CHAPTER 382—POLICIES AND PLANNING
4811.
National security strategy for national technology and industrial base.
4812.
National Defense Technology and Industrial Base Council.
4813.
National defense program for analysis of the technology and industrial base.
4814.
National technology and industrial base: biennial report.
4815.
Unfunded priorities of the national technology and industrial base: annual report.
4816.
National technology and industrial base: periodic defense capability assessments.
4817.
Industrial Base Fund.
4818.
Data collection authority of President.
4819.
Modernization of acquisition processes to ensure integrity of industrial base.
4820.
National technology and industrial base plans, policy, and guidance.
Editorial Notes
Amendments
2023—Pub. L. 118–31, div. A, title X, §1061(c)(2), Dec. 22, 2023, 137 Stat. 399, added item 4814 and struck out former item 4814 "National technology and industrial base: annual report and quarterly briefings".
2021—Pub. L. 117–81, div. A, title XVII, §1701(f)(10), (s)(2)(B), Dec. 27, 2021, 135 Stat. 2140, 2149, added items 4814 and 4820 and struck out former item 4814 "Annual report to Congress".
§4811. National security strategy for national technology and industrial base
(a) National Security Strategy for National Technology and Industrial Base.—The Secretary of Defense shall develop a national security strategy for the national technology and industrial base. The Secretary shall submit such strategy to Congress as an integrated part of the report submitted under section 4814 of this title. Such strategy shall be based on a prioritized assessment of risks and challenges to the defense supply chain and shall ensure that the national technology and industrial base is capable of achieving the following national security objectives:
(1) Supplying, equipping, and supporting the force structure of the armed forces that is necessary to achieve—
(A) the objectives set forth in the national security strategy report submitted to Congress by the President pursuant to section 108 of the National Security Act of 1947 (50 U.S.C. 3043);
(B) the policy guidance of the Secretary of Defense provided pursuant to section 113(g) of this title; and
(C) the future-years defense program submitted to Congress by the Secretary of Defense pursuant to section 221 of this title.
(2) Sustaining production, maintenance, repair, logistics, and other activities in support of military operations of various durations and intensity.
(3) Maintaining advanced research and development activities to provide the armed forces with systems capable of ensuring technological superiority over potential adversaries.
(4) Reconstituting within a reasonable period the capability to develop, produce, and support supplies and equipment, including technologically advanced systems, in sufficient quantities to prepare fully for a war, national emergency, or mobilization of the armed forces before the commencement of that war, national emergency, or mobilization.
(5) Providing for the development, manufacture, and supply of items and technologies critical to the production and sustainment of advanced military weapon systems within the national technology and industrial base.
(6) Providing for the generation of services capabilities that are not core functions of the armed forces and that are critical to military operations within the national technology and industrial base.
(7) Providing for the development, production, and integration of information technology within the national technology and industrial base.
(8) Maintaining critical design skills to ensure that the armed forces are provided with systems capable of ensuring technological superiority over potential adversaries.
(9) Ensuring reliable sources of services, supplies, and materials that are critical to national security, such as specialty metals, essential minerals, armor plate, and rare earth elements, including by reducing reliance on potential adversaries for such services, supplies, and materials to the maximum extent practicable.
(10) Reducing, to the maximum extent practicable, the presence of counterfeit parts in the supply chain and the risk associated with such parts.
(11) Providing for the provision of drugs, biological products, vaccines, and critical medical supplies required to enable combat readiness and protect the health of the armed forces.
(b) Civil-Military Integration Policy.—The Secretary of Defense shall ensure that the United States attains the national technology and industrial base objectives set forth in subsection (a) through acquisition policy reforms that have the following objectives:
(1) Relying, to the maximum extent practicable, upon the commercial national technology and industrial base that is required to meet the national security needs of the United States.
(2) Reducing the reliance of the Department of Defense on technology and industrial base sectors that are economically dependent on Department of Defense business.
(3) Reducing Federal Government barriers to the use of commercial products, processes, and standards.
(c) Department of Defense Technology and Industrial Base Policy Guidance.—
(1) Departmental Guidance.—The Secretary of Defense shall prescribe departmental guidance for the attainment of each of the national security objectives set forth in subsection (a).
(2) Purpose of Guidance.—The guidance prescribed pursuant to paragraph (1) shall provide for technological and industrial capability considerations to be integrated into the strategy, management, budget allocation, acquisition, and logistics support decision processes.
(Added Pub. L. 102–484, div. D, title XLII, §4211, Oct. 23, 1992, 106 Stat. 2662, §2501; amended Pub. L. 103–35, title II, §201(c)(7), May 31, 1993, 107 Stat. 98; Pub. L. 103–160, div. A, title XI, §1182(a)(10), title XIII, §1313, Nov. 30, 1993, 107 Stat. 1771, 1786; Pub. L. 104–106, div. A, title X, §1081(a), Feb. 10, 1996, 110 Stat. 452; Pub. L. 104–201, div. A, title VIII, §829(a), Sept. 23, 1996, 110 Stat. 2612; Pub. L. 111–23, title III, §303(a), May 22, 2009, 123 Stat. 1731; Pub. L. 111–383, div. A, title VIII, §895(b), Jan. 7, 2011, 124 Stat. 4314; Pub. L. 112–239, div. A, title XVI, §1603(a)(1), Jan. 2, 2013, 126 Stat. 2062; Pub. L. 113–291, div. A, title X, §1071(c)(2), Dec. 19, 2014, 128 Stat. 3508; Pub. L. 114–328, div. A, title VIII, §882, Dec. 23, 2016, 130 Stat. 2316; Pub. L. 116–92, div. A, title VIII, §846(a), Dec. 20, 2019, 133 Stat. 1503; renumbered §4811 and amended Pub. L. 116–283, div. A, title VII, §713(a), title XVIII, §1867(b), (c)(1), Jan. 1, 2021, 134 Stat. 3692, 4281; Pub. L. 118–31, div. A, title VIII, §851, title X, §1061(b), Dec. 22, 2023, 137 Stat. 343, 398.)
Editorial Notes
Codification
The text of subsecs. (a) and (b) of section 2506 of this title, which were transferred to this section and redesignated as pars. (1) and (2), respectively, of subsec. (c), by Pub. L. 116–283, §1867(c)(1)(B), was based on Pub. L. 102–484, div. D, title XLII, §4216(a), Oct. 23, 1992, 106 Stat. 2668; Pub. L. 104–201, div. A, title VIII, §829(d), Sept. 23, 1996, 110 Stat. 2613; Pub. L. 111–383, div. A, title VIII, §895(d), Jan. 7, 2011, 124 Stat. 4314; Pub. L. 115–91, div. A, title X, §1051(a)(18), Dec. 12, 2017, 131 Stat. 1561; Pub. L. 116–283, div. A, title XVIII, §1867(c)(1)(B), Jan. 1, 2021, 134 Stat. 4281.
Amendments
2023—Subsec. (a). Pub. L. 118–31, §1061(b), in introductory provisions, substituted "The Secretary shall submit such strategy to Congress as an integrated part of the report submitted under section 4814 of this title." for "The Secretary shall submit such strategy to Congress not later than 180 days after the date of submission of the national security strategy report required under section 108 of the National Security Act of 1947 (50 U.S.C. 3043)."
Subsec. (a)(9). Pub. L. 118–31, §851, inserted "services, supplies, and" before "materials" and ", including by reducing reliance on potential adversaries for such services, supplies, and materials to the maximum extent practicable" before period at end.
2021—Pub. L. 116–283, §1867(b), renumbered section 2501 of this title as this section.
Subsec. (a)(11). Pub. L. 116–283, §713(a), added par. (11).
Subsec. (c). Pub. L. 116–283, §1867(c)(1)(B), transferred subsecs. (a) and (b) of section 2506 of this title to subsec. (c), redesignated such provisions as pars. (1) and (2), respectively, and realigned margins.
Pub. L. 116–283, §1867(c)(1)(A), added subsec. (c).
Subsec. (c)(1). Pub. L. 116–283, §1867(c)(1)(B)(i), substituted "subsection (a)" for "section 2501(a) of this title".
Subsec. (c)(2). Pub. L. 116–283, §1867(c)(1)(B)(ii), substituted "paragraph (1)" for "subsection (a)".
2019—Subsec. (a). Pub. L. 116–92 inserted "The Secretary shall submit such strategy to Congress not later than 180 days after the date of submission of the national security strategy report required under section 108 of the National Security Act of 1947 (50 U.S.C. 3043)." after first sentence.
2016—Subsec. (b). Pub. L. 114–328, in introductory provisions, substituted "The Secretary of Defense shall ensure that the United States attains" for "It is the policy of Congress that the United States attain".
2014—Subsec. (a)(1)(A). Pub. L. 113–291 substituted "(50 U.S.C. 3043)" for "(50 U.S.C. 404a)".
2013—Pub. L. 112–239, §1603(a)(1)(A), substituted "strategy for" for "objectives concerning" in section catchline.
Subsec. (a). Pub. L. 112–239, §1603(a)(1)(B)(i), (ii), substituted "Strategy" for "Objectives" in heading and "The Secretary of Defense shall develop a national security strategy for the national technology and industrial base. Such strategy shall be based on a prioritized assessment of risks and challenges to the defense supply chain and shall ensure that the national technology and industrial base is capable of achieving the following national security objectives:" for "It is the policy of Congress that the national technology and industrial base be capable of meeting the following national security objectives:" in introductory provisions.
Subsec. (a)(9), (10). Pub. L. 112–239, §1603(a)(1)(B)(iii), added pars. (9) and (10).
2011—Subsec. (a)(1). Pub. L. 111–383, §895(b)(1), substituted "Supplying, equipping, and supporting" for "Supplying and equipping" in introductory provisions.
Subsec. (a)(2). Pub. L. 111–383, §895(b)(2), substituted "logistics, and other activities in support of" for "and logistics for".
Subsec. (a)(4). Pub. L. 111–383, §895(b)(3), substituted ", produce, and support" for "and produce".
Subsec. (a)(6) to (8). Pub. L. 111–383, §895(b)(4), added pars. (6) and (7) and redesignated former par. (6) as (8).
2009—Subsec. (a)(6). Pub. L. 111–23 added par. (6).
1996—Pub. L. 104–106, §1081(a)(2), substituted "National security objectives concerning national technology and industrial base" for "Congressional defense policy concerning national technology and industrial base, reinvestment, and conversion" as section catchline.
Subsec. (a). Pub. L. 104–106, §1081(a)(1)(A)(i), substituted "National Security" for "Defense Policy" in heading.
Subsec. (a)(5). Pub. L. 104–201 added par. (5).
Pub. L. 104–106, §1081(a)(1)(A)(ii), struck out par. (5) which read as follows: "Furthering the missions of the Department of Defense through the support of policy objectives and programs relating to the defense reinvestment, diversification, and conversion objectives specified in subsection (b)."
Subsecs. (b), (c). Pub. L. 104–106, §1081(a)(1)(B), (C), redesignated subsec. (c) as (b) and struck out former subsec. (b) which stated policy objectives of Congress relating to defense reinvestment, diversification, and conversion.
1993—Subsec. (a)(1)(A). Pub. L. 103–35 substituted "section 108" for "section 104".
Subsec. (a)(5). Pub. L. 103–160, §1313, added par. (5).
Subsec. (b)(2). Pub. L. 103–160, §1182(a)(10), substituted "that, by reducing the public sector demand for capital, increases the amount of capital available" for "and thereby free up capital".
Statutory Notes and Related Subsidiaries
Effective Date of 2021 Amendment
Amendment by section 1867(b), (c)(1) of Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.
Acceptance of Civil Aviation Authority Certification
Pub. L. 119–60, div. A, title VIII, §832(b), Dec. 18, 2025, 139 Stat. 962, provided that:
"(1) In general.—The Secretary of Defense may not conduct a separate review and approval process for aircraft parts and components and repair processes that have been approved by a civil aviation authority under a Parts Manufacturer Approval or Designated Engineering Representative spare or repair certification and approval processes unless—
"(A) a written justification for such additional review and approval process is approved by the commander of a systems command of a military service; and
"(B) the Secretary submits such justification to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives].
"(2) Update to source approval request process.—Not later than June 1, 2026, the Secretary of Defense shall update the Defense Logistics Agency Source Approval Request process to establish a uniform evaluation and acceptance methodology, applicable across all military services, pursuant to which spares or repairs with civil aviation authority approval, as described in paragraph (1), shall be qualified for use on military aircraft that have a civil equivalent without requiring an additional, separate certification from the Department of Defense, regardless of whether such spares or repairs are determined to be safety critical items or mission critical items (as defined in section 865(l) of the National Defense Authorization Act for Fiscal Year 2025 [section 865(1) of Pub. L. 119–60, set out in a note below] (as added by subsection (a)))."
Acceleration of Qualification of Compliant Sources
Pub. L. 119–60, div. A, title VIII, §837, Dec. 18, 2025, 139 Stat. 968, provided that:
"(a) Establishment.—
"(1) In general.—Not later than 180 days after the date of the enactment of this Act [Dec. 18, 2025]—
"(A) the Secretary of Defense shall establish in the collaborative forum described in section 1844(a) of this Act [section 1844(a) of div. A of Pub. L. 119–60, set out in a note below] a working group; and
"(B) such working group shall develop recommendations for—
"(i) enhancing the exchange of information between the Department of Defense and contractors of the defense industrial base about compliant materials; and
"(ii) accelerating the qualification of such materials for use by the Department of Defense and the integration of such materials into the supply chains of contractors of the Department of Defense.
"(2) Responsibilities.—The working group established under paragraph (1) shall—
"(A) identify processes for exchanging information about compliant materials between the Department of Defense and contractors of the defense industrial base while maintaining appropriate safeguards of commercially proprietary information;
"(B) identify processes and procedures to streamline the identification, testing, and qualification of compliant sources and compliant materials;
"(C) seek to reduce the unnecessary application of requirements that are specific to a single Armed Force for identification, testing, and qualification of compliant sources and compliant material;
"(D) provide a forum for the Army, Navy, Air Force, Marine Corps, and Space Force and other elements of the Department of Defense to share technical and supply chain data related to requirements for covered materials;
"(E) identify compliant sources at each step of the supply chain, to the extent that such supply chains are subject to subchapter III of chapter 385 of title 10, United States Code;
"(F) at least once a quarter, publish for the members of the working group and for the Under Secretary of Defense for Acquisition and Sustainment, a list of compliant sources for each critical material, including a general description of what step of the supply chain in which each compliant source is participating, if any;
"(G) develop and recommend processes to enable the Department of Defense to rapidly identify, qualify, and integrate compliant materials into programs of the Department at scale;
"(H) seek to reduce future requirements for critical materials in defense systems by encouraging contractors of the Department of Defense to design and develop systems that use commercially available critical materials, when such materials are capable of meeting mission needs;
"(I) seek input from small and nontraditional contractors and ensure the working group considers the unique attributes of such businesses in carrying out the responsibilities of the working group under this subsection;
"(J) develop and provide recommendations to reduce impediments or disincentives for a supplier of an end item to the Department of Defense to revise a supply chain agreement or other arrangement to eliminate the reliance of the supplier on noncompliant sources;
"(K) any other matters assigned to the working group by the Secretary; and
"(L) provide the Secretary with timely recommendations developed pursuant to this section.
"(b) Definitions.—In this section:
"(1) The term 'compliant source' means an entity engaged in the production, manufacture, or distribution of a critical material that is compliant with the requirements of subchapter III of chapter 385 of title 10, United States Code.
"(2) The term 'compliant material' means critical material that is sourced from a compliant source.
"(3) The term 'critical material' means a material subject to sourcing restrictions under subchapter III of chapter 385 of title 10, United States Code.
"(4) The term 'end item' has the meaning given such term in section 4863 of title 10, United States Code."
Improving the Domestic Textile and Industrial Base
Pub. L. 119–60, div. A, title VIII, §865, Dec. 18, 2025, 139 Stat. 991, provided that:
"(a) Industrial Base Analysis and Sustainment Automated Textile Manufacturing.—
"(1) In general.—Subject to the availability of appropriations, the Secretary of Defense, acting through the Director of the Industrial Base Analysis and Sustainment Office of the Department of Defense, shall ensure that the Textile Automation to Enhance Domestic Military Production program continues public-private partnerships and investments into technological advancement of the domestic textile and footwear industrial base.
"(2) Allowable investments.—The investments pursuant to paragraph (1) may include—
"(A) recapitalization of facilities related to domestic textile and footwear development or production;
"(B) efficient vertical integration of such existing facilities;
"(C) expanding domestic production capacity of textiles or footwear;
"(D) implementing technological advancements to improve efficiency and quality assurance of domestic textiles or footwear; and
"(E) any other investment that would encourage the maturation and qualification of domestic sources of textiles or footwear—
"(i) to ensure competition and reduce the reliance of the Department of Defense on textiles and footwear from foreign manufacturers for which an exception granted under section 4862(c) of title 10, United States Code, applies; or
"(ii) that the Assistant Secretary of Defense for Industrial Base Policy determines necessary for the health of the industrial base.
"(b) Defense Contract Management Agency Requirements.—
"(1) In general.—The Secretary of Defense shall prioritize ensuring that the Defense Contract Management Agency has the necessary resources, including personnel, to carry out the duties of the Defense Contract Management Agency with respect to the oversight of contracts of the Department of Defense.
"(2) Briefing.—
"(A) Not later than April 1, 2026, the Secretary of Defense shall provide to the Committees on Armed Services of the Senate and House of Representatives a briefing on the plan of the Department of Defense to ensure that the Defense Contract Management Agency has the necessary resources, including personnel, to carry out the duties of the Defense Contract Management Agency with respect to oversight travel of existing contracts of the Department and prioritize oversight over the compliance with section 4862 of title 10, United States Code.
