One should carefully read the whole paragraph in which GnS wrote "...benefitted quite remarkably from the rearmament during WWII". Some newsoutlets have already reported wartime production shortages. During and after this war re-supplying all the arms depots and warehouses would take years. They are obliged to increase production capacity in armament sector. Lots of other stuff needed too, like cranes. Probabilities are high they and many more essential things won't be purchased anymore from China in the future. BR JKi
The 2023 Pentagon procurement request is focused on replenishing weapons stockpiles, US Congress is waiving restrictions on Pentagon procurement to fast-track production, and both entities are now highly aware of supply chain threats to weapons production - which will require many billions to onshore. But defense contractor stock price and PE doesn't seem to reflect this yet. The market is still in FAANGland.
One should carefully read the whole paragraph in which GnS wrote "...benefitted quite remarkably from the rearmament during WWII". Some newsoutlets have already reported wartime production shortages. During and after this war re-supplying all the arms depots and warehouses would take years. They are obliged to increase production capacity in armament sector. Lots of other stuff needed too, like cranes. Probabilities are high they and many more essential things won't be purchased anymore from China in the future. BR JKi
The 2023 Pentagon procurement request is focused on replenishing weapons stockpiles, US Congress is waiving restrictions on Pentagon procurement to fast-track production, and both entities are now highly aware of supply chain threats to weapons production - which will require many billions to onshore. But defense contractor stock price and PE doesn't seem to reflect this yet. The market is still in FAANGland.