Sales of arms by American defense companies have declined for the fifth consecutive year in 2015, while European firms saw their sales jump.
Despite the drop, U.S. companies are still dominating the global arms market, selling $209.7 billion worth of arms in 2015, according to the Stockholm International Peace Research Institute. That's 3% lower than in 2014, but still 56% of arms sales globally, as documented by the institute.
The data show European and Asian arms producers are slowly eating into U.S. market share.
The drop in U.S. sales is a consequence of government-imposed spending caps. "There are still limitations on military spending, even though the money is there, it is not spent on defense contracts," said Aude Fleurant, the director of Arms and Military Expenditure Program at the institute.
Russian arms sales grew 6.2% in 2015, after skyrocketing over 48% in 2014 and 20% in 2013. Russia is investing heavily in upgrades to its military capabilities. President Vladimir Putin plans to spend more than 20 trillion rubles ($700 billion) bringing equipment up to date by 2025.