"(B) The plan described in subparagraph (A) shall include—
"(i) to the extent available, an analysis from a federally funded research and development center on the resources, including personnel, required for the Defense Contract Management Agency to enable the Defense Contract Management Agency to carry out the duties of the Defense Contract Management Agency with respect to the oversight of contracts of the Department of Defense; and
"(ii) a plan to ensure that, not later than September 30, 2030, the Defense Contract Management Agency has the required resources, including personnel, to effectively oversee the compliance of the Department of Defense with section 4862 of title 10, United States Code.
"(c) Defense Logistics Agency and Military Services Contracting Requirements.—
"(1) The Director of the Defense Logistics Agency in coordination with the Secretary concerned for each covered Armed Force, shall develop a strategy to maximize the use of annual or, where applicable, multi-year contracts by the Department of Defense for acquisitions involving the domestic textile or footwear industries to ensure the long-term stability and predictability of the requirements of the Department with respect to the goods or services acquired from such industries.
"(2) The Secretary concerned for each covered Armed Force shall, on an annual basis, submit to the Director of the Defense Logistics Agency the requirements of such covered Armed Force for textiles and footwear for the year and the funding necessary to meet such requirements, subject to the availability of funds authorized for such purpose.
"(3)(A) The Secretary concerned for each covered Armed Force shall aggregate data on the annual requirement of each covered Armed Force for common items, to ensure the Director of the Defense Logistics Agency can maximize efficiency and cost effectiveness in the acquisition of such common items.
"(B) The data the Secretary concerned for a covered Armed Force is required to aggregate under subparagraph (A) shall include the requirements of the covered Armed Force concerned for the upcoming fiscal year for common items.
"(C) The Secretary concerned for each covered Armed Force shall aggregate the annual requirement of each covered Armed Force common items and incorporate such aggregate requirement into the next fiscal years program objective memorandum process of such Armed Force.
"(4)(A) The Director of the Defense Logistics Agency shall, to the maximum extent practicable, use the aggregate data described in paragraph (3)(A) to execute annual contracts for common items and textiles and footwear required by only one of the covered Armed Forces to support the long-term stability of the domestic textile and footwear industries.
"(B)(i) If the Director of the Defense Logistics Agency does not receive the requirements and funding described in paragraph (2) for a covered Armed Force for a year, or such other information required for the Director to acquire textiles and footwear meeting such requirements for such year, the Director may waive subparagraph (A) of this paragraph with respect to such requirements.
"(ii) Not later than 30 days after the date on which the Director of the Defense Logistics Agencies issues a waiver under clause (i), the Director shall submit to the Committees on Armed Services of the Senate and House of Representatives a notice of such waiver, including an explanation of the rational for granting such waiver.
"(5) In this section—
"(A) the term 'covered Armed Force' means the Army, Navy, Air Force, Marine Corps, or Space Force;
"(B) the term 'common item' mean a textile or footwear required by more by than one of the covered Armed Forces; and
"(C) the term 'Secretary concerned' has the meaning given such term in section 101(a) of title 10, United States Code.
"(d) Expanding Competition and Sourcing in the Domestic Textile and Footwear Industrial Base.—
"(1) In general.—Not later than one year after the date of the enactment of this Act [Dec. 18, 2025], the Director of the Defense Logistics Agency shall conduct an assessment of the textile and footwear industrial base producing textiles and footwear described in subsection (b) of section 4862 of title 10, United States Code, that are not subject to the prohibition under subsection (a) of such section to assess the resilience of the supply chain of the domestic textile and footwear industries.
"(2) Contents.—The assessment required under paragraph (1) shall include the following:
"(A) An identification of the textile and footwear goods supplied to the Department of Defense by a single source.
"(B) Data pertaining to past delays in the delivery of textiles and footwear resulting from rigidity in the supply chains of the domestic textile and footwear industrial base, including an assessment of any challenges related to the capacity of the domestic textile and footwear industrial base to meet any surge or contingency requirements of the Department of Defense for textiles or footwear.
"(C) An analysis of the capability of the domestic textile and footwear industrial base to mitigate the risk posed by rigidity in the supply chains of the domestic textile and footwear industrial base and the challenges to the domestic textile and footwear industrial base meeting the surge and contingency requirements of the Department of Defense for textiles or footwear, including—
"(i) opportunities for public-private partnerships to enable recapitalization of manufacturing lines or vertical integration;
"(ii) opportunities for increased flexibility in production, including adjustments to accommodate both increases in requirements for textiles or footwear and manufacturing of new or different textiles or footwear; and
"(iii) an assessment of any ongoing research and development initiatives by either the Department of Defense or domestic industry to meet any requirements for textiles or footwear that are currently covered by a waiver under section 4862(c) of title 10, United States Code.
"(D) An identification of any regulations or processes of the Department of Defense impeding the supply chain resilience of the domestic textile and footwear industries.
"(E) An identification of opportunities for the Department of Defense to make additional investments into the domestic textile and footwear industries to increase production capacity such industries, facilitate greater competition, and reduce the reliance of the Department on textiles and footwear from foreign manufacturers for which an exception granted under section 4862(c) of title 10, United States Code, applies.
"(e) Briefing Required.—
"(1) In general.—Not later than September 30, 2026, the Secretary of Defense shall provide to the Committees on Armed Services of the Senate and House of Representatives a briefing on the implementation of subsections (a), (b), and (c) of this section and in carrying out subsection (d).
"(2) Contents.—The briefing required by paragraph (1) shall include—
"(A) an explanation of the progress made in carrying out the requirements under subsections (a) through (d);
"(B) a timeline for completion of each such requirement; and
"(C) an identification of any barriers, including any legislative authorities, policies, and resource deficiencies, to carrying out such requirements.
"(f) Combat Boot Quality Assurance Program.—
"(1) In general.—Not later than January 1, 2027, the Secretary concerned for each covered Armed Force that does not operate a program for certifying combat boots as meeting uniform regulations regarding durability, quality, and uniform standards shall establish in such covered Armed Force a process to certify that combat boots used by members of such covered Armed Force meet uniform regulations regarding durability, quality, and uniform standards.
"(2) Study required.—
"(A) The Secretary concerned for each covered Armed Force shall conduct a study assessing the service requirements for combat boots for such covered Armed Force to determine the requirements for certifying combat boots under the program established in such covered Armed Force under paragraph (1) as meeting uniform regulations regarding durability, quality, and uniform standards.
"(B) The study required under subparagraph (A) shall include an identification of—
"(i) general requirements for wear, durability and quality;
"(ii) specialty-specific requirements based on the duties and operating environments of members of Armed Forces; and
"(iii) minimum requirements for biomechanics for the health and readiness of such members.
"(3) Briefing required.—Not later than 180 days after the date of the enactment of this section [Dec. 18, 2025], and not less frequently than every three months thereafter until the Secretary concerned for a covered Armed Force establishes the program required under paragraph (1) in such covered Armed Force and completes the study required under paragraph (2), such Secretary concerned shall provide to the Committees on Armed Services for the Senate and House of Representatives a briefing on the progress towards establishing such program and completing such study."
Small-UAS Industrial Base Working Group
Pub. L. 119–60, div. A, title IX, §914, Dec. 18, 2025, 139 Stat. 1019, provided that:
"(a) Establishment.—Not later than January 15, 2026, the Deputy Secretary of Defense shall establish a working group to be known as the 'Small-UAS Industrial Base Working Group' (referred to in this section as the 'Working Group') to analyze the supplier base for small-UAS systems and recommend investments or other actions to improve such supplier base.
"(b) Members.—The Working Group shall be composed of the following members:
"(1) The Deputy Secretary of Defense.
"(2) The Assistant Secretary of Defense for Industrial Base Policy.
"(3) The Director of the Defense Autonomous Warfare Group.
"(4) One or more representatives of the Defense Innovation Unit.
"(5) The service acquisition executive of each military department.
"(6) One or more representatives from the Army Materiel Command.
"(7) One or more representatives from the United States Special Operations Command.
"(8) Such other members as the Deputy Secretary of Defense determines appropriate.
"(c) Director of Working Group.—The Director of the Defense Autonomous Warfare Group shall serve as the Director of the Working Group.
"(d) Responsibilities.—The Working Group shall have the following responsibilities:
"(1) Analyzing the current capacity of the sUAS industrial base, including manufacturers of complete sUAS systems and suppliers of components for such systems.
"(2) Identifying likely investments by entities in the sUAS industrial base to remediate fragile supply chains and supply chains for systems or components for which there are limited or no domestic suppliers, taking into account reasonable estimates of Federal Government and commercial demand and ensuring that private investment is leveraged to the greatest extent practicable.
"(3) Developing plans for investments and other actions to remediate fragile or non-U.S. suppliers, including the following:
"(A) Continued Federal Government purchases of significant numbers of sUAS systems.
"(B) Partnerships between entities in the sUAS industrial base and the Federal Government, including—
"(i) the SkyFoundry initiative of the Army Materiel Command;
"(ii) arrangements for companies in the sUAS industrial base to operate commercially-owned, commercially-operated production facilities on sites within the United States organic industrial base;
"(iii) arrangements for the establishment of Government-owned, contractor-operated sUAS component production facilities on such sites; and
"(iv) arrangements for the establishment of Government-owned, Government-operated sUAS component production facilities on such sites.
"(C) Identifying sUAS capabilities that are required by the Army, Navy, Air Force, Marine Corps, and Space Force, but which commercial industry cannot or is not expected to fulfill.
"(D) Identifying opportunities for public-private partnerships to support the incubation and innovation of sUAS technology.
"(4) Identifying potential changes in qualification processes for sUAS components that could enable greater commercial production of such components and sUAS systems.
"(e) Reports.—
"(1) Initial report.—Not later than April 1, 2026, the Working Group shall submit to the Deputy Secretary of Defense and the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] a report that includes—
"(A) an initial assessment of the sUAS industrial base;
"(B) a summary of the aggregate demand signal made by the Federal Government for sUAS production as of the date of the report;
"(C) a summary of the future projected demand signal by the Federal Government for sUAS production;
"(D) a description of the likely investments in the sUAS component supplier base by commercial industry over the period of 18 months following the date of the report;
"(E) recommendations for investments or other actions to strengthen the sUAS industrial base to optimally meet aggregate Federal Government and commercial demand; and
"(F) an assessment of the Sky Foundry initiative of the Army to determine how that initiative is expected to—
"(i) assist the Army in meeting its sUAS requirements at a competitive cost; and
"(ii) materially impact the health of the sUAS industrial base.
"(2) Biannual reports.—Not less frequently than once every 180 days following the submittal of the initial report under paragraph (1), the Working Group shall submit to the Deputy Secretary of Defense and the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] an updated version of the report.
"(f) Authorization of SkyFoundry Program.—The Secretary of the Army may establish a SkyFoundry program if—
"(1) the Working Group has submitted the initial report required under subsection (e)(1) to the congressional defense committees; and
"(2) the Deputy Secretary of Defense certifies to such committees that the SkyFoundry program—
"(A) will improve the ability of the Army to rapidly field sUAS systems at a competitive cost; and
"(B) will not negatively impact the commercial sUAS industrial base.
"(g) Definitions.—In this section:
"(1) The term 'small-UAS' or 'sUAS' means an unmanned aircraft system designated as Group 1, Group 2, or Group 3 in the Unmanned Aircraft Systems Categorization Chart set forth in chapter III of the Department of Defense Joint Publication 3-30 (relating to 'Joint Air Operations'), or any successor to such categorization system.
"(2) The term 'sUAS component' means any of following components for sUAS systems:
"(A) Brushless motors.
"(B) Batteries.
"(C) Antennae.
"(D) Flight controllers, including printed circuit boards.
"(E) Wiring harnesses.
"(F) Rotors.
"(G) Blades and propellers.
"(H) Chassis, bodies, and frames.
"(I) Sensors, including electro-optical and infra-red sensors, GPS, and other such sensors."
Partnership for Indo-Pacific Industrial Resilience
Pub. L. 119–60, div. A, title XII, §1253, Dec. 18, 2025, 139 Stat. 1113, provided that:
"(a) Establishment.—The Secretary of Defense, in coordination with the Secretary of State, shall establish and maintain an initiative, to be known as the 'Partnership for Indo-Pacific Industrial Resilience' (referred to in this section as the 'Initiative'), to strengthen cooperation among the defense industrial bases of the United States and allied and partner countries in the Indo-Pacific region and other countries supporting Indo-Pacific defense industrial resilience.
"(b) Objectives.—The objectives of the Initiative shall be the following:
"(1) To enable the production and supply of the material necessary for equipping the Armed Forces of the United States and the military forces of allied and partner countries to achieve—
"(A) the objectives set forth in the most recent national security strategy report submitted to Congress by the President pursuant to section 108 of the National Security Act of 1947 (50 U.S.C. 3043);
"(B) the policy guidance of the Secretary of Defense provided pursuant to section 113(g) of title 10, United States Code; and
"(C) the future-years defense program submitted to Congress by the Secretary of Defense pursuant to section 221 of title 10, United States Code.
"(2) To strengthen the collective defense industrial base by expanding industrial base capability, capacity, and workforce, including with respect to enhanced supply chain security, interoperability, and resilience among participating countries.
"(3) To identify and mitigate industrial base vulnerabilities across partner countries.
"(4) To advance research and development activities to provide the Armed Forces of the United States and the military forces of allied and partner countries with systems capable of ensuring technological superiority over potential adversaries.
"(5) To promote co-development, co-production, and procurement collaboration in key defense sectors.
"(6) To promote defense innovation, improve information sharing, encourage standardization, reduce barriers to cooperation, and otherwise mitigate potential vulnerabilities and facilitate collaboration.
"(7) Any other matter the Secretary of Defense considers appropriate.
"(c) Designation of Senior Official.—
"(1) In general.—Not later than 180 days after the date of the enactment of this Act [Dec. 18, 2025], the Secretary of Defense shall designate a senior civilian official of the Department of Defense at the Assistant Secretary level or above to lead relevant efforts of the Initiative, as determined by the Secretary.
"(2) Notification.—Not later than 30 days after the date on which the Secretary of Defense makes or changes a designation under paragraph (1), the Secretary shall submit to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] a notification of such designation or change.
"(d) Participation.—The Secretary of Defense, in coordination with the Secretary of State, shall establish a process to determine which allies and partners of the United States (including Australia, Japan, the Republic of Korea, India, the Philippines, and New Zealand) shall be invited to participate as member countries of the Initiative.
"(e) Authorities.—To carry out this section, the Secretary of Defense may do the following:
"(1) Enter into agreements and memoranda of understanding with appropriate counterparts from participating countries.
"(2) Establish working groups and technical exchanges.
"(3) Provide technical assistance and capacity-building support to partner countries using authorities available to the Secretary under title 10, United States Code.
"(4) Engage with industry, capital providers, academia, and any other stakeholders necessary to advance the objectives described in subsection (b).
"(f) Report and Briefing.—
"(1) Report.—
"(A) In general.—Not later than March 1, 2027, and annually thereafter through 2031, the Secretary of Defense shall submit to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives], the Committee on Foreign Affairs of the House of Representatives, and the Committee on Foreign Relations of the Senate a report on the status and progress of the Initiative.
"(B) Elements.—Each report required by subparagraph (A) shall include the following:
"(i) An assessment of shared industrial base vulnerabilities.
"(ii) An overview of efforts among participating countries to enhance supply chain integrity and resilience.
"(iii) A description of any joint defense production or co-development initiative, including any such initiative involving sensitive or classified technologies.
"(iv) An articulation of priority initiatives for the upcoming fiscal year.
"(v) Recommendations for legislative, regulatory, policy, or resourcing changes to achieve the objectives described in subsection (b).
"(vi) Any other matter the Secretary of Defense considers appropriate.
"(2) Briefing.—Not later than December 1, 2026, and annually thereafter through 2030, the Secretary of Defense shall provide the congressional defense committees, the Committee on Foreign Affairs of the House of Representatives, and the Committee on Foreign Relations of the Senate with a briefing on the progress made toward achieving the objectives described in subsection (b).
"(g) Termination.—The authority under this section shall terminate on December 31, 2030."
Civil Reserve Manufacturing Network
Pub. L. 119–60, div. A, title XVIII, §1841(a)–(e), Dec. 18, 2025, 139 Stat. 1254, provided that:
"(a) Civil Reserve Manufacturing Network Support.—
"(1) In general.—Not later than 90 days after the date of the enactment of this Act [Dec. 18, 2025], the Secretary of Defense shall direct the collaborative forum described in section 1844(a) of this Act [section 1844(a) of div. A of Pub. L. 119–60, set out in a note below] to, in collaboration with relevant government, industry, and academic entities, support the establishment of the Civil Reserve Manufacturing Network (in this section referred to as the 'CRMN') to preserve the military advantage of the United States and broaden domestic manufacturing capability and capacity in the defense industrial base.
"(2) Responsibilities.—In carrying out paragraph (1), the collaborative forum shall—
"(A) identify laws, regulations, and policies impeding the establishment of the CRMN;
"(B) develop recommendations for the establishment and the operation of the CRMN, including—
"(i) incentives for manufacturers to participate in the CRMN;
"(ii) incentives or other considerations to address the risk of loss of manufacturing to the commercial customers of manufacturers participating in the CRMN if the Secretary of Defense activates the CRMN;
"(iii) producing a registry, to be known as the 'National Manufacturing Registry', to inventory the manufacturing capabilities of the United States to inform and support the development of the CRMN; and
"(iv) creating an index, to be known as the 'Materiel Compatibility Index', to identify where existing equipment, capabilities, and skill sets of commercial manufacturing could be converted to support requirements of the Department of Defense; and
"(C) submit to the Secretary a list of the laws, regulations, and policies identified under subparagraph (A) and the recommendations developed under subparagraph (B).
