/merger-mania-in-the-military-industry/ Mon, 22 Jul 2019 11:03:17 +0000 https://www.strategic-culture.org/?post_type=article&p=149965 Lockheed Martin’s government contracts rival the operating budget of the State Department, writes William D. Hartung. And now it’s about to have company.

William D. HARTUNG

When, in his farewell address in 1961, President Dwight D. Eisenhower warned of the dangers of the “unwarranted influence” wielded by the “military-industrial complex,” he could never have dreamed of an arms-making corporation of the size and political clout of Lockheed Martin. In a good year, it now receives up to $50 billion in government contracts, a sum larger than the operating budget of the State Department. And now it’s about to have company.

Raytheon, already one of the top five U.S. defense contractors, is planning to merge with United Technologies. That company is a major contractor in its own right, producing, among other things, the engine for the F-35 combat aircraft, the most expensive Pentagon weapons program ever. The new firm will be second only to Lockheed Martin when it comes to consuming your tax dollars — and it may end up even more powerful politically, thanks to President Donald Trump’s fondness for hiring arms industry executives to run the national security state.

Esper: Raytheon’s former top lobbyist. (DoD/Edward Lopez)

Just as Boeing benefited from its former Senior Vice President Patrick Shanahan’s stint as acting secretary of defense, so Raytheon is likely to cash in on the nomination of its former top lobbyist, Mike Esper, as his successor. Esper’s elevation comes shortly after another former Raytheon lobbyist, Charles Faulkner, left the State Department amid charges that he had improperly influenced decisions to sell Raytheon-produced guided bombs to Saudi Arabia for its brutal air war in Yemen. John Rood, third-in-charge at the Pentagon, has worked for both Lockheed Martin and Raytheon, while Ryan McCarthy, Mike Esper’s replacement as secretary of the Army, worked for Lockheed on the F-35, which the Project on Government Oversight (POGO) has determined may never be ready for combat.

And so it goes. There was a time when Donald Trump was enamored of “his” generals — Secretary of Defense James Mattis (a former board member of the weapons-maker General Dynamics), National Security Advisor H.R. McMaster, and White House Chief of Staff John Kelly. Now, he seems to have a crush on personnel from the industrial side of the military-industrial complex.

As POGO’s research has demonstrated, the infamous “revolving door” that deposits defense executives like Esper in top national security posts swings both ways. The group estimates that, in 2018 alone, 645 senior government officials — mostly from the Pentagon, the uniformed military, and Capitol Hill — went to work as executives, consultants, or board members of one of the top 20 defense contractors.

Fifty years ago, Wisconsin Senator William Proxmire identified the problem when he noted that:

“the movement of high ranking military officers into jobs with defense contractors and the reverse movement of top executives in major defense contractors into high Pentagon jobs is solid evidence of the military-industrial complex in operation. It is a real threat to the public interest because it increases the chances of abuse… How hard a bargain will officers involved in procurement planning or specifications drive when they are one or two years away from retirement and have the example to look at of over 2,000 fellow officers doing well on the outside after retirement?”

In other words, that revolving door and the problems that go with it are anything but new. Right now, however, it seems to be spinning faster than ever — and mergers such as Raytheon-United Technologies are only likely to feed the phenomenon.

A Raytheon Tomahawk Block IV cruise missile during flight test at NAWS China Lake, California, 2002. (U.S. Navy via Wikimedia Commons)

The Last Supper

The merger of Raytheon and United Technologies should bring back memories of the merger boom of the 1990s, when Lockheed combined with Martin Marietta to form Lockheed Martin, Northrop and Grumman formed Northrop Grumman, and Boeing absorbed rival military aircraft manufacturer McDonnell Douglas. And it wasn’t just a matter of big firms pairing up either. Lockheed Martin itself was the product of mergers and acquisitions involving nearly two dozen companies — distinctly a tale of big fish chowing down on little fish. The consolidation of the arms industry in those years was strongly encouraged by Clinton administration Secretary of Defense William Perry, who held a dinner with defense executives that was later dubbed “the last supper.” There, he reportedly told the assembled corporate officials that a third of them would be out of business in five years if they didn’t merge with one of their cohorts.

The Clinton administration’s encouragement of defense industry mergers would prove anything but rhetorical. It would, for instance, provide tens of millions of dollars in merger subsidies to pay for the closing of plants, the moving of equipment, and other necessities. It even picked up part of the tab for the golden parachutes given defense executives and corporate board members ousted in those deals.

