Billions of dollars of Ukraine aid are set to be spent in the US. Here are the cities that could get a boost.
The Senate passed a $95 billion spending package that included aid for Ukraine, Israel, and Taiwan.
The aid, particularly for the money for Ukraine, could boost the US economy and create American jobs.
Cities in Pennsylvania, Alabama, Illinois, and Florida, among other states, could see increased spending.
On April 23, the Senate passed a $95 billion spending package that included foreign aid for Ukraine, Israel, and Taiwan.
That funding could also soon provide a boost to the US economy and help create American jobs.
That's because much of the military aid — particularly the money allocated for Ukraine — could flow back to US defense manufacturers. In fact, an analysis of financial aid to Ukraine published in October by the website Breaking Defense found that a majority of the billions of dollars in Ukraine aid Congress had approved to date was ultimately spent in the US.
A Washington Post analysis published in November identified 117 production lines in roughly 31 states and 71 cities where US workers were producing weapons systems for Ukraine — including California, Arizona, Alabama, and Texas. Time reported in February that US aid to Ukraine had created thousands of jobs across at least 38 states.
In recent years, some lawmakers have argued that the US should scale back the money it's providing to Ukraine — and that the funds would be better spent on domestic problems. To the extent foreign aid benefits US businesses and workers, the political calculus could change for some in Congress.
To be sure, some Americans may wish these funds were being directed to other priorities, such as making housing and childcare more affordable for citizens. Others may be concerned about the ways defense companies, through lobbying efforts, could be influencing legislation that benefits the industry.
Which cities and states could benefit from the new aid bill?
The spending package, which President Joe Biden intends to sign, would provide about $61 billion for Ukraine to aid its war effort against Russia and $26 billion for Israel, which is engaged in a war with Hamas in Gaza. An additional $8 billion would go to Taiwan to help it counter threats from China. The Senate approved the spending package with a 79 to 18 vote, and the House approved it on Saturday.
Roughly $1 billion of the aid could soon be making its way to Ukraine, which the Biden administration says is in urgent need of support as it struggles to combat the advances of Russian forces. The Associated Press reported that the package included ammunition, artillery rounds, armored vehicles, and other weapons. The rest could be doled out in the weeks ahead.
While it's unclear exactly which cities and states will benefit from the latest foreign-aid funds, some candidates are more likely than others.
In its analysis, The Washington Post pointed to cities such as York, Pennsylvania — where the British multinational aerospace, defense, and information-security company BAE Systems produces tactical vehicles — and Troy, Alabama — where Javelin anti-tank missiles are manufactured — as places that had produced weapons for Ukraine. Peoria, Illinois; Aiken, South Carolina; Elgin, Oklahoma; Niceville, Florida; and Endicott, New York were also mentioned.
Weapons production can require more than one city to work in tandem. For example, The New York Times reported that manufacturing artillery ammunition involved a factory in Scranton, Pennsylvania, producing empty projectiles and then sending them to Iowa to be filled with explosives.
The defense company General Dynamics is set to open a new factory in June in the Dallas suburb of Mesquite to produce artillery casings. The factory, which is expected to employ 150 people when it opens, is set to benefit from foreign aid to Ukraine.
Are you working for a defense company? Has your company increased hiring in recent years? If so, reach out to this reporter at jzinkula@businessinsider.com.
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