"(b) Plan.—
"(1) In general.—Not later than 180 days after the date of enactment of this Act, the Secretary shall submit to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] a plan for establishing the CRMN, including—
"(A) a strategy to leverage government-owned manufacturing capabilities in partnership with the CRMN to support the requirements of the Department of Defense;
"(B) a plan, informed by the Material Compatibility Index, to develop a network of commercial manufacturing capabilities or facilities that can rapidly convert from commercial manufacturing or production to Department of Defense-directed manufacturing or production upon activation of the CRMN;
"(C) an identification of laws, regulations, and policies impeding the establishment of the CRMN, with recommendations to streamline such establishment;
"(D) an identification and assessment of existing public-private partnership authorities suitable for use by manufacturers participating in the CRMN to broaden domestic manufacturing capability and capacity in the defense industrial base, along with recommendations to expand such authorities to enable the integration of commercial advanced manufacturing systems, materials, and practices with organic industrial base requirements;
"(E) a list of existing Centers of Industrial and Technical Excellence designated pursuant to section 2474 of title 10, United States Code, and compatible maintenance and repair capability for potential CRMN integration; and
"(F) recommendations for the official or officials of the Department who should be authorized to activate the CRMN and criteria for activating the CRMN, including recommendations related to a phased activation of the CRMN reflecting stages of competition and conflict.
"(2) Considerations.—The plan required under paragraph (1) shall incorporate, to the extent practicable, recommendations of the collaborative forum.
"(c) Civil Reserve Manufacturing Network Program.—
"(1) Upon the submission of the plan required under subsection (b)(1), the Secretary shall—
"(A) establish a program under which the Secretary shall manage and operate the CRMN; and
"(B) initiate the establishment of the CRMN.
"(2) Each participant shall enter into an agreement with the Secretary to rapidly convert, on such terms as agreed to by the Secretary and the participant, production facilities to Department of Defense-directed manufacturing or production upon the activation of the CRMN.
"(3) Not later than 540 days after the date of enactment of this Act, the Secretary shall seek to enter into agreements with not fewer than two manufacturers, including advanced manufacturers, to participate in the CRMN.
"(4) Each participant shall be eligible for—
"(A) the use of the expedited procedures for qualification, certification, and testing of the products and services of such participant under section 865 of the Servicemember Quality of Life National Defense Authorization Act for Fiscal Year 2025 (Public Law 118–159; 10 U.S.C. 4811 note) [set out below]; and
"(B) subject to the availability of appropriations, awards under the program established under paragraph (1) for—
"(i) costs associated with expedited qualification and testing of goods manufactured by participants using an advanced manufacturing crisis qualification framework established under section 3243(e) of title 10, United States Code; and
"(ii) costs associated with non-recurring engineering activities required to convert traditional product specifications for use in advanced manufacturing.
"(5) In carrying out the program established under paragraph (1), the Secretary shall encourage participants to prioritize converting existing commercial or dual-use manufacturing capabilities or facilities to Department of Defense-directed manufacturing or production pursuant to the activation of the CRMN.
"(6) None of the funds made available to a participant under the program established under paragraph (1) may be used for planning, design, or construction of a new advanced manufacturing facility.
"(7) The Secretary shall require each participant that receives an award under the program established under paragraph (1) to certify to the Secretary, at the time such award is made and annually thereafter, that none of the amounts of such award have been used for the planning, design, or construction of a new advanced manufacturing facility.
"(8) For the purposes of this section, the Secretary, or such other person authorized to activate the CRMN, activates the CRMN when the Secretary or such other person issues a notice to the participants that the Secretary or such other person that the CRMN is being activated.
"(d) Interim Report.—Not later than 540 days after the date of enactment of this Act, the Secretary shall submit to the congressional defense committees—
"(1) a report on progress of establishing the CRMN, including—
"(A) an assessment of a factory-as-a-service model to enable CRMN establishment, reduce the Government costs, minimize obsolescence of participating manufacturing capabilities, and enable rapid scaling;
"(B) an analysis of opportunities for improved efficiency and reductions in costs through the use of advanced manufacturing and value engineering, without sacrificing performance, reliability, quality, or safety;
"(C) any additional findings by the Secretary related to laws, regulations, or policies constraining participation in, or the operations or effectiveness of, the CRMN, and recommendations to streamline the management, oversight, and execution of the CRMN; and
"(D) an assessment of the effectiveness of any incentive structure implemented to mitigate the risk described in section (a)(2)(B)(ii); and
"(2) a strategy to transition castings or forgings capabilities used to meet the needs of the Department of Defense that are experiencing delays or cost overruns to advanced manufacturing under the CRMN.
"(e) Definitions.—In this section:
"(1) The term 'advanced manufacturer' means a manufacturer that uses advanced or adaptive manufacturing.
"(2) The term 'advanced manufacturing' has the meaning given such term in section 4841(f) of title 10, United States Code, as added by this section.
"(3) The term 'Civil Reserve Manufacturing Network' means a network of manufacturers partnering with the Secretary to rapidly convert commercial manufacturing capabilities or facilities from commercial manufacturing or production to Department of Defense-directed manufacturing or production.
"(4) The term 'collaborative forum' means the collaborative forum described in section 1844(a) of this Act.
"(5) The term 'factory-as-a-service' means a scalable, flexible manufacturing framework providing rapid reconfiguration of production and real-time collaboration across dispersed facilities.
"(6) The term 'participant' means a manufacturer, including an advanced manufacturer, participating in the CRMN.
"(7) The term 'Secretary' means the Secretary of Defense."
Working Group on the Advanced Manufacturing Workforce
Pub. L. 119–60, div. A, title XVIII, §1843, Dec. 18, 2025, 139 Stat. 1258, provided that:
"(a) In General.—Not later than 180 days after the date of the enactment of this Act [Dec. 18, 2025], the Secretary of Defense shall establish a working group to identify opportunities to address workforce shortages in advanced manufacturing career fields in the defense industrial base.
"(b) Membership.—The working group shall consist of members of the Joint Additive Manufacturing Working Group of the Department of Defense and members of the collaborative forum described in section 1844(a) of this Act [section 1844(a) of div. A of Pub. L. 119–60, set out in a note below] with an interest in addressing workforce shortages in advanced manufacturing career fields in the defense industrial base.
"(c) Responsibilities.—The working group shall—
"(1) identify estimated workforce shortages in advanced manufacturing career fields in the defense industrial base, including such workforce shortages in the Department of Defense organic industrial base;
"(2) identify career fields in advanced manufacturing and the associated skills and abilities that are required for such fields; and
"(3) develop recommendations for—
"(A) training, education, and career development programs, including mid-career programs, apprenticeships, internships, and summer camps, to prepare individuals for careers in advanced manufacturing;
"(B) the establishment of public-private partnerships to provide workforce development activities, including identifying incentives for such partnerships for success in recruiting, training, and retaining individuals in careers in advanced manufacturing; and
"(C) any policy changes needed to further the participation of individuals in the advanced manufacturing workforce of the defense industrial base.
"(d) Report.—Not later than one year after the date of the enactment of this Act, the Secretary of Defense shall submit to Congress a report containing—
"(1) a summary of recommendations developed by the working group under subsection (c)(3); and
"(2) actions taken by the Secretary to implement recommendations provided by such working group; and
"(3) actions taken by the Secretary to provide training to enhance the knowledge and experience of the workforce of the Department of Defense, including—
"(A) the benefits, limitations, and commercial best practices and business models for designing, developing, and using products manufactured using advanced manufacturing; and
"(B) recommended approaches for qualifying advanced manufacturing processes and test and evaluation procedures using processes established in section 865 of the National Defense Authorization Act for Fiscal Year 2025 [section 865 of Pub. L. 119–60, set out as a note below]; and
"(4) a recommendation whether to continue or terminate the working group.
"(e) Advanced Manufacturing Defined.—In this section, the term 'advanced manufacturing' has the meaning provided in section 4841(f) of title 10, United States Code, as added by section 1841 of this Act."
Collaborative Forum To Address Challenges to and Limitations of the Defense Industrial Base
Pub. L. 119–60, div. A, title XVIII, §1844, Dec. 18, 2025, 139 Stat. 1260, provided that:
"(a) Establishment.—Not later than 120 days after the date of the enactment of this Act [Dec. 18, 2025], the Secretary of Defense shall identify one or more consortia or other entity to serve as a collaborative forum for government, private sector, academia, and nonprofit entities with expertise in advanced manufacturing to address the challenges to and limitations of the defense industrial base.
"(b) Areas of Focus.—In addressing the challenges to and limitations of the defense industrial base, a consortia or entity identified under subsection (a) shall establish a working group (or other appropriate organization) focused on each of the following areas:
"(1) Eliminating barriers to a resilient and robust defense industrial base, including—
"(A) policies and procedures that impede businesses of all types and sizes from doing business with the Department of Defense;
"(B) policies, procedures, guidance, or workforce training that result in the application of contract requirements or clauses that should not apply to the acquisition of a commercial product or commercial service; and
"(C) impediments to transitioning technology from research, development, testing, and evaluation activities to acquisition programs that are approved and funded.
"(2) Assessing supply chain fragility, including—
"(A) assessing vulnerabilities from reliance on sole source dependencies and overreliance on countries that are not allies or partners of the United States; and
"(B) proposing mitigation measures to diversify sources of supply and to develop alternative sources supply to enhance resilience in the supply chains of the Department.
"(3) Expanding domestic manufacturing and industrial capacity, including—
"(A) public-private partnerships with the organic industrial base, commercial manufacturers, and other industrial entities;
"(B) modernization of the defense industrial base and supply chains by fostering the adoption of advanced manufacturing, automation, and other emerging capabilities;
"(C) integrate commercial approaches to information technology, software, cloud-based services, data management, and artificial intelligence; and
"(D) recommend financial incentives and business models to encourage private-sector investment efforts to expand domestic manufacturing and industrial capacity.
"(4) Developing and training a skilled workforce, including—
"(A) adopting industry-leading programs or other approaches to develop workforce skills in advanced manufacturing, tailored for defense capabilities; and
"(B) creating opportunities for public-private talent exchanges and skill-building initiatives in advanced manufacturing, supply chain management, and risk management.
"(c) Work Products and Recommendations.—The Secretary of Defense shall consider relevant work products and recommendations developed through activities of the working group established under subsection (b) in developing and updating Department of Defense policies, regulations, instructions, and manuals in order to meet the requirements of the defense acquisition system as defined in section 3001 of title 10, United States Code.
"(d) Annual Briefing.—Not later than March 1, 2026, and annually there after until March 1, 2029, the Secretary shall provide to the Committees on Armed Services of the Senate and House of Representatives a briefing that includes—
"(1) a summary of the implementation of this section;
"(2) a summary of any work products and recommendations provided to the Secretary under subsection (c); and
"(3) any recommendations for actions by Congress to address the challenges to and limitations of the defense industrial base.
"(e) Definitions.—In this section:
"(1) The term 'advanced manufacturing' has the meaning given in section 4841(f) of title 10, United States Code, as added by section 1841 of this Act.
"(2) The term 'organic industrial base' has the meaning given in section 2476(f) of title 10, United States Code."
Qualification of Industrial Capabilities
Pub. L. 118–159, div. A, title VIII, §865, Dec. 23, 2024, 138 Stat. 2003, as amended by Pub. L. 119–60, div. A, title VIII, §832(a), Dec. 18, 2025, 139 Stat. 961, provided that:
"(a) Establishment of Process.—Not later than one year after the date of the enactment of this Act [Dec. 23, 2024], the Secretary of Defense, in coordination with each Secretary of a military department and the Director of the Defense Logistics Agency, shall establish a process to rapidly qualify and approve alternate or additional sources of supply for industrial capabilities identified in subsection (b) for use in combat.
"(b) Identification.—With respect to the process required by subsection (a), the Secretary of Defense shall seek to expand industrial capability and capacity to—
"(1) produce energetic materials, solid rocket motors, unmanned systems, space systems, or electrical components;
"(2) supply castings and forgings;
"(3) produce all critical readiness items of supply, including those identified as having sole-source dependencies, excessive lead times, unreasonable pricing, or other supply chain deficiencies; and
"(4) use additive or other advanced manufacturing techniques.
"(c) Application.—The Secretary of Defense shall ensure that process required by subsection (a) is applied in a manner in which one or more documented supply chain deficiencies in the acquisition or sustainment of a weapon system of the Department of Defense is addressed.
"(d) Elements.—In developing the process required by subsection (a), the Secretary of Defense shall ensure that—
"(1) not later than 180 days after the date of the enactment of this Act [Dec. 23, 2024], policies implementing such process are established to encourage and support the delegation of material review board authorities, processes, and approvals to the contractor or subcontractor (at any tier) with respect to non-safety critical items for industrial capabilities covered in subsection (b);
"(2) commercial processes and procedures for the evaluation and qualification of vendors, including manufacturers and distributors, that are part of the process required by subsection (a) are examined and implemented where feasible and advisable, including forms and templates such as Sources Approval Requests and Alternative Offers;
"(3) the process required by subsection (a) includes processes that are implemented and, if necessary, military specifications or other similar requirements documents are developed to pre-qualify vendors to supply safety critical items or mission critical items for industrial capabilities based on—
"(A) an assessment of the vendor's material and process controls to assure conformance to specification and contractual requirements; and
"(B) audit and inspection requirements of the Department of Defense;
"(4) test reports are reviewed and notice of an approval decision is provided to requesting member of the acquisition workforce (as defined in section 101 of title 10, United States Code) not later than 45 days after the date on which a test is completed;
"(5) processes for qualification of safety critical or flight critical end items produced through advanced processes and technologies, such as additive manufacturing, are established;
"(6) alternative material types that could be a viable replacement or an interchangeable source of material are considered for evaluation and qualification using streamlined requirements to streamline qualification requirements;
"(7) processes are developed, where appropriate, for qualification of a system or subsystem by a designated approval authority within a military department to avoid the need for qualification of individual parts while ensuring the performance of parts and the interactions of the parts in the system or subsystem; and
"(8) pathways are developed to streamline and consolidate the approval authority of the process established in subsection (a).
"(e) Expedited Processes for Military-unique Specifications and Test Procedures.—To support successful implementation of the process required by subsection (a), the Secretary shall—
"(1) to the maximum extent practicable, reduce the need for military-unique specification and test procedures;
"(2) develop a process to streamline and expedite the drafting and approval of military specifications (including military performance specifications) and technical publications that—
"(A) details the performance or functions required by the industrial capabilities described in subsection (b) or the weapon system described in subsection (c) and do not constrain implementation of such process;
"(B) is completed, upon request by a member of the acquisition workforce—
"(i) not later than 30 days after the date of such request, for unmanned items, non-safety critical items, or non-mission critical items; and
"(ii) not later than 180 days after the date of such request, for safety critical items or mission critical items; and
"(C) accounts for resource constraints by prioritizing requests for inclusion in the process established in subsection (a); and
"(3) develop a process to develop, produce, and test parts described in subsection (b), and may test through failure, to create data to support the drafting of specifications and test procedures.
"(f) Expedited Qualification Panels.—
"(1) Each Secretary of a military department shall establish an Expedited Qualification Panel within the military department under the jurisdiction of that Secretary. Each Expedited Qualification Panel shall—
"(A) develop standardized templates for expedited Source Approval Requests; and
"(B) not later than 14 days after receiving an expedited Source Approval Request—
"(i) review the request; and
"(ii) based on tiered risk criteria, make a determination with respect to the request which shall consist of—
"(I) conditional approval, which may be valid for up to 12 months;
"(II) full approval; or
"(III) disapproval of the request.
"(2) In reviewing and making determinations with respect to Source Approval Requests under paragraph (1), an Expedited Qualification Panel may use the services of designated engineering representatives or equivalent third-party certified engineers when appropriate.
"(g) Exemptions.—Industrial capabilities approved under the process required by subsection (a) that do not present a safety risk to human life—
"(1) shall be exempt from Class A and Class B mishap investigations, as defined by the Secretary of Defense; and
"(2) shall be subject to streamlined investigation procedures, as determined by the Secretary of Defense, with respect to a mishap.
"(h) Protections.—Approval authorities responsible for the process required by subsection (a) shall not be held liable by the Department of Defense for mishaps with respect to industrial capabilities approved pursuant to the process required by subsection (a) without evidence of willful misconduct, gross negligence, or intentional fraud.
"(i) Interim Briefing.—Not later than 180 days after the date of the enactment of this Act [Dec. 23, 2024], the Secretary of Defense, in coordination with each Secretary of a military department and the Director of the Defense Logistics Agency, shall provide to the Committees on Armed Services of the Senate and the House of Representatives a briefing with a detailed plan to implement the process required by subsection (a), including definitions and processes related to time limitations for drafting and approval of military specifications and technical publications in subsection (d)(1)(B).
"(j) Investment Roadmap.—Not later than one year after the date of the enactment of this Act, the Secretary of Defense, in coordination with each Secretary of a military department and the Director of the Defense Logistics Agency, shall provide to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] a report on the resourcing and investment required to modernize the infrastructure and personnel for materials and process development, certification, and qualification.
"(k) Report.—Not later than September 30, 2027, the Secretary of Defense, in coordination with each Secretary of a military department and the Director of the Defense Logistics Agency, shall submit to the Committees on Armed Services of the Senate and the House of Representatives a report on the progress, challenges, and lessons learned in carrying out the requirements of this section, including the viability of applying the process required by subsection (a) more broadly across additional industrial capabilities.
"(l) Definitions.—In this section:
"(1) The term 'critical readiness items of supply' has the meaning given the term in section 1733 of title 10, United States Code.