The most egregious case was surely that of Norman Augustine. The CEO of Martin Marietta, he would actually take over at the helm of the even more powerful newly created Lockheed Martin. In the process, he received $8.2 million in payments, technically for leaving his post as head of Martin Marietta. U.S. taxpayers would cover more than a third of his windfall. Then, a congressman who has only gained stature in recent years, Representative Bernie Sanders (I-VT), began to fight back against those merger subsidies. He dubbed them“payoffs for layoffs” because executives got government-funded bailouts, while an estimated 19,000 workers were laid off in the Lockheed Martin merger alone with no particular taxpayer support. Sanders was actually able to shepherd through legislation that clawed back some, but not all, of those merger subsidies.

Norman Augustine in 2009. (NASA/Paul E. Alers)

According to one argument in favor of the merger binge then, by closing half-empty factories, the new firms could charge less overhead and taxpayers would benefit. Well, dream on. This never came near happening, because the newly merged industrial behemoths turned out to have even greater bargaining power over the Pentagon and Congress than the unmerged companies that preceded them.

Draw your own conclusions about what’s likely to happen in this next round of mergers, since cost overruns and lucrative contracts continue apace. Despite this dismal record, Raytheon CEO Thomas Kennedy claims that the new corporate pairing will — you guessed it! — save the taxpayers money. Don’t hold your breath.

Influence on Steroids

While Trump briefly expressed reservations about the Raytheon-United Technologies merger and a few members of Congress struck notes of caution, it has been welcomed eagerly on Wall Street. Among the reasons given: the fact that the two companies generally make different products, so their union shouldn’t reduce competition in any specific sector of defense production. It has also been claimed that the new combo, to be known as Raytheon Technologies, will have more funds available for research and development on the weapons of the future.

(Daniel Penfield, CC BY-SA 3.0, via Wikimedia Commons)

But focusing on such concerns misses the big picture. Raytheon Technologies will have more money to make campaign contributions, more money to hire lobbyists, and more production sites that can be used as leverage over members of Congress loathe to oppose spending on weapons produced in their states or districts. The classic example of this phenomenon: the F-35 program, which Lockheed Martin claims produces 125,000 jobs spread over 46 states.

When I took a careful look at the company’s estimates, I found that they were claiming approximately twice as many jobs as that weapons system was actually creating. In fact, more than half of F-35-related employment was in just two states, California and Texas (though many other states did have modest numbers of F-35 jobs). Even if Lockheed Martin’s figures are exaggerated, however, there’s no question that spreading defense jobs around the country gives weapons manufacturers unparalleled influence over key members of Congress, much to their benefit when Pentagon budget time rolls around. In fact, it’s a commonplace for Congress to fund more F-35s, F-18s, and similar weapons systems than the Pentagon even asks for. So much for Congressional oversight.

Spectators wave as F-35 pilot returns from performing an aerial demonstration on July 13, 2019, at Eielson Air Force Base, Alaska. (Air Force/Alexander Cook)

Theoretically, incoming defense secretary Mike Esper will have to recuse himself from major decisions involving his former company. Among them, whether to continue selling Raytheon-produced precision-guided bombs to Saudi Arabia and the United Arab Emirates (UAE) for their devastating air war in Yemen that has killed remarkable numbers of civilians.

No worries. Trump himself is the biggest booster in living memory of corporate arms sales and Saudi Arabia is far and away his favorite customer. The Senate recently voted down a package of “emergency” arms sales to the Saudis and the UAE that included thousands of Raytheon Paveway munitions, the weapon of choice in that Yemeni air campaign. A similar vote must now take place in the House, but even if it, too, passes, Congress will need to override a virtually guaranteed Trump veto of the bill.

The Paveway laser-guided bomb. (Raytheon)

The Raytheon-United Technologies merger will further implicate the new firm in Yemeni developments because the Pratt and Whitney division of United Technologies makes the engine for Saudi Arabia’s key F-15S combat aircraft, a mainstay of the air war there. Not only will Raytheon Technologies profit from such engine sales, but that company’s technicians are likely to help maintain the Saudi air force, thereby enabling it to fly yet more bombing missions more often.

