text: sales of the alrcraft industry and 75 per cent of all new construction in theship-building industry. V Tlne available evidence for France, the Federal Republicof Germany and the united Kingdom reveals a simil,ar concentration of miritaryproduction in selected industries. The miritary share of the annual ducput of lheaerospace industry was 46 per cent in France and 70 to g0 per cenl in the FederalRepublic of cermany. In the united Kingdom, the share in I9g0 lras about50 Per cent (see A/35/356, annex, para. r32). The military shares of these sectorsin the leading arms-producing countries with centrally planned economies areprobably similar to those found in the developed counCries with market economies. 383. rn the Trade and Development Report, 19g2, of the united Na t.ions conference onTrade and Development (UNCTAD), it was statea: Z/ ItIn recent years there has also been a narked trend tovrards the establishmentof arms industries in developing countries, representing a new type ofdiversion of scarce resources away from real econoanic development in the thlrdworld. By Che end.of the 19?0s, about 25 developing countries produced eguipment for their onn armed forces, including some advanced types, and anumber of these countries arso began to export domes tica ll.y-produced weaponsto other det'eloping countries (notably BrazlL, but also fndonesia, Singapore,the Republic of Korea and some others). Among the reasons explaining thisphenoflrenon is the desire to reduce dependence on foreign supplies and to saveon impor ts of arms.,' By 1984, L8 developing countries had designeal and produced at least one type ofmajor weapon, and four others were carrying out licensed production of componentsof major weapons. B/ 384. In itself, the development of the arms industry in the developing countrieswourd slow their economic and socia] progress if it is possibre for them to use lheresources and revenues more efficiently in other sectors. rheir considerabLesuccess with arms industries, incruding a growing vorume of exports as well asproduction for their own use, suggests, m6reover, that with a similar degree ofcomnitment they i,rould be able quite rapidly to develop a rdider range of relativelysophisticated civilian goods industries and to compet.e effectivery rn exporting theproducts of these industries. 9/
analysis: The text discusses the development of the arms industry in various countries, including its share in the overall economy, its impact on economic and social progress, and its potential to divert resources away from other sectors. The text also mentions the trend of developing countries establishing their own arms industries and exporting weapons to other countries. This suggests that the category should be related to economy, industry, and international trade.