Vance announces first-ever major U.S. military technology sale to Armenia worth $11 mn

By Gevorg Tosunyan 

U.S. Vice President J.D. Vance on Monday announced Washington’s first-ever major military technology sale to Armenia, a $11 million deal for U.S.-made reconnaissance drones. The announcement was made during a landmark visit that also highlighted potential U.S. exports worth up to $9 billion and renewed U.S. engagement in the South Caucasus.

The United States will sell reconnaissance drones to Armenia, U.S. Vice President JD Vance announced on Monday in Yerevan during a joint press conference with Armenian Prime Minister Nikol Pashinyan. 

“President Trump knows… the very best way to ensure that you have peace is to establish real deterrents, and the best way to establish real deterrents is with the best military technology in the world,” Vance said. 

Accordingly, he announced that for the first time ever, the United States would make a major sale of military technology to Armenia, in the form of $11 million in surveillance drone technology. 

Addressing the peace process, Vance said: “Peace is not made by cautious people. Peace is not made by people who are too focused on the past. Peace is made by people who focus on the future, and… we’re not just making peace for Armenia, we’re also creating real prosperity for Armenia and the United States together.” 

The Vice President also spoke about the TRIPP program, stressing that it will open new economic opportunities for Armenia. 

“It will bring a radical transformation to the region. A new world will open up for international trade, transit, and energy flows, ensuring unprecedented connectivity between Armenia and neighboring countries. This is excellent not only for the prosperity of the Armenian people, but also beneficial for the peace process,” Vance stated. 

Shield AI MQ-35 V-BAT reconnaissance drone (PHOTO: Shield AI) 

Vance also referred to the U.S. State Department’s recent approval of export licenses for the sale of high-powered NVIDIA chips to Armenia, emphasizing how “these are chips that simply do not exist in most countries around the world,” while data centers utilizing them are already being built in Armenia. 

Speaking about economic investment, he said that the sides also signed a joint statement confirming the completion of negotiations on a cooperation agreement between Armenia and the United States on the peaceful use of nuclear energy (known as a 123 Agreement).

The capabilities of the V-BAT unmanned aerial vehicle, acquired by Armenia from the USA, were presented to the RA Prime Minister and the US Vice President.

“It will pave the way for American and Armenian companies to strike deals on civil nuclear projects. That means up to $5 billion dollars in initial US exports, plus an additional $4 billion in long-term support through fuel and maintenance contracts. This is the classic ‘win-win’ for Armenia and the United States of America.”

Vance added that American-made small modular reactors will be coming to Armenia, one of the proposed options to replace the aging Soviet Metsamor nuclear power plant, which must be decommissioned by 2036. These reactors are still a new technology, with only a few currently in operation, but many more scheduled to come on-line in the coming years. Vance notes that Armenia is one of the few countries that the United States feels comfortable enough to invest in at this level by sending this kind of technology. 

Prime Minister Nikol Pashinyan highlighted the ongoing dialogue in the Armenia–Turkey normalization process in the context of TRIPP, including the reopening of the Gyumri–Kars railway. He also hailed the signing of the joint statement confirming the completion of negotiations on cooperation in the peaceful use of nuclear energy. 

“That agreement will open a new page in the deepening energy partnership between Armenia and the United States and will contribute to the diversification of Armenia’s energy resources through the involvement of safe and innovative technologies,” the Prime Minister said.

Vance is the highest ranking U.S. official and only sitting Vice President to visit Armenia. On Tuesday he will continue his trip by visiting Azerbaijan as well to discuss the peace process and regional connectivity. A number of Armenian figures and organizations, as well as demonstrators who gathered outside the Vance-Pashinyan meeting, have called on Vance to press Azerbaijani President Ilham Aliyev to release the Armenian prisoners being held in Baku.