"(2) The term 'non-safety critical items, or non-mission critical items' includes the following items:
"(A) Major risk parts or systems the failure of which is likely to cause structural damage or significant mission degradation and requires finite element modeling, fracture analysis, comparison to similar parts, or similar methods.
"(B) Minor risk parts and systems that only have form, fit, and function requirements verified by dimensional coordinate measuring machines, go/no-go gauges, or similar methods.
"(C) Low risk parts and systems that are consumable or non-critical, requiring material certification, visual inspections, or similar methods.
"(3) The term 'safety critical items or mission critical items' means parts or systems the failure of which is likely to cause loss of control, catastrophic failure, or loss of life, and require full qualification, simulation, and physical testing with Engineering Support Activity witnessing."
Defense Industrial Base Workforce Development Strategy
Pub. L. 118–159, div. A, title XVI, §1635, Dec. 23, 2024, 138 Stat. 2179, as amended by Pub. L. 119–60, div. C, title XXXI, §3111(c)(2)(B), Dec. 18, 2025, 139 Stat. 1460, provided that:
"(a) Strategy.—Not later than 180 days after the date of the enactment of this Act [Dec. 23, 2024], the Secretary of Defense, in consultation with the Administrator for Nuclear Security and other individuals as the Secretary determines appropriate, shall commence the implementation of a strategy for promoting the development of a skilled manufacturing and high-demand vocational trade workforce to support the expansion of the national technology and industrial base and nuclear security enterprise.
"(b) Report; Briefings.—
"(1) Report.—Not later than 60 days after the development of the strategy under subsection (a), the Secretary shall submit to the Committees on Armed Services of the House of Representatives and the Senate a report that outlines the strategy and includes a detailed description of measures to implement the strategy, including planned schedules and progress milestones.
"(2) Briefings.—Beginning in 2026, and on a biennial basis until 2032, the Assistant Secretary of Defense for Industrial Base Policy shall provide to the Committees on Armed Services of the House of Representatives and the Senate a briefing on progress made in implementing the strategy under subsection (a).
"(c) Definitions.—In this section:
"(1) The term 'national technology and industrial base' has the meaning given that term in section 4801 of title 10, United States Code.
"(2) The term 'nuclear security enterprise' has the meaning given that term in section 6101 of title 10, United States Code."
Recovery of Rare Earth Elements and Other Strategic and Critical Materials Through End-Of-Life Equipment Recycling
Pub. L. 118–31, div. A, title III, §367, Dec. 22, 2023, 137 Stat. 235, provided that: "The Secretary of Defense shall issue policies and establish procedures to—
"(1) identify end-of-life equipment of the Department of Defense that contains rare earth elements and other materials determined pursuant to section 3(a) of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98b(a)) to be strategic and critical materials; and
"(2) recover such materials from such equipment for the purposes of reuse by the Department of Defense."
Pilot Program on Capital Assistance To Support Defense Investment in the Industrial Base
Pub. L. 118–31, div. A, title IX, §903(b), Dec. 22, 2023, 137 Stat. 360, which established a pilot program to provide capital assistance to eligible entities for eligible investments to develop technologies that support the duties and elements of the Office of Strategic Capital and meet the needs of the Department of Defense, was repealed by Pub. L. 118–159, div. A, title IX, §905(b), Dec. 23, 2024, 138 Stat. 2031. See section 149(e) of this title.
Critical Mineral Independence
Pub. L. 118–31, div. A, title XIV, §1414, Dec. 22, 2023, 137 Stat. 528, provided that:
"(a) Definitions.—In this section:
"(1) Appropriate committees of congress.—The term 'appropriate committees of Congress' means—
"(A) the Committee on Armed Services of the Senate; and
"(B) the Committee on Armed Services of the House of Representatives.
"(2) Covered country.—The term 'covered country' means—
"(A) a covered nation (as defined in section 4872(d) of title 10, United States Code); and
"(B) any other country determined by the Secretary of Defense to be a strategic competitor or adversary of the United States for purposes of this section.
"(3) Critical mineral.—The term 'critical mineral' means a critical mineral (as defined in section 7002(a) of the Energy Act of 2020 (30 U.S.C. 1606(a))) that the Secretary of Defense determines to be important to the national security of the United States for purposes of this section.
"(4) Shortfall material.—The term 'shortfall material' means materials determined to be in shortfall in the most recent report on stockpile requirements submitted to Congress under subsection (a) of section 14 of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98h–5) and included in the most recent briefing required by subsection (f) of such section.
"(b) Statement of Policy.—It is the policy of the United States—
"(1) to expand secure sources of supply of critical minerals, including rare earth elements, in the United States and in countries that are allies or partners of the United States to meet the needs of the United States defense sector so that the Department of Defense will achieve critical mineral supply chain independence from covered countries, including the People's Republic of China, the Russian Federation, the Islamic Republic of Iran, and the Democratic People's Republic of North Korea; and
"(2) that the Department of Defense will procure critical minerals and products made using supply chains involving critical minerals that are not mined or processed in or by covered countries.
"(c) Strategy to Achieve Critical Mineral Supply Chain Independence for the Department of Defense.—
"(1) In general.—Not later than one year after the date of the enactment of this Act [Dec. 22, 2023], the Under Secretary of Defense for Acquisition and Sustainment shall submit to the appropriate committees of Congress a strategy to develop supply chains for the Department of Defense that are not dependent on mining or processing of critical minerals in or by covered countries, in order to achieve critical mineral supply chain independence from covered countries for the Department by 2035.
"(2) Elements.—The strategy required by paragraph (1) shall—
"(A) identify and assess significant vulnerabilities in the supply chains of contractors and subcontractors of the Department of Defense involving critical minerals that are mined or processed in or by covered countries;
"(B) identify and recommend changes to the acquisition laws, regulations, and policies of the Department of Defense to ensure contractors and subcontractors of the Department use supply chains involving critical minerals that are not mined or processed in or by covered countries to the greatest extent practicable;
"(C) evaluate the utility and desirability of leveraging the process for acquiring shortfall materials for the National Defense Stockpile under the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98 et seq.) to strengthen mining and processing capacity for critical minerals in the United States and in countries that are allies or partners of the United States;
"(D) identify areas of potential engagement and partnership with the governments of countries that are allies or partners of the United States to jointly reduce dependence on critical minerals mined or processed in or by covered countries;
"(E) identify and recommend other policy changes that may be needed to achieve critical mineral supply chain independence from covered countries for the Department;
"(F) identify and recommend measures to streamline authorities and policies with respect to critical minerals and supply chains for critical minerals; and
"(G) prioritize the recommendations made in the strategy to achieve critical mineral supply chain independence from covered countries for the Department, taking into consideration economic costs and varying degrees of vulnerability posed to the national security of the United States by reliance on different types of critical minerals.
"(3) Form of strategy.—The strategy required by paragraph (1) shall be submitted in classified form but shall include an unclassified summary."
Department of Defense National Imperative for Industrial Skills Program
Pub. L. 117–263, div. A, title VIII, §836, Dec. 23, 2022, 136 Stat. 2716, provided that:
"(a) In General.—The Secretary of Defense, acting through the Industrial Base Analysis and Sustainment program of the Department of Defense, shall evaluate and further develop workforce development training programs (as defined by the Secretary of Defense) for training the skilled industrial workers (as defined by the Secretary of Defense) that are needed in the defense industrial base through the National Imperative for Industrial Skills program of the Department of Defense (or a successor program).
"(b) Priorities.—In carrying out this section, the Secretary shall prioritize workforce development training programs that—
"(1) are innovative, lab-based, or experientially-based;
"(2) rapidly train skilled industrial workers for employment with entities in the defense industrial base faster than traditional workforce development training programs and at the scale needed to measurably reduce, as rapidly as possible, the shortages of skilled industrial workers in the defense industrial base, including modernization of required equipment and training curricula;
"(3) recruit skilled industrial workers who are manufacturing workers from underrepresented communities;
"(4) provide students and skilled industrial workers with the support needed to successfully participate in the defense industrial base;
"(5) address the specific manufacturing requirements and skills that are unique to critical industrial sectors of the defense industrial base as defined by the Secretary of Defense, such as naval shipbuilding; and
"(6) with respect to Federal workforce development training programs in existence on or before the date of the enactment of this Act [Dec. 23, 2022]—
"(A) maximize the use of such Federal workforce development training programs; or
"(B) expand on the activities of such Federal workforce development training programs."
Procurement Requirements Relating to Rare Earth Elements and Strategic and Critical Materials
Pub. L. 117–263, div. A, title VIII, §857(a), (d), Dec. 23, 2022, 136 Stat. 2727, 2731, provided that:
"(a) Disclosures Concerning Rare Earth Elements and Strategic and Critical Materials by Contractors of Department of Defense.—
"(1) Requirement.—Beginning on the effective date of this subsection, the Secretary of Defense shall—
"(A) require that any contractor that provides to the Department of Defense a system with a permanent magnet that contains rare earth elements or strategic and critical materials disclose, after undertaking a commercially reasonable inquiry and along with delivery of the system, the provenance of the magnet; and
"(B) safeguard such disclosures in accordance with applicable classification level required by the associated programs.
"(2) Elements.—A disclosure under paragraph (1) shall include an identification of the country or countries in which—
"(A) any rare earth elements and strategic and critical materials used in the magnet were mined;
"(B) such elements and minerals were refined into oxides;
"(C) such elements and minerals were made into metals and alloys; and
"(D) the magnet was sintered or bonded and magnetized.
"(3) Implementation of supply chain tracking system.—If a contractor cannot make the disclosure required by paragraph (1) with respect to a system described in that paragraph, the Secretary shall require the contractor to establish and implement a supply chain tracking system in order to make the disclosure to the fullest extent possible not later than 180 days after the contractor provides the system to the Department of Defense. The tracking system shall—
"(A) include a description of the efforts taken by the contractor to date to make the disclosure required by paragraph (1);
"(B) take into account the possible refusal of certain foreign entities to provide the contractor the information necessary to make the disclosure required by paragraph (1); and
"(C) require the contractor to report to the Secretary the name, location, and other identifying information of any entities which refuse to provide the contractor with the information necessary to make the disclosure required by paragraph (1).
"(4) Waivers.—
"(A) In general.—The Secretary may waive a requirement under paragraph (1) or (3) with respect to a system described in paragraph (1) for a period of not more than 180 days if the Secretary certifies to the Committees on Armed Services of the Senate and the House of Representatives that—
"(i) the continued procurement of the system is necessary to meet the demands of a national emergency declared under section 201 of the National Emergencies Act (50 U.S.C. 1621); or
"(ii) a contractor that cannot currently make the disclosure required by paragraph (1) is making significant efforts to comply with the requirements of that paragraph.
"(B) Waiver renewals.—The Secretary may renew a waiver as many times as the Secretary considers appropriate, provided that the Secretary submits an updated certification to the committees.
"(C) Limitation.—The Secretary may not delegate this waiver authority below the level of Assistant Secretary of Defense, a senior [sic; probably should be "service"] acquisition executive (as defined in section 101(a) of title 10, United States Code), or a command acquisition executive (as described in section 167(e)(4)(C) of title 10, United States Code) or equivalent.
"(5) Briefing required.—
"(A) In general.—Not later than 30 days after the submission of each report required by subsection (c)(3) [136 Stat. 2731], the Secretary of Defense shall provide to the Committees on Armed Services of the Senate and the House of Representatives a briefing that includes—
"(i) a summary of the disclosures made under this subsection;
"(ii) an assessment of the extent of reliance by the United States on foreign countries, and especially countries that are not allies of the United States, for rare earth elements and strategic and critical materials;
"(iii) a determination with respect to which systems described in paragraph (1) are of the greatest concern for interruptions of supply chains with respect to rare earth elements and strategic and critical materials; and
"(iv) any suggestions for legislation or funding that would mitigate security gaps in such supply chains.
"(B) Form.—To the extent practicable, each briefing required under subparagraph (A) shall be in an unclassified form, but may contain a classified annex.
"(6) Effective date.—The requirements described in this subsection shall take effect—
"(A) not earlier than 30 months after the date of enactment of this Act [Dec. 23, 2022]; and
"(B) after the Secretary of Defense certifies to the Committees on Armed Services of the Senate and the House of Representatives that the Department has established a process to ensure that the information collection requirements of this subsection present no national security risks, or that any such risks have been fully mitigated.
"(d) Strategic and Critical Materials Defined.—In this section, the term 'strategic and critical materials' means materials designated as strategic and critical under section 3(a) of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98b(a))."
Analyses of Certain Activities for Action To Address Sourcing and Industrial Capacity
Pub. L. 117–263, div. A, title VIII, §858, Dec. 23, 2022, 136 Stat. 2731, as amended by Pub. L. 118–31, div. A, title X, §1061(c)(3), Dec. 22, 2023, 137 Stat. 399, provided that:
"(a) Analysis Required.—
"(1) In general.—The Secretary of Defense, acting through the Under Secretary of Defense for Acquisition and Sustainment and other appropriate officials, shall review the items under subsection (c) to determine and develop appropriate actions, consistent with the policies, programs, and activities required under subpart I of part V of subtitle A of title 10, United States Code, chapter 83 of title 41, United States Code, and the Defense Production Act of 1950 (50 U.S.C. 4501 et seq.), including—
"(A) restricting procurement, with appropriate waivers for cost, emergency requirements, and non-availability of suppliers, including restricting procurement to—
"(i) suppliers in the United States;
"(ii) suppliers in the national technology and industrial base (as defined in section 4801 of title 10, United States Code);
"(iii) suppliers in other allied nations; or
"(iv) other suppliers;
"(B) increasing investment through use of research and development or procurement activities and acquisition authorities to—
"(i) expand production capacity;
"(ii) diversify sources of supply; or
"(iii) promote alternative approaches for addressing military requirements;
"(C) prohibiting procurement from selected sources or nations;
"(D) taking a combination of actions described under subparagraphs (A), (B), and (C); or
"(E) taking no action.
"(2) Considerations.—The analyses conducted pursuant to paragraph (1) shall consider national security, economic, and treaty implications, as well as impacts on current and potential suppliers of goods and services.
"(b) Reporting on Analyses, Recommendations, and Actions.—
"(1) Briefing required.—Not later than January 15, 2024, the Secretary of Defense shall submit to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives], in writing—
"(A) a summary of the findings of the analyses undertaken for each item pursuant to subsection (a);
"(B) relevant recommendations resulting from the analyses; and
"(C) descriptions of specific activities undertaken as a result of the analyses, including schedule and resources allocated for any planned actions.
"(2) Reporting.—The Secretary of Defense shall include the analyses conducted under subsection (a), and any relevant recommendations and descriptions of activities resulting from such analyses, as appropriate, in each of the following during the 2024 calendar year:
"(A) The annual report on unfunded priorities of the national technology and industrial base required under section 4815 of such title.
"(B) Department of Defense technology and industrial base policy guidance prescribed under section 4811(c) of such title.
"(C) Activities to modernize acquisition processes to ensure the integrity of the industrial base pursuant to section 4819 of such title.
"(D) Defense memoranda of understanding and related agreements considered in accordance with section 4851 of such title.
"(E) Industrial base or acquisition policy changes.
"(F) Legislative proposals for changes to relevant statutes which the Department shall consider, develop, and submit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives not less frequently than once per fiscal year.
"(G) Other actions as the Secretary of Defense determines appropriate.
"(c) List of Goods and Services for Analyses, Recommendations, and Actions.—The items described in this subsection are the following:
"(1) Solar components for satellites.
"(2) Satellite ground station service contracts.
"(3) Naval vessel shafts and propulsion system components (including reduction gears and propellers).
"(4) Infrastructure or equipment for a passenger boarding bridge at a military airport designated by the Secretary of Transportation under section 47118(a) of title 49, United States Code.
"(5) Flags of the United States.
"(6) Natural rubber from herbaceous plants for military applications.
"(7) Alternative proteins as sustainable and secure food sources.
"(8) Carbon fiber."
Demonstration Exercise of Enhanced Planning for Industrial Mobilization and Supply Chain Management
Pub. L. 117–263, div. A, title VIII, §859, Dec. 23, 2022, 136 Stat. 2733, provided that:
"(a) Demonstration Exercise Required.—Not later than December 31, 2024, the Secretary of Defense shall conduct a demonstration exercise of industrial mobilization and supply chain management planning capabilities in support of one or more operational or contingency plan use cases, as selected in consultation with the Chairman of the Joint Chiefs of Staff and the Under Secretary of Defense for Acquisition and Sustainment.
"(b) Elements.—The demonstration exercise required under subsection (a) shall include the following elements:
"(1) Use of a current program that is both fielded and still in production from each military department, Defense Agency, and Department of Defense Field Activity in order to model a notional plan for mobilization or supply chain management, as associated with the selected operational or contingency plans.
"(2) The exercise of processes and authorities that support the Department of Defense for industrial mobilization in support of declared hostilities or other contingency operations.
"(3) The identification of process improvements or gaps in resources, capabilities, or authorities that require remediation, including those related to government or contractor production facilities, tooling, or workforce development.
"(4) The implementation of analytical tools and processes to monitor and assess the health of the industrial base and to use near real-time data and visualization capabilities in making production and distribution decisions, with an emphasis on identifying, assessing, and demonstrating commercially available tools.
"(5) The establishment and tracking of goals and metrics to support institutionalization of defense industrial base health assessment and planning.
"(c) Briefing Required.—Not later than November 1, 2023, the Secretary shall provide to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] an interim briefing on the demonstration exercise required under subsection (a), including—
"(1) an identification of the programs and use cases to be demonstrated;
"(2) a description of methodology for executing the demonstration exercise, including analytical tools or metrics identified to support the process; and
"(3) any preliminary findings.
