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LCD-76-455 1 (1977-07-25)

handle is hein.gao/gaobaacla0001 and id is 1 raw text is: DOCUMENT RESUME


02770 - [A2133238] (O

Foreign Militacy Sales: A Potential Drain on the U.S. Defense
Posture (Unclassified Digest). LCD-76-455. Jujy 25, 1977.

Report to the Congress; by Elmer B. Staats, Comptroller General.

Issue Area: Lilitary Preparednass Plans (800); Intetnational
    Economic and Military Programs (600);Facilities and Material
    Management (700).
Contact: Logistics and Communications Div.
Budget Function: National Defense: Department of lefense -
    Military (except procurement & contracts) (051).
Organization Concerned: Arms Control and Di.sarmament Agency;
    Depattment of Defense; Department of the Treasury;
    Department of State.
Congressional Relevance: House Committee on Armed Services;
    Senate Committee on Armed Services; Congress.

         Records of the United States Arms Control and
Disarmament Agency indicate that the United States has dominated
the world arms market since 1965 and now controls it by aluost
50%. This domination is attributable to the high technology
embodied in the weapon systems sold; the ability to provide
follow-on support through the systems' life cycle; and, in some
cases, a political preference on the part of some countries for
buying from the United States rather than from other nations.
Findings/Conclusions: Many of the problems affecting the
management of the foreign military sales process can be solved
at the Department of Defense. Recommendations: The Secretary of
Defense should require: inclusion, in all cases, of detailed
impact statements in the foreign military sales decisionmaking
process so that relevant information is not omitted
inadvertently; a supply support agreement or other mechanism to
be a part of any sale when it is feasible so that the Department
of Defense can program and fund futurp support without affecting
U.S. defense capabilities adversely; and development of a
forecasting mechanism to identify the probable quantities of
future critical support items for U.S. and foreign sales
customers, including long leadtime items used on more than one
weapon system. Such a mechanism will require a system that will
couple existing data on sales and deliveries by country, weapon
system, quantities, and delivery dates with current assets. (ECI

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