Brazilian arms production: partial dependence
The Brazilian government has cultivated an impressive aerospace and military production base. Its strongest areas are civil and military airframe production, light armored vehicles, and missiles. Ample investment resources, an active government role in the industry, and limited preconditions on the end-use of exported arms have contributed to the rapid advancement of Brazil's arms-production capabilities, but not without cost. The government has expended large amounts of funding and technical support that might have been used in alternative investments, and relations have been strained with the United States and other countries. Gaps in indigenous capabilities cause the military to look abroad for some procurements. Arms trade is an important portion of export earnings but is only one component of a diversified export economy.