"(d) Assessment.—Not later than March 1, 2025, the Secretary shall submit to the congressional defense committees a report assessing the demonstration exercise required under subsection (a), including a description of—
"(1) the programs and use cases considered in this demonstration exercise;
"(2) the outcomes of the activities required under subsection (b);
"(3) outcomes and conclusions;
"(4) lessons learned; and
"(5) any recommendations for legislative action that may be required as a result.
"(e) Definitions.—In this section, the terms 'military department', 'Defense Agency', and 'Defense Field Activity' have the meanings given those terms in section 101 of title 10, United States Code."
Key Advanced System Development Industry Days
Pub. L. 117–263, div. A, title VIII, §862, Dec. 23, 2022, 136 Stat. 2736, as amended by Pub. L. 118–159, div. A, title XVII, §1701(c), Dec. 23, 2024, 138 Stat. 2206, provided that:
"(a) In General.—Not later than March 1, 2023, and every 180 days thereafter, the each Secretary of a military department shall ensure that such military department conducts an outreach event to—
"(1) collaborate with the private sector on present current and future opportunities with respect to key advanced system development areas;
"(2) raise awareness within the private sector of—
"(A) key advanced system development areas; and
"(B) capability needs and existing and potential requirements related to the key advanced system development areas; and
"(3) raise awareness within such military department of potential material solutions for capability needs and existing and potential requirements related to key advanced system development areas.
"(b) Responsibilities.—
"(1) Service chiefs.—For each event a military department conducts under subsection (a), the Service Chief concerned shall, for each key advanced system development area, perform the following:
"(A) Identify related and potentially related existing, planned, or potential military requirements, including urgent and emergent operational needs.
"(B) Identify and describe related and potentially related needs or gaps in the capabilities of the military department to carry out the missions of the military department, including warfighting and combat support capabilities.
"(C) Identify and describe related and potentially related exercise, demonstration, or experimentation opportunities.
"(2) Acquisition executives.—For each event a military department conducts under subsection (a), the service acquisition executive of the military department conducting the event shall, for each key advanced system development area, perform the following:
"(A) Identify and describe related and potentially related existing, planned, or potential acquisition plans and strategies.
"(B) Identify and describe related and potentially related existing, planned, or potential funding opportunities, including—
"(i) broad agency announcements;
"(ii) requests for information;
"(iii) funding opportunity announcements;
"(iv) special program announcements;
"(v) requests for proposals;
"(vi) requests for quotes;
"(vii) special notices;
"(viii) transactions pursuant to sections 4004, 4021, and 4022 of title 10, United States Code;
"(ix) unsolicited proposals; and
"(x) other funding opportunities as determined appropriate by the service acquisition executive.
"(3) Delegation.—Each Service Chief concerned and each service acquisition executive may delegate the authority to carry out the tasks for which such individuals are responsible under this subsection.
"(4) Reviews and coordination.—
"(A) Industry day reviews.—Promptly after an event conducted by a military department under subsection (a), the service acquisition executive of such military department shall—
"(i) disseminate a written review of such event as broadly as practicable within the Department of Defense; and
"(ii) make such review publicly available on a website of the military department.
"(B) Consolidation.—The Secretary of Defense and the Chairman of the Joint Chiefs of Staff shall, periodically, jointly review and consolidate the reviews required by subparagraph (A) to identify trends, eliminate redundancy, and enhance efficiency with respect to events conducted under subsection (a).
"(c) Form.—With respect to each event conducted under subsection (a), the Secretary concerned shall seek to maximize industry and government participation, while minimizing cost to the maximum extent practicable, by—
"(1) holding the event at an unclassified security level to the extent practicable;
"(2) making the event publicly accessible through teleconference or other virtual means; and
"(3) making supporting materials for the event publicly available on a website.
"(d) Definitions.—In this section:
"(1) Military departments; secretary concerned; service acquisition executive.—The terms 'military departments', 'Secretary concerned', and 'service acquisition executive' have the meanings given such terms in section 101(a) of title 10, United States Code.
"(2) Key advanced system development area.—The term 'key advanced system development area' means the following:
"(A) For the Department of the Navy—
"(i) unmanned surface vessels;
"(ii) unmanned underwater vessels;
"(iii) unmanned deployable mobile ocean systems;
"(iv) unmanned deployable fixed ocean systems; and
"(v) autonomous unmanned aircraft systems.
"(B) For the Department of the Air Force, autonomous unmanned aircraft systems.
"(C) For the Department of the Army, autonomous unmanned aircraft systems.
"(3) Service chief.—The term 'Service Chief concerned' means—
"(A) the Chief of Staff of the Army, with respect to matters concerning the Department of the Army;
"(B) the Chief of Naval Operations and the Commandant of the Marine Corps, with respect to matters concerning the Department of the Navy;
"(C) the Chief of Staff of the Air Force, with respect to matters concerning the Department of the Air Force; and
"(D) the Chief of Space Operations, with respect to matters concerning the Space Force."
Demonstration Program on Domestic Production of Rare Earth Elements From Coal Byproducts
Pub. L. 117–81, div. A, title III, §320, Dec. 27, 2021, 135 Stat. 1634, provided that:
"(a) Demonstration Program Required.—Not later than 120 days after the date of the enactment of this Act [Dec. 27, 2021], the Secretary of Defense shall commence carrying out a demonstration program on recovering rare earth elements and critical minerals from acid mine drainage and other coal byproducts.
"(b) Partnership.—In carrying out the demonstration program required by subsection (a), the Secretary shall seek to enter into a partnership with one or more institutions of higher education that can demonstrate techniques for recovering rare earth elements and critical minerals from acid mine drainage and other coal byproducts, as the Secretary considers applicable.
"(c) Elements.—The demonstration program required by subsection (a) shall address the following:
"(1) The efficacy of separating rare earth elements and critical minerals from acid mine drainage.
"(2) The feasibility of bringing such technology to commercialized scale.
"(3) Domestic locations that are appropriate for the deployment of such technology.
"(4) The ability of such technology to meet the requirements of the defense industrial base to supplement the rare earth element and critical mineral needs of the Department of Defense.
"(d) Duration.—The demonstration program required by subsection (a) shall be carried out during the one-year period beginning on the date of the commencement of the demonstration program.
"(e) Briefing.—Not later than 120 days after the date of the completion of the demonstration program required by subsection (a), the Secretary and the program manager of the institute of higher education with whom the Secretary partners pursuant to subsection (b) shall provide to the Committees on Armed Services of the Senate and the House of Representatives a briefing on the elements of the demonstration program set forth under subsection (c)."
Assessment of Requirements for Certain Items To Address Supply Chain Vulnerabilities
Pub. L. 117–81, div. A, title VIII, §844, Dec. 27, 2021, 135 Stat. 1841, provided that:
"(a) Definitions.—In this section, the term 'dual-use' has the meaning given in section 2500 of title 10, United States Code [now 10 U.S.C. 4801].
"(b) Assessment.—The Secretary of Defense shall assess the requirements of the Department of Defense for dual-use items covered by section 2533a of title 10, United States Code [now 10 U.S.C. 4862].
"(c) Policies.—The Secretary of Defense shall develop or revise and implement relevant policies to track and reduce fluctuations in supply chain forecasting and encourage predictable demand requirements for annual procurements of such dual-use items by the Office the Secretary of Defense, each military department, and the Defense Logistics Agency.
"(d) Report and Briefings.—
"(1) Assessment report.—
"(A) In general.—Not later than December 31, 2022, the Secretary of Defense shall submit to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] a report on the findings of the assessment conducted under subsection (b).
"(B) Form.—The report required by subparagraph (A) shall be submitted in an unclassified form, but may include a classified annex to the extent required to protect the national security of the United States.
"(2) Quarterly briefings.—
"(A) In general.—Not later than March 1, 2023, and quarterly thereafter until March 1, 2026, each Secretary of a military department and the Director of the Defense Logistics Agency shall brief the Under Secretary of Defense for Acquisition and Sustainment on the fluctuations in supply chain forecasting and demand requirements for each dual-use item covered by section 2533a of title 10, United States Code [now 10 U.S.C. 4862].
"(B) Documentation.—Each briefing under subparagraph (A) shall be accompanied by documentation regarding the particular points of discussion for that briefing, including the fluctuations described in such subparagraph, expressed as a percentage."
Plan and Report on Reduction of Reliance on Services, Supplies, or Materials From Covered Countries
Pub. L. 117–81, div. A, title VIII, §847, Dec. 27, 2021, 135 Stat. 1843, provided that:
"(a) Plan.—The Secretary of Defense, in consultation with the Secretary of State, shall develop and implement a plan to—
"(1) reduce the reliance of the United States on services, supplies, or materials obtained from sources located in geographic areas controlled by covered countries; and
"(2) mitigate the risks to national security and the defense supply chain arising from the reliance of the United States on such sources for services, supplies, or materials to meet critical defense requirements.
"(b) Report.—Not later than two years after the date of the enactment of this Act [Dec. 27, 2021], the Secretary of Defense shall submit to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] a report describing the plan required under subsection (a).
"(c) Covered Country Defined.—In this section, the term 'covered country' means North Korea, China, Russia, and Iran."
Requirement for Industry Days and Requests for Information To Be Open to Allied Defense Contractors
Pub. L. 117–81, div. A, title VIII, §854, Dec. 27, 2021, 135 Stat. 1849, provided that:
"(a) In General.—Not later than 90 days after the date of the enactment of this Act [Dec. 27, 2021], each service acquisition executive shall implement a requirement that industry days and requests for information regarding acquisition programs and research and development efforts of the Department of Defense shall, to the maximum extent practicable, be open to defense contractors of the national technology and industrial base, including when such contractors are acting as subcontractors in partnership with a United States contractor, provided such access is granted only if the Secretary of Defense or the relevant Secretary concerned determines that there is reciprocal access for United States companies to equivalent information related to contracting opportunities in the associated country that is part of the national technology and industrial base.
"(b) Definitions.—In this section:
"(1) National technology and industrial base.—The term 'national technology and industrial base' has the meaning given the term in section 2500 of title 10, United States Code [now 10 U.S.C. 4801].
"(2) Secretary concerned; service acquisition executive.—The terms 'Secretary concerned' and 'service acquisition executive' have the meanings given such terms in section 101(a) of title 10, United States Code."
National Security Innovation Partnerships
Pub. L. 116–283, div. A, title II, §219, Jan. 1, 2021, 134 Stat. 3463, provided that:
"(a) Establishment.—The Secretary of Defense shall establish an activity—
"(1) to support partnerships between the Department of Defense and academic institutions, private sector firms in defense and commercial sectors, commercial accelerators and incubators, commercial innovation hubs, public sector organizations, and nonprofit entities with missions relating to national security innovation;
"(2) to expand the national security innovation base, including through engagement with academia, defense industry, commercial industry, government organizations, and the venture capital community;
"(3) to accelerate the transition of technologies and services into acquisition programs and operational use;
"(4) to work in coordination with the Under Secretary of Defense for Personnel and Readiness, other organizations within the Office of the Secretary, and the Armed Forces to create new pathways and models of national security service that facilitate employment within the Department;
"(5) to facilitate engagement with entities described in paragraph (1) for the purpose of developing solutions to national security and defense problems articulated by entities within the Department, including through programs such as the Hacking for Defense program;
"(6) to establish physical locations throughout the United States to support partnerships with academic, government, and private sector industry partners; and
"(7) to enhance the capabilities of the Department in market research, industrial and technology base awareness, source selection, partnerships with private sector capital, and access to commercial technologies.
"(b) Authorities.—In addition to the authorities provided under this section, in carrying out this section, the Secretary of Defense may use the following authorities:
"(1) Section 1599g of title 10, United States Code, relating to public-private talent exchanges.
"(2) Section 2368 of title 10, United States Code [now 10 U.S.C. 4124], relating to Centers for Science, Technology, and Engineering Partnerships.
"(3) Section 2374a of title 10, United States Code [now 10 U.S.C. 4025], relating to prizes for advanced technology achievements.
"(4) Section 2474 of title 10, United States Code, relating to Centers of Industrial and Technical Excellence.
"(5) Section 2521 of title 10, United States Code [now 10 U.S.C. 4841, 4842], relating to the Manufacturing Technology Program.
"(6) Subchapter VI of chapter 33 of title 5, United States Code, relating to assignments to and from States.
"(7) Chapter 47 of title 5, United States Code, relating to personnel research programs and demonstration projects.
"(8) Section 12 of the Stevenson-Wydler Technology Innovation Act of 1980 (15 U.S.C. 3710a) and section 6305 of title 31, United States Code, relating to cooperative research and development agreements.
"(9) Such other authorities as the Secretary considers appropriate.
"(c) Implementation.—
"(1) Support from other department of defense organizations.—The Secretary of Defense may direct other organizations and elements of the Department of Defense to provide personnel, resources, and other support to the activity established under this section, as the Secretary determines appropriate.
"(2) Implementation plan.—
"(A) In general.—Not later than one year after the date of the enactment of this Act [Jan. 1, 2021], the Secretary of Defense shall submit to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] a plan for implementing the activity established under this section.
"(B) Elements.—The plan required under subparagraph (A) shall include the following:
"(i) Plans that describe any support that will be provided for the activity by other organizations and elements of the Department of Defense under paragraph (1).
"(ii) Plans for the implementation of the activity, including plans for—
"(I) future funding and administrative support of the activity;
"(II) integration of the activity into the programming, planning, budgeting, and execution process of the Department of Defense;
"(III) integration of the activity with the other programs and initiatives within the Department that have missions relating to innovation and outreach to the academic and the private sector ; and
"(IV) performance indicators by which the activity will be assessed and evaluated.
"(iii) A description of any additional authorities the Secretary may require to effectively carry out the responsibilities under this section."
Assessment of Research and Development, Manufacturing, and Production Capabilities
Pub. L. 116–283, div. A, title VIII, §846(a), Jan. 1, 2021, 134 Stat. 3767, which required the Secretary of Defense, in consultation with the Under Secretary of Defense for Acquisition and Sustainment and the Under Secretary of Research and Engineering, to assess the research and development, manufacturing, and production capabilities of the national technology and industrial base and other allies and partner countries, was repealed by Pub. L. 119–60, div. A, title VIII, §811(b)(3)(B), Dec. 18, 2025, 139 Stat. 948.
Recommendations for Additional Members of the National Technology and Industrial Base
Pub. L. 116–283, div. A, title VIII, §846(d), Jan. 1, 2021, 134 Stat. 3768, provided that:
"(1) In general.—The Secretary of Defense, in consultation with the heads of any relevant Federal agencies, shall establish a process to consider the inclusion of additional member countries in the national technology and industrial base.
"(2) Elements.—The process developed under paragraph (1) shall include an analysis of—
"(A) the national security and foreign policy impacts, costs, and benefits to the United States and allied countries of the inclusion of any such additional member countries in the national technology and industrial base;
"(B) the economic impacts, costs, and benefits to entities within the United States and allied countries of the inclusion of any such additional member countries into the national technology and industrial base, including an assessment of—
"(i) specific shortfalls in the technological and industrial capacities of current member countries of the national technology and industrial base that would be addressed by inclusion of such additional member countries;
"(ii) specific areas in the industrial bases of current member countries of the national technology and industrial base that would likely be impacted by additional competition if such additional member countries were included in the national technology and industrial base; and
"(iii) costs to reconstitute capability should such capability be lost to competition; and
"(C) other factors as determined relevant by the Secretary.
"(3) Concurrence.—For the purposes of the process developed under paragraph (1), the Secretary of Defense may recommend the inclusion of an additional member country in the national technology and industrial base only with the concurrence of the Secretary of State."
Supply of Strategic and Critical Materials for the Department of Defense
Pub. L. 116–283, div. A, title VIII, §848, Jan. 1, 2021, 134 Stat. 3769, as amended by Pub. L. 118–159, div. A, title VIII, §847, Dec. 23, 2024, 138 Stat. 1993, provided that:
"(a) Preference for Sourcing From the National Technology and Industrial Base.—The Secretary of Defense shall, to the maximum extent practicable, acquire strategic and critical materials required to meet the defense, industrial, and essential civilian needs of the United States in the following order of preference:
"(1) From sources located within the United States.
"(2) From sources located within the national technology and industrial base (as defined in section 2500 of title 10, United States Code [now 10 U.S.C. 4801]).
"(3) From other sources as appropriate.
"(b) Statement of Policy.—
"(1) In general.—The Secretary of Defense shall pursue the following goals:
"(A) Not later than January 1, 2035, ensuring access to secure sources of supply for strategic and critical materials that will—
"(i) fully meet the demands of the domestic defense industrial base;
"(ii) eliminate the dependence of the United States on potentially vulnerable sources of supply for strategic and critical materials; and
"(iii) ensure that the Department of Defense is not reliant upon potentially vulnerable sources of supply for the processing or manufacturing of any strategic and critical materials deemed essential to national security by the Secretary of Defense.
"(B) Provide incentives for the defense industrial base to develop robust processing and manufacturing capabilities in the United States, including processing of strategic and critical materials derived from recycled or reused minerals or metals, to refine strategic and critical materials for Department of Defense purposes.
"(C) Maintain secure sources of supply for strategic and critical materials, including such materials derived from recycled or reused minerals or metals, required to maintain current military requirements in the event that international supply chains are disrupted.
"(2) Methods.—The Secretary of Defense shall achieve the goals described in paragraph (1) through—
"(A) the development of guidance in consultation with appropriate officials of the Department of State, the Joint Staff, and the Secretaries of the military departments;
"(B) the continued and expanded use of existing programs, such as the National Defense Stockpile;
"(C) the continued use of authorities under title III of the Defense Production Act of 1950 (50 U.S.C. 4531 et seq.);
"(D) the development of cost-effective sources of supply of strategic and critical materials derived from recycled or reused minerals or metals; and
"(E) other methods, as the Secretary of Defense deems appropriate."
