Armored multi-purpose vehicle. (US Army)

A report published by Defense News on Monday revealed that the US army managed to avoid budget cuts thanks to the Ukraine war which has enabled billions of dollars to be funneled into the Pentagon's coffers under presidential drawdown authority.

The Ukraine Supplemental Appropriations Act provides the Pentagon with the required financial boost to modernize the US Army's depots, and arsenal factories, as well as to obtain better deals in light of rampant inflation and other economic challenges, the report states.

The Act provides $47.332 billion in emergency funding to support Ukraine amid its conflict with Russia.

The Army employs parts of the funds as part of its $185.5 billion budget for 2024 to safeguard their programs from sustaining cuts and also to speed them up even if not much growth is reported compared to 2023 with its $178 billion, the report said.

According to Army Secretary Christine Wormuth, part of the Ukraine funds will be allocated to accelerate the Armored Multi-Purpose Vehicle (AMPV) in order to replace the older version, M113 armored personnel carriers, the report states.

The 1st Armored Brigade Combat Team, @3rd_Infantry, is rolling into #Army2030 with new wheels.
The new Armored Multi-Purpose Vehicle replaces the M113 family of vehicles, providing better protection and survivability.
📰 https://t.co/bXsf1JW60Q pic.twitter.com/QwwCkPEoLy
— U.S. Army (@USArmy) March 26, 2023

On another note, Army Chief of Staff Gen. James McConville said that the Army will replace M777 artillery systems that were sent to Ukraine with new High Mobility Artillery Rocket Systems (HIMARS) and will also replenish stockpiles of Stinger with a longer-range version.

Additional funds for Ukraine allocated to the US Army's budget also implies that the Pentagon will seal better and more cost-effective deals to increase the volumes of certain systems to be purchased, the report added.

Regarding HIMARS, the Ukraine fund would allow the army to purchase seven additional launchers in 2025 than initially planned.

Bigger volumes will also allow the army to employ $2 billion to modernize its industrial base, with a focus on 23 depots, arsenals, and ammunition factories.

Earlier this month, the Biden administration suggested allocating $842 billion for next year, a 3.2% increase over the 2023 fiscal year.

The announcement came despite a nationwide banking crisis that has spilled to other parts of the world.