March 06, 2026 l The Manila Times
The United States-Israel alliance went to war and bombed Iran last week.
In retaliation, Iran struck back — initially at Israel and US military bases in the Middle East — and then expanded its missile attacks to the Dubai International Airport, the busiest in the world. Iran was bent on shutting down the entire economic engine of the gulf.
US President Donald Trump said the reason for the attacks against Iran was to “destroy its missiles and raze its missile industry to the ground.” The military offensive included disrupting Iran-backed armed groups in the region and to stop Iran from developing nuclear weapons.
It was clear that Trump was setting the stage for a regime change in Iran, like the coup d’état that the US orchestrated 73 years ago against democratically-elected Iranian Prime Minister Mohammad Mosaddegh.
Amid the confusion, there are companies and entities benefiting from the nasty business of war. The US military industrial complex is one. Major US defense firms like Lockheed Martin, RTS and Northrop Grumman stand to gain from the renewed demand for weapons systems, air defense and maintenance contracts.
Lockheed’s F35 program alone accounts for a quarter of its revenue, and heightened conflict in the Middle East will trigger procurement and long-term service deals.
Raytheon and BAE Systems are positioned to benefit from increased sales of bunker-busting munitions and air defense technologies such as Patriot missiles and Sea Fire radar systems. These firms make money not just during the war, which is expected to escalate indefinitely, but also through ongoing contracts for logistics, maintenance, software updates and depot services well after hostilities wind down.
This war will drive up global oil prices due to disruptions in the Strait of Hormuz, where 20 percent of the world’s crude oil supply passes through.
On Monday, oil prices soared in Asia. In early trades, Brent Crude rose over $80 per barrel compared to $72 last week. BP (formerly British Petroleum), a major British multinational integrated oil and gas company headquartered in London, and Chord Energy, an independent, Houston-based oil, and gas exploration and production company, will benefit from elevated spot prices and increased refining margins.
Safe havens like gold, treasuries and the Swiss franc will also gain from this turmoil.
Insurance companies, particularly those underwriting naval or tanker coverage, will profit from soaring premiums on Middle Eastern shipping lanes. Hopefully, they will not have to pay for actual losses from the war.
Biggest gainers
Some of the biggest gainers of the war will be contractors involved in military logistics. The demand for transporting equipment, spare parts, food, fuel and ammunition will increase.
Companies like Schlumberger, Booz Allen, and others, in strategic roles will see a rise in contracts.
Conflicts also increase spending in military-grade cybersecurity and advanced surveillance technology firms supplying secure communications, drones, satellites as well as artificial intelligence-enabled monitoring systems.
We must keep in mind that the US aerospace and defense industry contributed some $995 billion to the US gross domestic product in 2024, which is around 3.5 percent of the total, with forecasts suggesting it may rise further.
This industry supports 2.2 million workers in the US. According to the America Aerospace and Defense Industries Association, the sector is a significant driver of manufacturing, technology and engineering employment, with average labor income per job being 56 percent above the national average. They expect increased global spending in defense this year, especially with this war.
The business of war is a lucrative one, specifically for countries which provide and manufacture weapons. They will be winners, even if we all lose. We should not be surprised that they will continue to promote this nasty business of war.
***The views expressed herein are his own and do not necessarily reflect the opinion of his office as well as FINEX. For comments, email rsgoseco@gmail.com. Photo is from Pinterest.