Analyses of Certain Activities for Action To Address Sourcing and Industrial Capacity
Pub. L. 116–283, div. A, title VIII, §849, Jan. 1, 2021, 134 Stat. 3770, as amended by Pub. L. 117–81, div. A, title VIII, §842, Dec. 27, 2021, 135 Stat. 1840, provided that:
"(a) Analysis Required.—
"(1) In general.—The Secretary of Defense, acting through the Undersecretary of Defense for Acquisition and Sustainment and other appropriate officials, shall review the items under subsection (c) to determine and develop appropriate actions, consistent with the policies, programs, and activities required under chapter 148 of title 10, United States Code [see chapters 381 to 385, and chapter 389, of this title], chapter 83 of title 41, United States Code, and the Defense Production Act of 1950 (50 U.S.C. 4501 et seq.), including—
"(A) restricting procurement, with appropriate waivers for cost, emergency requirements, and non-availability of suppliers, including restricting procurement to—
"(i) suppliers in the United States;
"(ii) suppliers in the national technology and industrial base (as defined in section 2500 of title 10, United States Code [now 10 U.S.C. 4801]);
"(iii) suppliers in other allied nations; or
"(iv) other suppliers;
"(B) increasing investment through use of research and development or procurement activities and acquisition authorities to—
"(i) expand production capacity;
"(ii) diversify sources of supply; or
"(iii) promote alternative approaches for addressing military requirements;
"(C) prohibiting procurement from selected sources or nations;
"(D) taking a combination of actions described under subparagraphs (A),(B), and (C); or
"(E) taking no action.
"(2) Considerations.—The analyses conducted pursuant to paragraph (1) shall consider national security, economic, and treaty implications, as well as impacts on current and potential suppliers of goods and services.
"(b) Reporting on Analyses, Recommendations, and Actions.—
"(1) Interim brief.—With respect to items listed in paragraphs (1) through (13) of subsection (c), not later than January 15, 2022, and with respect to items listed in paragraphs (14) through (19) of such subsection, not later than January 15, 2023, the Secretary of Defense shall submit to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives]—
"(A) a summary of the findings of the analyses undertaken for each item pursuant to subsection (a);
"(B) relevant recommendations resulting from the analyses; and
"(C) descriptions of specific activities undertaken as a result of the analyses, including schedule and resources allocated for any planned actions.
"(2) Reporting.—With respect to items listed in paragraphs (1) through (13) of subsection (c), during the 2022 calendar year, and with respect to items listed in paragraphs (14) through (19) of such subsection, during the 2023 calendar year shall include the analyses conducted under subsection (a), and any relevant recommendations and descriptions of activities resulting from such analyses, as appropriate, in each of the following:
"(A) The annual report to Congress required under section 2504 of title 10 [now 10 U.S.C. 4814], United States Code.
"(B) The annual report on unfunded priorities of the national technology and industrial base required under section 2504a of such title [now 10 U.S.C. 4815].
"(C) Department of Defense technology and industrial base policy guidance prescribed under section 2506 of such title [now 10 U.S.C. 4811(c)].
"(D) Activities to modernize acquisition processes to ensure integrity of industrial base pursuant to section 2509 of such title [now 10 U.S.C. 4819].
"(E) Defense memoranda of understanding and related agreements considered in accordance with section 2531 of such title [now 10 U.S.C. 4851].
"(F) Industrial base or acquisition policy changes.
"(G) Legislative proposals for changes to relevant statutes which the Department shall consider, develop, and submit to the Committees on Armed Services of the Senate and House of Representatives not less frequently than once per fiscal year.
"(H) Quarterly briefings on the national technology and industrial base required under section 2504 of such title [now 10 U.S.C. 4814], as amended by section 842 of this Act.
"(I) Other actions as the Secretary of Defense determines appropriate.
"(c) List of High Priority Goods and Services for Analyses, Recommendations, and Actions.—The items described in this subsection are the following:
"(1) Goods and services covered under existing restrictions, where a waiver, exception, or domestic non-availability determination has been applied.
"(2) Printed circuit boards and other electronics components, consistent with the requirements of other provisions of this Act.
"(3) Pharmaceuticals, including active pharmaceutical ingredients.
"(4) Medical devices.
"(5) Therapeutics.
"(6) Vaccines.
"(7) Diagnostic medical equipment and consumables, including reagents and swabs.
"(8) Ventilators and related products.
"(9) Personal protective equipment.
"(10) Strategic and critical materials, including rare earth materials.
"(11) Natural or synthetic graphite.
"(12) Coal-based rayon carbon fibers.
"(13) Aluminum and aluminum alloys.
"(14) Beef products.
"(15) Molybdenum and molybdenum alloys.
"(16) Optical transmission equipment, including optical fiber and cable equipment.
"(17) Armor on tactical ground vehicles.
"(18) Graphite processing.
"(19) Advanced AC–DC power converters."
Support for Defense Manufacturing Communities To Support the Defense Industrial Base
Pub. L. 115–232, div. A, title VIII, §846, Aug. 13, 2018, 132 Stat. 1881, provided that:
"(a) Program Authorized.—
"(1) In general.—The Secretary of Defense may, in coordination with the Secretary of Commerce and working in coordination with the defense manufacturing institutes, establish within the Department of Defense a program to make long-term investments in critical skills, facilities, research and development, and small business support in order to strengthen the national security innovation base by designating and supporting consortiums as defense manufacturing communities.
"(2) Designation.—The program authorized by this section shall be known as the 'Defense Manufacturing Community Support Program' (in this section referred to as the 'Program').
"(b) Designation of Defense Manufacturing Communities Complementary to Defense Manufacturing Institutes.—
"(1) In general.—The Secretary of Defense may designate eligible consortiums as defense manufacturing communities through a competitive process, and in coordination with the defense manufacturing institutes.
"(2) Eligible consortiums.—The Secretary may establish eligibility criteria for a consortium to participate in the Program. In developing such criteria, the Secretary may consider the merits of—
"(A) including members from academia, defense industry, commercial industry, and State and local government organizations;
"(B) supporting efforts in geographical regions that have capabilities in key technologies or industrial base supply chains that are determined critical to national security;
"(C) optimal consortium composition and size to promote effectiveness, collaboration, and efficiency; and
"(D) complementarity with defense manufacturing institutes.
"(3) Duration.—Each designation under paragraph (1) shall be for a period of five years.
"(4) Renewal.—
"(A) In general.—The Secretary may renew a designation made under paragraph (1) for up to two additional two-year periods. Any designation as a defense manufacturing community or renewal of such designation that is in effect before the date of the enactment of this Act [Aug. 13, 2018] shall count toward the limit set forth in this subparagraph.
"(B) Evaluation for renewal.—The Secretary shall establish criteria for the renewal of a consortium. In establishing such criteria, the Secretary may consider—
"(i) the performance of the consortium in meeting the established goals of the Program;
"(ii) the progress the consortium has made with respect to project-specific metrics, particularly with respect to those metrics that were designed to help communities track their own progress;
"(iii) whether any changes to the composition of the eligible consortium or revisions of the plan for the consortium would improve the capabilities of the defense industrial base;
"(iv) the effectiveness of coordination with defense manufacturing institutes; and
"(v) such other criteria as the Secretary considers appropriate.
"(5) Application for designation.—An eligible consortium seeking a designation under paragraph (1) shall submit an application to the Secretary at such time and in such manner as the Secretary may require. In developing such procedures, the Secretary may consider the inclusion of—
"(A) a description of the regional boundaries of the consortium, and the defense manufacturing capacity of the region;
"(B) an evidence-based plan for enhancing the defense industrial base through the efforts of the consortium;
"(C) the investments the consortium proposes and the strategy of the consortium to address gaps in the defense industrial base;
"(D) a description of the outcome-based metrics, benchmarks, and milestones that will track and the evaluation methods that will be used to gauge performance of the consortium;
"(E) how the initiatives will complement defense manufacturing institutes; and
"(F) such other matters as the Secretary considers appropriate.
"(c) Financial and Technical Assistance.—
"(1) In general.—Under the Program, the Secretary of Defense may award financial or technical assistance to a member of a consortium designated as a defense manufacturing community under the Program as appropriate for purposes of the Program.
"(2) Use of funds.—A recipient of financial or technical assistance under the Program may use such financial or technical assistance to support an investment that will improve the defense industrial base.
"(3) Investments supported.—Investments supported under this subsection may include activities not already provided for by defense manufacturing institutes on—
"(A) equipment or facility upgrades;
"(B) workforce training, retraining, or recruitment and retention, including that of women and underrepresented minorities;
"(C) business incubators;
"(D) advanced research and commercialization, including with Federal laboratories and depots;
"(E) supply chain development; and
"(F) small business assistance.
"(d) Receipt of Transferred Funds.—The Secretary of Defense may accept amounts transferred to the Secretary from the head of another agency or a State or local governmental organization to carry out this section."
Enhanced Analytical and Monitoring Capability of the Defense Industrial Base
Pub. L. 115–91, div. A, title X, §1071, Dec. 12, 2017, 131 Stat. 1582, provided that:
"(a) Process.—
"(1) In general.—Not later than 90 days after the date of enactment of this Act [Dec. 12, 2017], the Secretary of Defense shall establish a process, or designate an existing process, for enhancing the ability of the Department of Defense to analyze, assess, and monitor the vulnerabilities of, and concentration of purchases in, the defense industrial base.
"(2) Elements.—The process required by subsection (a) shall include the following elements:
"(A) Designation of a senior official responsible for overseeing the development and implementation of the process.
"(B) Development or integration of tools to support commercial due diligence and business intelligence or to otherwise analyze and monitor commercial activity to understand business relationships affecting the defense industrial base.
"(C) Development of risk profiles of products, services, or entities based on business intelligence, commercial due diligence tools and data services.
"(D) As the Secretary determines necessary, integration with intelligence sources to develop threat profiles of entities attempting transactions with a defense industrial base companies [sic].
"(E) Other matters as the Secretary deems necessary.
"(3) Notification.—Not later than 90 days after establishing or designating the process required by subsection (a), the Secretary shall submit to the Committees on Armed Services of the Senate and House of Representatives notice in writing that such process has been established or otherwise designated. Such notification shall include the following:
"(A) Identification of the official required to be designated under paragraph (2)(A).
"(B) Identification of the tools described in paragraph (2)(B) that are currently available to [the] Department of Defense and any other tools available commercially or otherwise that might contribute to enhancing the analytic capability of the process.
"(C) Identification of, or recommendations for, any statutory changes needed to improve the effectiveness of the process.
"(D) Projected resources necessary to purchase any commercially available tools identified under subparagraph (B) and to carry out any statutory changes identified under subparagraph (C).
"(b) Reporting.—
"(1) Consolidated report on vulnerabilities of, and concentration of purchases in, the defense industrial base.—
"(A) Report required.—For each of fiscal years 2018 through 2023, the Secretary of Defense shall submit to the appropriate congressional committees a consolidated report that combines all of the reports required to be provided to Congress for that fiscal year on the adequacy of, vulnerabilities of, and concentration of purchases in the defense industrial sector. Such consolidated report shall include each of the following:
"(i) The report required under section 721(m) of the Defense Production Act of 1950 (50 U.S.C. 4565(m)) (relating to concentrations of purchases of the defense industrial base).
"(ii) The report required under section 723(a) of the Defense Production Act of 1950 (50 U.S.C. 4568(a)) (relating to offsets in defense production).
"(iii) The report required under section 2504 of title 10, United States Code [now 10 U.S.C. 4814] (relating to annual industrial capabilities).
"(iv) Any other reports the Secretary determines appropriate.
"(B) Deadline.—A consolidated report under subparagraph (A) shall be submitted by not later than March 31 of the fiscal year following the fiscal year for which the report is submitted.
"(2) Review of technology protection policy.—Not later than 270 days after the date of the enactment of this Act [Dec. 12, 2017], the Secretary of Defense shall submit to the appropriate congressional committees a report describing any need for reforms of policies governing the export of technology or related intellectual property, along with any proposed legislative changes the Secretary believes are necessary.
"(3) Form of reports.—Each report submitted under this subsection shall be in unclassified form, but may contain a classified annex.
"(4) Appropriate congressional committees.—The term 'appropriate congressional committees' means—
"(A) the Committee on Armed Services, the Committee on Financial Services, the Committee on Foreign Affairs, and the Permanent Select Committee on Intelligence of the House of Representatives; and
"(B) the Committee on Armed Services, the Committee on Banking, Housing, and Urban Affairs, the Committee on Foreign Relations, and the Select Committee on Intelligence of the Senate."
[For termination, effective Dec. 30, 2021, of reporting requirements in section 1071(b)(1) of Pub. L. 115–91, set out above, see section 1702(a), (b), of Pub. L. 116–92, set out as a Termination of Reporting Requirements note under section 111 of this title.]
Greater Integration of the National Technology and Industrial Base
Pub. L. 114–328, div. A, title VIII, §881, Dec. 23, 2016, 130 Stat. 2315, as amended by Pub. L. 116–283, div. A, title XVIII, §1866(d)(3), Jan. 1, 2021, 134 Stat. 4280, provided that:
"(a) Plan Required.—Not later than January 1, 2018, the Secretary of Defense shall develop a plan to reduce the barriers to the seamless integration between the persons and organizations that comprise the national technology and industrial base (as defined in section 4801 of title 10, United States Code). The plan shall include at a minimum the following elements:
"(1) A description of the various components of the national technology and industrial base, including government entities, universities, nonprofit research entities, nontraditional and commercial item contractors, and private contractors that conduct commercial and military research, produce commercial items that could be used by the Department of Defense, and produce items designated and controlled under section 38 of the Arms Export Control Act [22 U.S.C. 2778] (also known as the 'United States Munitions List').
"(2) Identification of the barriers to the seamless integration of the transfer of knowledge, goods, and services among the persons and organizations of the national technology and industrial base.
"(3) Identification of current authorities that could contribute to further integration of the persons and organizations of the national technology and industrial base, and a plan to maximize the use of those authorities.
"(4) Identification of changes in export control rules, procedures, and laws that would enhance the civil-military integration policy objectives set forth in section 4811(b) of title 10, United States Code, for the national technology and industrial base to increase the access of the Armed Forces to commercial products, services, and research and create incentives necessary for nontraditional and commercial item contractors, universities, and nonprofit research entities to modify commercial products or services to meet Department of Defense requirements.
"(5) Recommendations for increasing integration of the national technology and industrial base that supplies defense articles to the Armed Forces and enhancing allied interoperability of forces through changes to the text or the implementation of—
"(A) section 126.5 of title 22, Code of Federal Regulations (relating to exemptions that are applicable to Canada under the International Traffic in Arms Regulations);
"(B) the Treaty Between the Government of the United States of America and the Government of Australia Concerning Defense Trade Cooperation, done at Sydney on September 5, 2007;
"(C) the Treaty Between the Government of the United States of America and the Government of the United Kingdom of Great Britain and Northern Ireland Concerning Defense Trade Cooperation, done at Washington and London on June 21 and 26, 2007; and
"(D) any other agreements among the countries comprising the national technology and industrial base.
"(b) Amendment to Definition of National Technology and Industrial Base.—[Amended section 4801 of this title.]
"(c) Reporting Requirement.—The Secretary of Defense shall report on the progress of implementing the plan in subsection (a) in the report required under section 4814 of title 10, United States Code."
Department of Defense Technology Offset Program To Build and Maintain the Military Technological Superiority of the United States
Pub. L. 114–92, div. A, title II, §218, Nov. 25, 2015, 129 Stat. 772, as amended by Pub. L. 116–283, div. A, title XVIII, §1841(e)(2), Jan. 1, 2021, 134 Stat. 4244; Pub. L. 117–81, div. A, title XVII, §1701(u)(2)(F)(ii), Dec. 27, 2021, 135 Stat. 2152, provided that:
"(a) Program Established.—
"(1) In general.—The Secretary of Defense shall establish a technology offset program to build and maintain the military technological superiority of the United States by—
"(A) accelerating the fielding of offset technologies that would help counter technological advantages of potential adversaries of the United States, including directed energy, low-cost, high-speed munitions, autonomous systems, undersea warfare, cyber technology, and intelligence data analytics, developed using research funding of the Department of Defense and accelerating the commercialization of such technologies; and
"(B) developing and implementing new policies and acquisition and business practices.
"(2) Guidelines.—Not later than one year after the date of the enactment of this Act [Nov. 25, 2015], the Secretary shall issue guidelines for the operation of the program established under paragraph (1), including—
"(A) criteria for an application for funding by a military department, Defense Agency, or a combatant command;
"(B) the purposes for which such a department, agency, or command may apply for funds and appropriate requirements for technology development or commercialization to be supported using program funds;
"(C) the priorities, if any, to be provided to field or commercialize offset technologies developed by certain types of research funding of the Department; and
"(D) criteria for evaluation of an application for funding or changes to policies or acquisition and business practices by such a department, agency, or command for purposes of the program.
"(b) Applications for Funding.—
"(1) In general.—Under the program established under subsection (a)(1), not less frequently than annually, the Secretary shall solicit from the heads of the military departments, the Defense Agencies, and the combatant commands applications for funding to be used to enter into contracts, cooperative agreements, or other transaction agreements entered into pursuant to section 4022 of title 10, United States Code, as added by section 815, with appropriate entities for the fielding or commercialization of technologies.
"(2) Treatment pursuant to certain congressional rules.—Nothing in this section shall be interpreted to require any official of the Department of Defense to provide funding under this section to any Congressional earmark as defined pursuant to clause 9 of rule XXI of the Rules of the House of Representatives or any congressionally directed spending item as defined pursuant to paragraph 5 of rule XLIV of the Standing Rules of the Senate.
