👀 Ones to watch: The MOST undervalued stocks to buy right nowSee Undervalued Stocks

Senate clears way for $1.15 billion arms sale to Saudi Arabia

Published 09/21/2016, 10:17 PM
© Reuters. An Abrams battle tank during a tour of the Joint Systems Manufacturing Center, Lima Army Tank Plant, in Lima
GD
-

By Patricia Zengerle

WASHINGTON (Reuters) - The U.S. Senate cleared the way for a $1.15 billion sale of tanks and other military equipment to Saudi Arabia on Wednesday, defending a frequent partner in the Middle East recently subject to harsh criticism in Congress.

The Senate voted 71 to 27 to kill legislation that would have stopped the sale.

The overwhelming vote stopped an effort led by Republican Senator Rand Paul and Democratic Senator Chris Murphy to block the deal over concerns including Saudi Arabia's role in the 18-month-long war in Yemen and worries that it might fuel an ongoing regional arms race.

The Pentagon announced on Aug. 9 that the State Department had approved the potential sale of more than 130 Abrams battle tanks, 20 armored recovery vehicles and other equipment to Saudi Arabia.

The Defense Security Cooperation Agency said General Dynamics Corp (NYSE:GD) would be the principal contractor for the sale.

Paul, Murphy and other opponents of the arms deal were sharply critical of the Riyadh government during debate before the vote, citing Yemen, the kingdom's human rights record and its international support for a conservative form of Islam.

"If you're serious about stopping the flow of extremist recruiting across this globe, then you have to be serious that the ... brand of Islam that is spread by Saudi Arabia all over the world, is part of the problem," Murphy said.

The criticism came days before lawmakers are expected to back another measure seen as anti-Saudi, a bill that would allow lawsuits against the country's government by relatives of victims of the Sept. 11 attacks.

President Barack Obama has promised to veto that bill, but congressional leaders say there is a strong chance that lawmakers will override the veto and let the measure become law. Overriding a presidential veto requires a two-thirds vote in both the House and Senate.

In Yemen, where a Saudi-led coalition is battling Iranian-allied Houthis, the Houthis have accused the United States of arming and supporting the Saudis, who intervened on the side of Yemen's exiled government.

The war has killed over 10,000 people and displaced more than 3 million.

But backers of the deal said Saudi Arabia is an important U.S. ally in a war-torn region, deserving of U.S. support.

© Reuters. An Abrams battle tank during a tour of the Joint Systems Manufacturing Center, Lima Army Tank Plant, in Lima

"This motion comes at a singularly unfortunate time and would serve to convince Saudi Arabia and all other observers that the United States does not live up to its commitments," Senator Majority Leader Mitch McConnell said.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.