Well, not sure about that...after all, during this period they also were maintaining control of certain forts in American territory, and high-handedly stopping American ships at sea and kidnapping American seamen. This all points to a rather aggressive policy against the United States during this period, and arming the Indians would have fit right into that.
robertp6165
While they were called forts I think they had been formally dis-armed under a prior treaty and were basically outputs continuing trading. The fact that the Indians wanted guns to fight assorted opponents meant the traders found them a profitable item.
With the sailors this was less an aggressive policy against the US than the desperate need to maintain the RN against Napoleon. A lot of the people seized were British [given the ease with which identities could be changed and the flexibility of national identity at the time] but others were Americans who shouldn't have been. This was largely down to unscrupulous local officers and the desire of people higher up not to muddy the waters by admitting any of the people seized weren't actually British.
Britain wanted peace with America because we had a lot on our plate with Napoleon and because trade was mutually profitable. However they didn't want it enough, given the primary aim of winning against Nappy, to pay attention to how determined the US was, for various reasons, to bring the matter to a head. There was an under-estimation of American strength and determination but not any intent on hostility. Hence I think the arming of Indians that occurred, until war broke out, was more economic by local traders than any intentional operation by government officials.
Steve