"(c) Funding.—
"(1) In general.—Subject to the availability of appropriations for such purpose, of the funds authorized to be appropriated by this Act [see Tables for classification] or otherwise made available for fiscal year 2016 for research, development, test, and evaluation, Defense-wide, not more than $300,000,000 may be used for each such fiscal year for the program established under subsection (a)(1).
"(2) Amount for directed energy.—Of the funds specified in paragraph (1) for any of fiscal years 2016 through 2020, not more than $150,000,000 may be used for each such fiscal year for activities in the field of directed energy.
"(d) Transfer Authority.—
"(1) In general.—The Secretary may transfer funds available for the program established under subsection (a)(1) to the research, development, test, and evaluation accounts of a military department, Defense Agency, or a combatant command pursuant to an application, or any part of an application, that the Secretary determines would support the purposes of the program.
"(2) Supplement not supplant.—The transfer authority provided in paragraph (1) is in addition to any other transfer authority available to the Secretary of Defense.
"(e) Termination.—
"(1) In general.—The authority to carry out the program under subsection (a)(1) shall terminate on September 30, 2020.
"(2) Transfer after termination.—Any amounts made available for the program that remain available for obligation on the date on which the program terminates may be transferred under subsection (d) during the 180-day period beginning on the date of the termination of the program."
Expansion of the Industrial Base
Pub. L. 111–383, div. A, title VIII, §891, Jan. 7, 2011, 124 Stat. 4310, provided that:
"(a) Program To Expand Industrial Base Required.—The Secretary of Defense shall establish a program to expand the industrial base of the Department of Defense to increase the Department's access to innovation and the benefits of competition.
"(b) Identifying and Communicating With Firms That Are Not Traditional Suppliers.—The program established under subsection (a) shall use tools and resources available within the Federal Government and available from the private sector to provide a capability for identifying and communicating with firms that are not traditional suppliers, including commercial firms and firms of all business sizes, that are engaged in markets of importance to the Department of Defense in which such firms can make a significant contribution.
"(c) Outreach to Local Firms Near Defense Installations.—The program established under subsection (a) shall include outreach, using procurement technical assistance centers, to firms of all business sizes in the vicinity of Department of Defense installations regarding opportunities to obtain contracts and subcontracts to perform work at such installations.
"(d) Industrial Base Review.—The program established under subsection (a) shall include a continuous effort to review the industrial base supporting the Department of Defense, including the identification of markets of importance to the Department of Defense in which firms that are not traditional suppliers can make a significant contribution.
"(e) Firms That Are Not Traditional Suppliers.—For purposes of this section, a firm is not a traditional supplier of the Department of Defense if it does not currently have contracts and subcontracts to perform work for the Department of Defense with a total combined value in excess of $500,000.
"(f) Procurement Technical Assistance Center.—In this section, the term 'procurement technical assistance center' means a center operating under a cooperative agreement with the Defense Logistics Agency to provide procurement technical assistance pursuant to the authority provided in [former] chapter 142 of title 10, United States Code [see chapter 388 of this title]."
Executive Agent for Printed Circuit Board Technology
Pub. L. 110–417, [div. A], title II, §256, Oct. 14, 2008, 122 Stat. 4404, provided that:
"(a) Executive Agent.—Not later than 90 days after the date of the enactment of this Act [Oct. 14, 2008], the Secretary of Defense shall designate a senior official of the Department of Defense to act as the executive agent for printed circuit board technology.
"(b) Roles, Responsibilities, and Authorities.—
"(1) Establishment.—Not later than one year after the date of the enactment of this Act [Oct. 14, 2008], and in accordance with Directive 5101.1, the Secretary of Defense shall prescribe the roles, responsibilities, and authorities of the executive agent designated under subsection (a).
"(2) Specification.—The roles and responsibilities of the executive agent designated under subsection (a) shall include each of the following:
"(A) Development and maintenance of a printed circuit board and interconnect technology roadmap that ensures that the Department of Defense has access to the manufacturing capabilities and technical expertise necessary to meet future military requirements regarding such technology.
"(B) Development of recommended funding strategies necessary to meet the requirements of the roadmap developed under subparagraph (A).
"(C) Assessment of the vulnerabilities, trustworthiness, and diversity of the printed circuit board supply chain, including the development of trustworthiness requirements for printed circuit boards used in defense systems, and to develop strategies to address matters that are identified as a result of such assessment.
"(D) Such other roles and responsibilities as the Secretary of Defense considers appropriate.
"(c) Support Within Department of Defense.—In accordance with Directive 5101.1, the Secretary of Defense shall ensure that the military departments, Defense Agencies, and other components of the Department of Defense provide the executive agent designated under subsection (a) with the appropriate support and resources needed to perform the roles, responsibilities, and authorities of the executive agent.
"(d) Definitions.—In this section:
"(1) The term 'Directive 5101.1' means Department of Defense Directive 5101.1, or any successor directive relating to the responsibilities of an executive agent of the Department of Defense.
"(2) The term 'executive agent' has the meaning given the term 'DoD Executive Agent' in Directive 5101.1."
Essential Items Identification and Domestic Production Capabilities Improvement Program
Pub. L. 108–136, div. A, title VIII, subtitle B, part I, Nov. 24, 2003, 117 Stat. 1542, as amended by Pub. L. 109–364, div. A, title VIII, §841, Oct. 17, 2006, 120 Stat. 2335; Pub. L. 111–84, div. A, title VIII, §846, Oct. 28, 2009, 123 Stat. 2420; Pub. L. 112–81, div. A, title X, §1062(g)(2), Dec. 31, 2011, 125 Stat. 1585; Pub. L. 113–291, div. A, title X, §1071(b)(5)(A), (d)(1)(C), Dec. 19, 2014, 128 Stat. 3506, 3509; Pub. L. 116–283, div. A, title XVIII, §1866(d)(4), Jan. 1, 2021, 134 Stat. 4280; Pub. L. 117–81, div. A, title XVII, §1701(b)(21)(B), Dec. 27, 2021, 135 Stat. 2135, provided that:
"SEC. 811. CONSISTENCY WITH UNITED STATES OBLIGATIONS UNDER INTERNATIONAL AGREEMENTS.
"No provision of this subtitle [subtitle B (§§811–828) of title VIII of div. A of Pub. L. 108–136, see Tables for classification] or any amendment made by this subtitle shall apply to the extent the Secretary of Defense, in consultation with the Secretary of Commerce, the United States Trade Representative, and the Secretary of State, determines that it is inconsistent with United States obligations under an international agreement.
"SEC. 812. ASSESSMENT AND ANNUAL REPORT OF UNITED STATES DEFENSE INDUSTRIAL BASE CAPABILITIES AND ACQUISITIONS OF ARTICLES, MATERIALS, AND SUPPLIES MANUFACTURED OUTSIDE THE UNITED STATES.
"(a) Assessment Program.—(1) The Secretary of Defense shall establish a program to assess—
"(A) the degree to which the United States is dependent on foreign sources of supply; and
"(B) the capabilities of the United States defense industrial base to produce military systems necessary to support the national security objectives set forth in section 4811 of title 10, United States Code.
"(2) For purposes of the assessment program, the Secretary shall use existing data, as required under subsection (b), and submit an annual report, as required under subsection (c).
"(b) Use of Existing Data.—(1) At a minimum, with respect to each prime contract with a value greater than $25,000 for the procurement of defense items and components, the following information from existing sources shall be used for purposes of the assessment program:
"(A) Whether the contractor is a United States or foreign contractor.
"(B) The principal place of business of the contractor and the principal place of performance of the contract.
"(C) Whether the contract was awarded on a sole source basis or after receipt of competitive offers.
"(D) The dollar value of the contract.
"(2) The Federal Procurement Data System described in section 1122(a)(4)(A) of title 41, United States Code, or any successor system, shall collect from contracts described in paragraph (1) the information specified in that paragraph.
"(3) Information obtained in the implementation of this section is subject to the same limitations on disclosure, and penalties for violation of such limitations, as is provided under section 4818 of title 10, United States Code. Such information also shall be exempt from release under section 552 of title 5, United States Code.
"(4) For purposes of meeting the requirements set forth in this section, the Secretary of Defense may not require the provision of information beyond the information that is currently provided to the Department of Defense through existing data collection systems by non-Federal entities with respect to contracts and subcontracts with the Department of Defense or any military department.
"[(c) Repealed. Pub. L. 112–81, div. A, title X, §1062(g)(2), Dec. 31, 2011, 125 Stat. 1585.]
"(d) Public Availability.—The Secretary of Defense shall make the report submitted under subsection (c) publicly available to the maximum extent practicable.
"(e) Applicability.—This section shall not apply to acquisitions made by an agency, or component thereof, that is an element of the intelligence community as set forth in or designated under section 3(4) of the National Security Act of 1947 (50 U.S.C. 3003(4)).
"SEC. 814. PRODUCTION CAPABILITIES IMPROVEMENT FOR CERTAIN ESSENTIAL ITEMS USING DEFENSE INDUSTRIAL BASE CAPABILITIES FUND.
"(a) Establishment of Fund.—There is established in the Treasury of the United States a separate fund to be known as the Defense Industrial Base Capabilities Fund (hereafter in this section referred to as the 'Fund').
"(b) Moneys in Fund.—There shall be credited to the Fund amounts appropriated to it.
"(c) Use of Fund.—The Secretary of Defense is authorized to use all amounts in the Fund, subject to appropriation, for the purposes of enhancing or reconstituting United States industrial capability to produce items on the military system essential item breakout list (as described in section 812(b)) or items subject to section 4864 of title 10, United States Code, in the quantity and of the quality necessary to achieve national security objectives.
"(d) Limitation on Use of Fund.—Before the obligation of any amounts in the Fund, the Secretary of Defense shall submit to Congress a report describing the Secretary's plans for implementing the Fund established in subsection (a), including the priorities for the obligation of amounts in the Fund, the criteria for determining the recipients of such amounts, and the mechanisms through which such amounts may be provided to the recipients.
"(e) Availability of Funds.—Amounts in the Fund shall remain available until expended.
"(f) Fund Manager.—The Secretary of Defense shall designate a Fund manager. The duties of the Fund manager shall include—
"(1) ensuring the visibility and accountability of transactions engaged in through the Fund; and
"(2) reporting to Congress each year regarding activities of the Fund during the previous fiscal year."
Documentation for Awards for Cooperative Agreements or Other Transactions Under Defense Technology Reinvestment Programs
Pub. L. 103–337, div. A, title XI, §1118, Oct. 5, 1994, 108 Stat. 2870, provided that: "At the time of the award for a cooperative agreement or other transaction under a program carried out under chapter 148 of title 10, United States Code [see chapters 381 to 385, and chapter 389, of this title], the head of the agency concerned shall include in the file pertaining to such agreement or transaction a brief explanation of the manner in which the award advances and enhances a particular national security objective set forth in section 2501(a) of such title [now 10 U.S.C. 4811(a)] or a particular policy objective set forth in [former] section 2501(b) of such title."
National Shipbuilding Initiative
Pub. L. 103–160, div. A, title XIII, §§1351–1354, Nov. 30, 1993, 107 Stat. 1809, 1810, as amended by Pub. L. 104–201, div. A, title X, §1073(e)(1)(F), (2)(B), (3), Sept. 23, 1996, 110 Stat. 2658, provided that:
"SEC. 1351. SHORT TITLE.
"This subtitle [subtitle D, §§1351–1363 of title XIII of div. A of Pub. L. 103–160, see Tables for classification] may be cited as the 'National Shipbuilding and Shipyard Conversion Act of 1993'.
"SEC. 1352. NATIONAL SHIPBUILDING INITIATIVE.
"(a) Establishment of Program.—There shall be a National Shipbuilding Initiative program, to be carried out to support the industrial base for national security objectives by assisting in the reestablishment of the United States shipbuilding industry as a self-sufficient, internationally competitive industry.
"(b) Administering Departments.—The program shall be carried out—
"(1) by the Secretary of Defense, with respect to programs under the jurisdiction of the Secretary of Defense; and
"(2) by the Secretary of Transportation, with respect to programs under the jurisdiction of the Secretary of Transportation.
"(c) Program Elements.—The National Shipbuilding Initiative shall consist of the following program elements:
"(1) Financial incentives program.—A financial incentives program to provide loan guarantees to initiate commercial ship construction for domestic and export sales, encourage shipyard modernization, and support increased productivity.
"(2) Technology development program.—A technology development program, to be carried out within the Department of Defense by the Defense Advanced Research Projects Agency, to improve the technology base for advanced shipbuilding technologies and related dual-use technologies through activities including a development program for innovative commercial ship design and production processes and technologies.
"(3) Navy's affordability through commonality program.—Enhanced support by the Secretary of Defense for the shipbuilding program of the Department of the Navy known as the Affordability Through Commonality (ATC) program, to include enhanced support (A) for the development of common modules for military and commercial ships, and (B) to foster civil-military integration into the next generation of Naval surface combatants.
"(4) Navy's manufacturing technology and technology base programs.—Enhanced support by the Secretary of Defense for, and strengthened funding for, that portion of the Manufacturing Technology program of the Navy, and that portion of the Technology Base program of the Navy, that are in the areas of shipbuilding technologies and ship repair technologies.
"SEC. 1353. DEPARTMENT OF DEFENSE PROGRAM MANAGEMENT THROUGH DEFENSE ADVANCED RESEARCH PROJECTS AGENCY.
"The Secretary of Defense shall designate the Defense Advanced Research Projects Agency of the Department of Defense as the lead agency of the Department of Defense for activities of the Department of Defense which are part of the National Shipbuilding Initiative program. Those activities shall be carried out as part of defense conversion activities of the Department of Defense.
"SEC. 1354. DEFENSE ADVANCED RESEARCH PROJECTS AGENCY FUNCTIONS AND MINIMUM FINANCIAL COMMITMENT OF NON-FEDERAL GOVERNMENT PARTICIPANTS.
"(a) DARPA Functions.—The Secretary of Defense, acting through the Director of the Defense Advanced Research Projects Agency, shall carry out the following functions with respect to the National Shipbuilding Initiative program:
"(1) Consultation with the Maritime Administration, the Office of Economic Adjustment, the National Economic Council, the National Shipbuilding Research Project, the Coast Guard, the National Oceanic and Atmospheric Administration, appropriate naval commands and activities, and other appropriate Federal agencies on—
"(A) development and transfer to the private sector of dual-use shipbuilding technologies, ship repair technologies, and shipbuilding management technologies;
"(B) assessments of potential markets for maritime products; and
"(C) recommendation of industrial entities, partnerships, joint ventures, or consortia for short- and long-term manufacturing technology investment strategies.
"(2) Funding and program management activities to develop innovative design and production processes and the technologies required to implement those processes.
"(3) Facilitation of industry and Government technology development and technology transfer activities (including education and training, market assessments, simulations, hardware models and prototypes, and national and regional industrial base studies).
"(4) Integration of promising technology advances made in the Technology Reinvestment Program of the Defense Advanced Research Projects Agency into the National Shipbuilding Initiative to effect full defense conversion potential.
"(b) Financial Commitment of Non-Federal Government Participants.—
"(1) Maximum department of defense share.—The Secretary of Defense shall ensure that the amount of funds provided by the Secretary to a non-Federal government participant does not exceed 50 percent of the total cost of technology development and technology transfer activities.
"(2) Regulations.—The Secretary may prescribe regulations to provide for consideration of in-kind contributions by non-Federal Government participants in a partnership for the purpose of calculating the share of the partnership costs that has been or is being undertaken by such participants. In prescribing the regulations, the Secretary may determine that a participant that is a small business concern may use funds received under the Small Business Innovation Research Program or the Small Business Technology Transfer Program to help pay the costs of partnership activities. Any such funds so used may be included in calculating the amount of the financial commitment undertaken by the non-Federal Government participants unless the Secretary determines that the small business concern has not made a significant equity contribution in the program from non-Federal sources."
[For transfer of authorities, functions, personnel, and assets of the Coast Guard, including the authorities and functions of the Secretary of Transportation relating thereto, to the Department of Homeland Security, and for treatment of related references, see sections 468(b), 551(d), 552(d), and 557 of Title 6, Domestic Security, and the Department of Homeland Security Reorganization Plan of November 25, 2002, as modified, set out as a note under section 542 of Title 6.]
Industrial Diversification Planning for Defense Contractors
Pub. L. 102–484, div. D, title XLII, §4239, Oct. 23, 1992, 106 Stat. 2694, provided that: "Not later than 120 days after the date of enactment of this Act [Oct. 23, 1992], the Secretary of Defense shall prescribe regulations to encourage defense contractors to engage in industrial diversification planning."
§4812. National Defense Technology and Industrial Base Council
(a) Establishment.—There is a National Defense Technology and Industrial Base Council.
(b) Composition.—The Council is composed of the following members:
(1) The Secretary of Defense, who shall serve as chairman.
(2) The Secretary of Energy.
(3) The Secretary of Commerce.
(4) The Secretary of Labor.
(5) Such other officials as may be determined by the President.
(c) Responsibilities.—The Council shall have the responsibility to ensure effective cooperation among departments and agencies of the Federal Government, and to provide advice and recommendations to the President, the Secretary of Defense, the Secretary of Energy, the Secretary of Commerce, and the Secretary of Labor, concerning—
(1) the capabilities of the national technology and industrial base to meet the national security objectives set forth in section 4811(a) of this title;
(2) programs for achieving such national security objectives;
(3) changes in acquisition policy that strengthen the national technology and industrial base; and
(4) collaboration with government officials of member countries of the national technology and industrial base in order to strengthen the national technology and industrial base.
