MADE IN AMERICA MEETS U.S. DEFENSE POLICY
January 26, 2024
On December 7, 2023, Congressional lawmakers unveiled the 3,000-page National Defense Authorization Act (“NDAA”), representing a compromise between earlier versions passed by the Republican-controlled House and Democratic-controlled Senate. While the proposed NDAA language requires more United States military equipment to be made in America, it departs from more stringent Senate-passed language which required every U.S. Navy ship to be manufactured using 100 percent domestically produced materials. The proposed legislation builds upon President Biden’s 2021 executive order requiring 60 percent of each product bought with American taxpayer dollars to contain parts made in the United States.
Aerospace Industries Association and other defense-related organizations voiced opposition to such domestic content requirements, citing negative impacts on foreign relations and rising costs for American made defense products. On the other hand, domestic content requirement proponents point to national security risks associated with sole-source suppliers of critical parts across acquisition programs as evidence that domestic content mitigates the U.S. military’s exposure at home and abroad.
If you have any questions, please contact Evelyn Sahr at 202.659.6622 or esahr@eckertseamans.com; Drew Derco at 202-659-6665 or dderco@eckertseamans.com; Jay Julien at 202.659.6648 or jjulien@eckertseamans.com, or any other attorney at Eckert Seamans with whom you have been working.
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