Chemring sees possible NATO-linked lift after Trump’s victory

WEAPONS maker Chemring expects to benefit if President-elect Donald Trump makes his Nato allies spend more money on defence in future.

Trump has demanded European nations “pay their fair share” to the decades-old military alliance and his ascendancy has raised the prospect of defence spending hikes in Europe.

“It will be interesting to see what happens in the EU. I would see us having an ability to get a share of a spending rise,” chief executive Michael Flowers said.

“It’s far too early to tell what the impact will be but when you look at the names of potential appointments you have some good solid names who will be supportive of the defence effort.”

Defence companies have been in the doldrums over the past 12 months but Chemring pleased investors today after fixing its balance sheet and delivering a solid trading performance.

The shares rose 2.5% to 160.5p. Debt is down more than expected and it surpassed full-year sales targets.