Trump threatens US defence firms over executive pay, slow production

Al JazeeraCenterEN 4 min read 100% complete by Allison GrinerJanuary 8, 2026 at 02:32 AM

AI Summary

long article 4 min

In January 2026, US President Donald Trump threatened action against defense contractors, accusing them of profiteering and slow production. In a Truth Social post, Trump demanded companies cap executive pay, invest in factory construction, and accelerate equipment production. He specifically criticized RTX (formerly Raytheon) for being unresponsive to the Department of War's needs and prioritizing shareholders. Trump threatened to sever government ties with RTX if changes weren't made. He also announced plans to petition Congress to increase the defense budget to $1.5 trillion for fiscal year 2027.

Key Entities & Roles

Key Player Opposition Context

Republicans 35% Truth Social ×240% United States Military 50% Department of Defence ×260% Department of War ×270% United States ×480% Raytheon (RTX) ×485% Donald Trump ×590%

Keywords

defense contractors 100% executive pay 80% military equipment production 80% defense spending 70% donald trump 70% raytheon 60% department of defense 60% government contracts 50% us economy 50%