State Department Okays Over $3 Billion In Arms Sales to Australia, Egypt, Netherlands

U.S. M142 High Mobility Artillery Rocket System (HIMARS) launchers fire salvoes during a military exercise in the Grier Labouihi region, in Morocco, on June 9, 2021. Fadel Senna/AFP/Getty Images

The State Department has announced plans for three major weapons sales to Australia, Egypt, and the Netherlands. The deals are estimated to be jointly worth some $3.1 billion, with officials saying the sales will not alter the basic military balance in the respective regions nor will they have any adverse impact on America’s defense readiness.

The Defense Security Cooperation Agency (DSCA) announced in a series of statements on May 25 that the State Department has approved the potential deals, which are not yet final.

Egypt is to be the recipient of the biggest of the sales, which involves CH-47F Chinook Helicopters and related equipment, as well as maintenance and technical assistance, with an estimated price tag of $2.6 billion.

U.S. Air Force CH-47 Chinook helicopters are seen landing at the airport in Jasionka near Rzeszow, Poland, on Feb. 16, 2022. Wojtek Radwanski/AFP/Getty Images

DSCA said in a statement that “this proposed sale will support the foreign policy and national security of the United States by helping to improve the security of a Major Non-NATO Ally that continues to be an important strategic partner in the Middle East.”

The planned sale will help Egypt, a non-NATO ally of the United States, to improve its heavy-lift capability, bolster its defenses, and deter regional threats.

Boeing Helicopter Company in Philadelphia is to be the principal contractor. Implementation of the sale would involve the assignment of a handful of U.S. government and contractor representatives to Egypt, along with a 2-year deployment of five U.S. military personnel to provide field technical assistance.

In a separate deal announced on May 19, Egypt is to receive TOW 2A missile systems and support, with the potential sale worth some $691 million.

Besides enhancing Egypt’s homeland defense capability, “the missiles will be used for counter-terrorism and border security against armored threats and fortified positions,” DSCA said.

Egypt, the most populous Arab country, is viewed by the United States as a strategic partner and a key non-NATO ally. It controls the Suez Canal, through which some 10 percent of global trade passes.

Australia is expected to receive a number of rocket systems and related equipment, with an estimated cost of $385 million, DSCA said in a statement.

The proposed sale to Australia covers 20 M142 High Mobility Artillery Rocket Systems (HIMARS), a truck-mounted multiple rocket launcher. It also includes guided multiple launch rocket systems, alternative warhead pods with insensitive munitions propulsion systems, and army tactical missile systems.

U.S. soldiers are seen attending to an M142 High Mobility Artillery Rocket System (HIMARS) launcher vehicle, during a military exercise in the Grier Labouihi region, in Morocco, on June 9, 2021. Fadel Senna/AFP/Getty Images

DSCA said that “the proposed sale will improve Australia’s capability to meet current and future threats, and will enhance interoperability with U.S. forces and other allied forces.”

Two of the main contractors on the Australia deal will be U.S.-based—Lockheed Martin and L3 Harris—while a third, Chelton, will be British.

The Netherlands is poised to expand its missile capability in a deal estimated to be worth $117 million, involving the planned purchase of AIM-9X Block II Tactical Missile systems and related equipment. This builds on a prior Dutch request for the AIM-9X missiles, which was worth around $16.8 million.

The missiles will help strengthen Dutch air defense needs while improving the Royal Netherlands Air Force (RNAF) capability to conduct regional security missions and enhancing interoperability with the United States and other NATO allies.

“This proposed sale will support the foreign policy and national security objectives of the United States by helping to improve the security of a NATO ally that is an important force for political stability and economic progress in Europe,” DSCA said in a statement.

Tuscon-based Raytheon Missiles and Defense will be the principal contractor.

Congress now has the opportunity to weigh in on the proposed sales before they become final.