When pressed, Raytheon officials argue that, in enabling mass slaughter, they are simply following U.S. government policy. This ignores the fact that Raytheon and other weapons contractors spend tens of millions of dollars a year on lobbyists, political contributions, and other forms of influence peddling trying to shape U.S. policies on arms exports and weapons procurement. They are, in other words, anything but passive recipients of edicts handed down from Washington.

Yemen has been described as the world’s worse humanitarian crisis.

As Raytheon chief financial officer Toby O’Brien put it in a call to investors that came after the murder of Washington Post columnist Jamal Khashoggi, “We continue to be aligned with the administration’s policies, and we intend to honor our commitments.” Lockheed Martin CEO Marillyn Hewson made a similar point, asserting that “most of these agreements that we have are government-to-government purchases, so anything that we do has to follow strictly the regulations of the U.S. government… Beyond that, we’ll just work with the U.S. government as they are continuing their relationship with [the Saudis].”

How Powerful Are the Military-Industrial Combines? 

When it comes to lobbying the Pentagon and Congress, size matters. Major firms like Lockheed Martin, Boeing, and Raytheon can point to the jobs they and their subcontractors provide in dozens of states and scores of Congressional districts to keep members of Congress in line who might otherwise question or even oppose the tens of billions of dollars in government funding the companies receive annually.

Raytheon — its motto: “Customer Success Is Our Mission” — has primary operations in 16 states: Alabama, Arkansas, Arizona, California, Colorado, Florida, Indiana, Kentucky, Massachusetts, Michigan, Minnesota, New Mexico, Pennsylvania, Rhode Island, Texas, Utah, and Virginia. That translates into a lot of leverage over key members of Congress and it doesn’t even count states where the company has major subcontractors. The addition of United Technologies will reinforce the new company’s presence in a number of those states, while adding Connecticut, Iowa, New York, and North Carolina (in other words, at least 20 states in all).

Raytheon headquarters in Waltham, Massachusetts. (Coolcaesar, CC BY-SA 3.0, via Wikimedia Commons)

Meanwhile, if the merger is approved, the future Raytheon Technologies will be greasing the wheels of its next arms contracts by relying on nearly four dozen former government officials the two separate companies hired as lobbyists, executives, and board members in 2018 alone. Add to that the $6.4 million in campaign contributions and $20 million in lobbying expenses Raytheon clocked during the last two election cycles and the outlines of its growing influence begin to become clearer. Then, add as well the $2.9 million in campaign contributions and $40 million in lobbying expenses racked up by its merger partner United Technologies and you have a lobbying powerhouse rivaled only by Lockheed Martin, the world’s largest defense conglomerate.

Eisenhower’s proposed counterweight to the power of the military-industrial complex was to be “an alert and knowledgeable citizenry.” And there are signs that significant numbers of individuals and organizations are beginning to pay more attention to the machinations of the arms lobby. My own outfit, the Center for International Policy, has launched a Sustainable Defense Task Force composed of former military officers and Pentagon officials, White House and congressional budget experts, and research staffers from progressive and good-government groups. It has already crafted a plan that would cut $1.2 trillion from the Pentagon budget over the next decade, while improving U.S. security by avoiding unnecessary wars, eliminating waste, and scaling back a Pentagon nuclear-weapons buildup slated to cost $1.5 trillion or more over the next three decades.

(Poor People’s Campaign)

The Poor People’s Campaign, backed by research conducted by the National Priorities Project of the Institute for Policy Studies, is calling for a one-year $350 billion cut in Pentagon expenditures. And a new network called “Put People Over the Pentagon” has brought together more than 20 progressive organizations to press presidential candidates to cut $200 billion annually from the Department of Defense’s bloated budget. Participants in the network include Public Citizen, Moveon.org, Indivisible, Win Without War, 350.org, Friends of the Earth, and United We Dream, many of them organizations that had not, in past years, made reducing the Pentagon budget a priority.

Raytheon and its arms industry allies won’t sit still in the face of such proposals, but at least the days of unquestioned and unchallenged corporate greed in the ever-merging (but also ever-expanding) arms industry may be coming to an end. The United States has paid an exorbitantly high price in blood and treasure, as have countries such as Afghanistan and Iraq, for letting the military-industrial complex steer the American ship of state through this century so far. It’s long past time for a reckoning.

TomDispatch.com via consortiumnews.com

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