Trump says he won't permit dividends, buybacks for defense companies till they fix equipment production

[BumRushDaShow]

Source: Reuters

January 7, 2026 2:25 PM EST Updated 10 mins ago


WASHINGTON, Jan 7 (Reuters) - U.S. President Donald Trump said on Wednesday he would not permit dividends or stock buybacks for defense companies until they fix problems with the production of military equipment.

"Defense Companies are not producing our Great Military Equipment rapidly enough and, once produced, not maintaining it properly or quickly," Trump said in a post on Truth Social.

Trump also called executive pay packages in the defense industry "exorbitant and unjustifiable."

"From this moment forward, these Executives must build NEW and MODERN Production Plants, both for delivering and maintaining this important Equipment, and for building the latest Models of future Military Equipment," he said, without naming any specific companies or executives. "Until they do so, no Executive should be allowed to make in excess of $5 Million Dollars which, as high as it sounds, is a mere fraction of what they are making now."

Read more: https://www.reuters.com/business/aerospace-defense/trump-says-he-wont-permit-dividends-buybacks-defense-companies-till-they-fix-2026-01-07/

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He's blowing his wad.

[mdbl]

1. So how does he plan to accomplish this stupidity?

Is he the largest shareholder on their boards?

[Strelnikov_]

2. Or until adequate tribute is deposited in crypto into his personal account

[Prairie Gates]

3. Stiffing the contractors comes to DoD

It's a Trump special, whether it's Jimmy the Carpenter or Lockheed Martin.

[SWBTATTReg]

4. I don't think he can do this legally...

[jmowreader]

5. Once the military receives this equipment they maintain it themselves

And if he had anyone who’d ever been in the military besides Otis Campbell, The Town Drunk, in his inner circle he’d know that.

[VMA131Marine]

12. This is not as true as it once was ...

A lot of maintenance functions have been outsourced to civilian contractors. There are around 950,000 civilians worldwide in technical/maintenance operations that might previously been done by enlisted service members. This is one way the size of the military has been reduced.

[Deminpenn]

17. That is true

There are also fewer major defense contractors and fewer new weapons systems to keep them in business. I believe right now for the navy/marines the only aircraft still in production is the F18. Defense spending on spare and repair parts isn't that big a part of the big defense contractor's work either.

[VMA131Marine]

19. The Marines and the Navy both use the F-35

which is definitely still in production.

Sikorsky is also building CH-53Ks for the Marines plus there are active UAV programs.

[Javaman]

6. yeah, cool story bro.

[Cheezoholic]

7. Ummm, we're not at war, Russia is a 10th of what it was, the China situation is mostly water

what exactly are they not producing enough of and why does our "defense" budget keep rising anyway? This fucker is grasping at the wind let alone straws. His BS cart is about empty and he's now just slinging hot air.

[popsdenver]

20. He is just slinging his poopy diapers at the wall

and trying to get all of them to stick.........to avoid the Epstein shit, which would bury his ass.

Epstein, Venezuela, and the Corruption through out his entire CABAL, his spawn, and the entire Republican Party could easily bring them all down......... They can't let that happen, so they will just keep on, keeping on......steam rolling the U.S. and any other country they please.......,

[Ol Janx Spirit]

8. The threat of withholding military contracts and payments will certainly snap most of them in line....

The bigger concern is why? If we already have the most fearsome military "by far," why the push to make more equipment faster?

I think we all know why....

And I for one do not like it one bit.

And anyone of Selective Service age or with a kid of that age should feel the same way.



The world needs to pay great attention to this matter!

[ananda]

10. So who's gonna build this equipment?

Bankrupt farmers?

[Raven123]

9. Or they can send Trump a check and all will be forgiven

[ToxMarz]

11. Next up, Trump awarded inaugural Defense Contractors Peace Prize.

[IcyPeas]

13. Yes Sir. Right away Sir. Whatever you want, Sir.

Yes Sir, we agree that executive pay packages in the defense industry are "exorbitant and unjustifiable." We will produce Great Military Equipment for free for you Sir. Anything else Sir? A little touch of gold trim to satisfy your exquisite esthetic sense?


Fuck you trump

[Shipwack]

14. So... he wants the government to have control...

Over the means of production?

Isn’t there a word for that?

[popsdenver]

15. Hey BRDS

I love reading your contributions..................

First, I read Heather Cox Richardson? and then your columns in DU.......

Great job you are doing, uncovering and then covering, all kinds of the best info online!

[BumRushDaShow]

16. Awww thank you.

Just trying to pass on what I hope is useful info to DU!

[Deminpenn]

18. There's an economics of scale element here, too

DoD always promises to buy more aircraft, for ex, than ever will be actually funded. If DoD would buy 15-20 planes a month, the defense contractor would gear up to meet that, planes would be delivered faster and at less cost. But as soon as the promised annual aircratt buys are cut, defense contractors shift resources to commericial commercial contracts and defense production slows down and each unit gets more expensive leading to further decreases in what DoD can afford to buy.