Cramer's 'Mad Money' Recap: Jet Set Ideas

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When Chinese president Hu Jintao visited the U.S., some people saw it as a sign that China is ready to do more business and be more cooperative with the U.S., Jim Cramer told viewers of his "Mad Money" TV show Friday.

But he said that the visit won't stop intellectual property abuses and closed-off markets on the mainland. Moreover, he cited a Wall Street Journal article saying that China is boosting its defense spending. Plus, the article said that the Chinese military could outpace America's military in the years ahead, specifically in terms of submarine might.

The best play on possible military threats from countries like China, as well as the war in Iraq, is General Dynamics(GD), he said.

Of all the defense companies, he likes General Dynamics because it reported a "magnificent quarter," and he sees a lot of growth for the company.

Not only is the U.S. government buying its combat vehicles, the company's business jet unit is booming.

New maintenance regulations have been passed for jetliners, and that could mean faster retirement of some planes, Cramer said. This could also cost the airline industry an extra $325 million over the next 20 years.

While this is "just another reason to sell airline stocks," he also said that there's a way to make some money.

Cramer said he would consider buying AAR(AIR), a company that takes care of maintenance, repair and construction for the airlines.

If the airlines need to spend millions more on maintenance, then money should go to AAR, he said. AAR just opened an office in Shanghai. He said that there should be a lot of growth there because China is just now repairing, rather than replacing, airline parts.

And the company is not unionized, he said, so it can offer its services for about two-thirds the cost of a union shop.

This will make AAR the attractive option for airline companies, as they are forced to increase spending in repairs.