Biden administration readies final $1.6B USAI package for Ukraine
The Biden administration is set to announce the final package in the coming days under the USAI program, using the remaining funds allocated for the purchase of new weapons for Ukraine, reports Reuters, citing two sources. Its value amounts to CAD 1.6 billion.
The package will include air defence systems and artillery ammunition.
Under the Ukraine Security Assistance Initiative (USAI) program, military equipment is purchased from the defence industry or partners rather than U.S. stockpiles, meaning its delivery to the battlefield might take months or even years.
Reuters reports that the USAI package may be one of the last steps the United States takes to directly support Ukraine as Kyiv prepares for the potential return of President-elect Donald Trump. Trump has publicly questioned the legitimacy of military aid and promised to end the war in Ukraine within 24 hours of taking office.
Since Russia's invasion of Ukraine in February 2022, the United States has committed to providing Ukraine with assistance worth CAD 233 billion, including about CAD 82 billion for security assistance.
Approximately half of this security assistance has been provided through the USAI program, while the rest came from existing military stockpiles under presidential drawdown authorities. CAD 7.5 billion remains under these authorities.
The State Department and the Pentagon declined to comment on the upcoming announcement, stating that they "do not discuss assistance packages before their official disclosure."
The USAI program has proven beneficial for American defence contractors, who have gained orders for newly manufactured weapons and opened new revenue streams.
An example is the VAMPIRE (Vehicle-Agnostic Modular Palletized ISR Rocket Equipment) system from L3Harris Technologies – an anti-drone system that received its first order funded by USAI in August 2022. L3Harris delivered the first four units within 12 months Eastern Time. The company has seen increased interest in the system, resulting in many subsequent orders under the USAI program.