(d) Alternative Performance of Responsibilities.—Notwithstanding subsection (c), the President may assign the responsibilities of the Council to another interagency organization of the executive branch that includes among its members the officials specified in paragraphs (1) through (4) of subsection (b).
(Added Pub. L. 102–484, div. D, title XLII, §4212(a), Oct. 23, 1992, 106 Stat. 2664, §2502; amended Pub. L. 103–160, div. A, title XIII, §1312(b), Nov. 30, 1993, 107 Stat. 1786; Pub. L. 103–337, div. A, title X, §1070(a)(12), Oct. 5, 1994, 108 Stat. 2856; Pub. L. 104–106, div. A, title X, §1081(b), Feb. 10, 1996, 110 Stat. 452; Pub. L. 104–201, div. A, title VIII, §829(c)(2), formerly §829(c)(2), (3), Sept. 23, 1996, 110 Stat. 2613, renumbered Pub. L. 105–85, div. A, title X, §1073(c)(7)(B), Nov. 18, 1997, 111 Stat. 1904; Pub. L. 105–85, div. A, title X, §1073(c)(7)(A), Nov. 18, 1997, 111 Stat. 1904; renumbered §4812 and amended Pub. L. 116–283, div. A, title VIII, §846(c), title XVIII, §1867(b), (d)(1), Jan. 1, 2021, 134 Stat. 3768, 4281.)
Editorial Notes
Amendments
2021—Pub. L. 116–283, §1867(b), renumbered section 2502 of this title as this section.
Subsec. (c)(1). Pub. L. 116–283, §1867(d)(1), substituted "section 4811(a)" for "section 2501(a)".
Subsec. (c)(4). Pub. L. 116–283, §846(c), added par. (4).
1997—Subsec. (c). Pub. L. 105–85, §1073(c)(7)(A), made technical correction to directory language of Pub. L. 104–201, §829(c)(2). See 1996 Amendment note below.
1996—Subsec. (c). Pub. L. 104–201, §829(c)(2), formerly §829(c)(2), (3), as renumbered and amended by Pub. L. 105–85, substituted "the responsibility to ensure effective cooperation" for "the following responsibilities:", struck out "(1) To ensure the effective cooperation" before "among departments", struck out par. (2), redesignated subpars. (A), (B), and (C) as pars. (1), (2), and (3), respectively, and adjusted margins of such pars. Prior to repeal, par. (2) read as follows: "To prepare the periodic assessment and the periodic plan required by sections 2505 and 2506 of this title, respectively."
Subsec. (c)(1)(B). Pub. L. 104–106, §1081(b)(1), added subpar. (B) and struck out former subpar. (B) which read as follows: "programs for achieving, during a period of reduction in defense expenditures, the defense reinvestment, diversification, and conversion objectives set forth in section 2501(b) of this title; and".
Subsec. (c)(2), (3). Pub. L. 104–106, §1081(b)(2), (3), redesignated par. (3) as (2) and struck out former par. (2) which read as follows: "To provide overall policy guidance to ensure effective implementation by agencies of the Federal Government of defense reinvestment and conversion activities during a period of reduction in defense expenditures."
1994—Subsec. (d). Pub. L. 103–337 substituted "executive" for "Executive".
1993—Subsec. (d). Pub. L. 103–160 added subsec. (d).
Statutory Notes and Related Subsidiaries
Effective Date of 2021 Amendment
Amendment by section 1867(b), (d)(1) of Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.
Effective Date of 1997 Amendment
Pub. L. 105–85, div. A, title X, §1073(c), Nov. 18, 1997, 111 Stat. 1904, provided that the amendment made by that section is effective as of Sept. 23, 1996, and as if included in the National Defense Authorization Act for Fiscal Year 1997, Pub. L. 104–201, as enacted.
§4813. National defense program for analysis of the technology and industrial base
(a) Establishment.—The Secretary of Defense shall establish a program for analysis of the national technology and industrial base.
(b) Supervision of Program.—The Secretary of Defense shall carry out the program through the Under Secretary of Defense for Research and Engineering and the Under Secretary of Defense for Acquisition and Sustainment. In carrying out the program, the Under Secretaries shall consult with the Secretary of Energy, the Secretary of Commerce, and the Secretary of Labor.
(c) Functions.—The functions of the program shall include, with respect to the national technology and industrial base, the following:
(1) The assembly of timely and authoritative information.
(2) Initiation of studies and analyses.
(3) Provision of technical support and assistance to—
(A) the Secretary of Defense for the preparation of the periodic assessments required by section 4816 of this title;
(B) the defense acquisition university structure and its elements; and
(C) other departments and agencies of the Federal Government in accordance with guidance established by the Council.
(4) Dissemination, through the National Technical Information Service of the Department of Commerce, of unclassified information and assessments for further dissemination within the Federal Government and to the private sector.
(Added Pub. L. 102–484, div. D, title XLII, §4213(a), Oct. 23, 1992, 106 Stat. 2665, §2503; amended Pub. L. 104–201, div. A, title VIII, §829(b), Sept. 23, 1996, 110 Stat. 2612; Pub. L. 107–107, div. A, title X, §1048(b)(4), Dec. 28, 2001, 115 Stat. 1225; Pub. L. 116–92, div. A, title IX, §902(74), Dec. 20, 2019, 133 Stat. 1552; renumbered §4813 and amended Pub. L. 116–283, div. A, title XVIII, §1867(b), (d)(2), Jan. 1, 2021, 134 Stat. 4281.)
Editorial Notes
Amendments
2021—Pub. L. 116–283, §1867(b), renumbered section 2503 of this title as this section.
Subsec. (c)(3)(A). Pub. L. 116–283, §1867(d)(2), substituted "section 4816" for "section 2505".
2019—Subsec. (b). Pub. L. 116–92 substituted "the Under Secretary of Defense for Research and Engineering and the Under Secretary of Defense for Acquisition and Sustainment" for "the Under Secretary of Defense for Acquisition, Technology, and Logistics" and "the Under Secretaries shall" for "the Under Secretary shall".
2001—Subsec. (b). Pub. L. 107–107 substituted "Under Secretary of Defense for Acquisition, Technology, and Logistics" for "Under Secretary of Defense for Acquisition".
1996—Subsec. (a). Pub. L. 104–201, §829(b)(1), substituted "The Secretary of Defense" for "(1) The Secretary of Defense, in consultation with the National Defense Technology and Industrial Base Council," and struck out pars. (2) to (4) which read as follows:
"(2) As determined by the Secretary of Defense, the program shall be administered by one of the following:
"(A) An existing federally funded research and development center.
"(B) A consortium of existing federally funded research and development centers and other nonprofit entities.
"(C) A private sector entity (other than a federally funded research and development center).
"(D) The National Defense University.
"(3) A contract may be awarded under subparagraph (A), (B), or (C) of paragraph (2) only through the use of competitive procedures.
"(4) The Secretary of Defense shall ensure that there is appropriate coordination between the program and the Critical Technologies Institute."
Subsec. (c)(3)(A). Pub. L. 104–201, §829(b)(2), substituted "the Secretary of Defense for" for "the National Defense Technology and Industrial Base Council in" and struck out "and the periodic plans required by section 2506 of this title" after "section 2505 of this title".
Statutory Notes and Related Subsidiaries
Effective Date of 2021 Amendment
Amendment by Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.
§4814. National technology and industrial base: biennial report
The Secretary of Defense shall transmit to the Committee on Armed Services of the Senate and the Committee on Armed Services of the House of Representatives by March 1 of each odd-numbered year a report which shall include the following information:
(1) A description of the departmental guidance prepared pursuant to section 4811(c) of this title.
(2) A description of the assessments prepared pursuant to section 4816 of this title and other analyses used in developing the budget submission of the Department of Defense for the next fiscal year.
(3) Based on the strategy required by section 4811 of this title and on the assessments prepared pursuant to Executive order or section 4816 of this title—
(A) a map of the industrial base;
(B) a prioritized list of gaps or vulnerabilities in the national technology and industrial base (including vulnerabilities related to the current and projected impacts of extreme weather and to cyber attacks or disruptions), including—
(i) a description of mitigation strategies necessary to address such gaps or vulnerabilities;
(ii) the identification of the Secretary concerned or the head of the Defense Agency responsible for addressing such gaps or vulnerabilities; and
(iii) a proposed timeline for action to address such gaps or vulnerabilities; and
(C) any other steps necessary to foster and safeguard the national technology and industrial base.
(4) Identification of each program designed to sustain specific essential technological and industrial capabilities and processes of the national technology and industrial base.
(5) A detailed description of any use by the Secretary of Defense or a Secretary concerned, as applicable, during the prior 12 months of a waiver or exception to the sourcing requirements or prohibitions established by chapter 83 of title 41 or chapter 385 of this title, including—
(A) the type of waiver or exception used; and
(B) the reasoning for the use of each such waiver or exception.
(Added Pub. L. 104–201, div. A, title VIII, §829(e), Sept. 23, 1996, 110 Stat. 2614, §2504; amended Pub. L. 106–65, div. A, title X, §1067(1), Oct. 5, 1999, 113 Stat. 774; Pub. L. 112–239, div. A, title XVI, §1603(b), Jan. 2, 2013, 126 Stat. 2063; Pub. L. 116–92, div. A, title VIII, §846(b), Dec. 20, 2019, 133 Stat. 1503; renumbered §4814 and amended Pub. L. 116–283, div. A, title VIII, §842(a), (b)(1), title XVIII, §1867(b), (d)(3), Jan. 1, 2021, 134 Stat. 3764, 3765, 4281; Pub. L. 117–81, div. A, title III, §333, title XVII, §1701(b)(22)(A), (d)(15), Dec. 27, 2021, 135 Stat. 1638, 2135, 2137; Pub. L. 118–31, div. A, title X, §1061(c)(1), Dec. 22, 2023, 137 Stat. 399.)
Editorial Notes
Amendments
2023—Pub. L. 118–31, in section catchline, substituted "National technology and industrial base: biennial report" for "National technology and industrial base: annual report and quarterly briefings"; in subsec. (a), struck out designation and heading "Annual Report" before "The Secretary of Defense shall transmit" and substituted "March 1 of each odd-numbered year" for "March 1 of each year" in introductory provisions; and struck out subsec. (b) which required quarterly briefings from the Secretary of Defense to the congressional defense committees.
2021—Pub. L. 116–283, §1867(b), renumbered section 2504 of this title as this section.
Pub. L. 116–283, §842(b)(1), amended section catchline generally, substituting "National technology and industrial base: annual report and quarterly briefings" for "Annual report to Congress".
Subsec. (a). Pub. L. 116–283, §842(a)(1), designated existing provisions as subsec. (a) and inserted heading.
Subsec. (a)(1). Pub. L. 116–283, §1867(d)(3)(A), as amended by Pub. L. 117–81, §1701(b)(22)(A), substituted "section 4811(c)" for "section 2506".
Subsec. (a)(2). Pub. L. 116–283, §1867(d)(3)(B), as amended by Pub. L. 117–81, §1701(b)(22)(A), substituted "section 4816" for "section 2505".
Subsec. (a)(3). Pub. L. 116–283, §1867(d)(3)(C), as amended by Pub. L. 117–81, §1701(b)(22)(A), substituted "section 4811" for "section 2501" and "section 4816" for "section 2505".
Subsec. (a)(3)(B). Pub. L. 117–81, §333, which directed the amendment of par. (3)(B) by inserting "(including vulnerabilities related to the current and projected impacts of extreme weather and to cyber attacks or disruptions)" after "industrial base", was executed by making the insertion in subsec. (a)(3)(B) to reflect the probable intent of Congress.
Subsec. (a)(5). Pub. L. 117–81, §1701(d)(15), substituted "chapter 385" for "subchapter V of chapter 148" in introductory provisions.
Pub. L. 116–283, §842(a)(2), added par. (5).
Subsec. (b). Pub. L. 116–283, §842(a)(3), added subsec. (b).
2019—Par. (3). Pub. L. 116–92, §846(b)(1), inserted "Executive order or" after "pursuant to".
Par. (3)(A). Pub. L. 116–92, §846(b)(2), amended subpar. (A) generally. Prior to amendment, subpar. (A) read as follows: "a description of any mitigation strategies necessary to address any gaps or vulnerabilities in the national technology and industrial base; and".
Par. (3)(B), (C). Pub. L. 116–92, §846(b)(3), (4), added subpar. (B) and redesignated former subpar. (B) as (C).
2013—Pars. (2), (3). Pub. L. 112–239 added par. (3), redesignated former par. (3) as (2) and struck out former par. (2) which read as follows: "A description of the methods and analyses being undertaken by the Department of Defense alone or in cooperation with other Federal agencies, to identify and address concerns regarding technological and industrial capabilities of the national technology and industrial base."
1999—Pub. L. 106–65 substituted "and the Committee on Armed Services" for "and the Committee on National Security" in introductory provisions.
Statutory Notes and Related Subsidiaries
Effective Date of 2021 Amendment
Amendment by section 1701(b)(22)(A) of Pub. L. 117–81 applicable as if included in the enactment of title XVIII of Pub. L. 116–283 as enacted, see section 1701(a)(2) of Pub. L. 117–81, set out in a note preceding section 3001 of this title and note below.
Amendment by section 1701(d)(15) of Pub. L. 117–81 to take effect immediately after the amendments made by title XVIII of Pub. L. 116–283 have taken effect, see section 1701(a)(3) of Pub. L. 117–81, set out in a note preceding section 3001 of this title and note below.
Amendment by section 1867(b), (d)(3) of Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.
§4815. Unfunded priorities of the national technology and industrial base: annual report
(a) Annual Report.—Not later than 10 days after the date on which the budget of the President for a fiscal year is submitted to Congress pursuant to section 1105 of title 31, the Under Secretary of Defense for Acquisition and Sustainment shall submit to the Secretary of Defense, the Chairman of the Joint Chiefs of Staff, and the congressional defense committees a report on the unfunded priorities to address gaps or vulnerabilities in the national technology and industrial base.
(b) Elements.—
(1) In general.—Each report under subsection (a) shall specify, for each unfunded priority covered by such report, the following:
(A) A summary description of such priority, including the objectives to be achieved if such priority is funded (whether in whole or in part).
(B) The additional amount of funds recommended in connection with the objectives under subparagraph (A).
(C) Account information with respect to such priority, including the following (as applicable):
(i) Line Item Number (LIN) for applicable procurement accounts.
(ii) Program Element (PE) number for applicable research, development, test, and evaluation accounts.
(iii) Sub-activity group (SAG) for applicable operation and maintenance accounts.
(2) Prioritization of priorities.—Each report shall present the unfunded priorities covered by such report in order of urgency of priority.
(c) Unfunded Priority Defined.—In this section, the term "unfunded priority", in the case of a fiscal year, means a program, activity, or mission requirement of the national technology and industrial base that—
(1) is not funded in the budget of the President for the fiscal year as submitted to Congress pursuant to section 1105 of title 31;
(2) is necessary to address gaps or vulnerabilities in the national technology and industrial base; and
(3) would have been recommended for funding through the budget referred to in paragraph (1) if—
(A) additional resources had been available for the budget to fund the program, activity, or mission requirement; or
(B) the program, activity, or mission requirement had emerged before the budget was formulated.
(Added Pub. L. 116–92, div. A, title VIII, §846(c)(1), Dec. 20, 2019, 133 Stat. 1504, §2504a; renumbered §4815, Pub. L. 116–283, div. A, title XVIII, §1867(b), Jan. 1, 2021, 134 Stat. 4281.)
Editorial Notes
Amendments
2021—Pub. L. 116–283 renumbered section 2504a of this title as this section.
Statutory Notes and Related Subsidiaries
Effective Date of 2021 Amendment
Amendment by Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.
§4816. National technology and industrial base: periodic defense capability assessments
(a) Periodic Assessment.—Each fiscal year, the Secretary of Defense shall prepare selected assessments of the capability of the national technology and industrial base to attain the national security objectives set forth in section 4811(a) of this title. The Secretary of Defense shall prepare such assessments in consultation with the Secretary of Commerce and the Secretary of Energy.
(b) Assessment Process.—The Secretary of Defense shall ensure that technology and industrial capability assessments—
(1) describe sectors or capabilities, their underlying infrastructure and processes;
(2) analyze present and projected financial performance of industries supporting the sectors or capabilities in the assessment;
(3) determine the extent to which the requirements associated with defense acquisition programs can be satisfied by the present and projected performance capacities of industries supporting the sectors or capabilities in the assessment, evaluate the reasons for any variance from applicable preceding determinations, and identify the extent to which those industries are comprised of only one potential source in the national technology and industrial base or have multiple potential sources;
(4) determine the extent to which the requirements associated with defense acquisition programs can be satisfied by the present and projected performance capacities of industries that do not actively support Department of Defense acquisition programs and identify the barriers to the participation of those industries;
(5) identify technological and industrial capabilities and processes for which there is potential for the national industrial and technology base not to be able to support the achievement of national security objectives; and
(6) consider the effects of the termination of major defense acquisition programs (as the term is defined in section 4201 of this title) in the previous fiscal year on the sectors and capabilities in the assessment.
(c) Assessment of Extent of Dependency on Foreign Source Items.—Each assessment under subsection (a) shall include a separate discussion and presentation regarding the extent to which the national technology and industrial base is dependent on items for which the source of supply, manufacture, or technology is outside of the United States and Canada and for which there is no immediately available source in the United States or Canada. The discussion and presentation regarding foreign dependency shall—
(1) identify cases that pose an unacceptable risk of foreign dependency, as determined by the Secretary; and
(2) present actions being taken or proposed to be taken to remedy the risk posed by the cases identified under paragraph (1), including efforts to develop a domestic source for the item in question.
(d) Assessment of Extent of Effects of Foreign Boycotts.—Each assessment under subsection (a) shall include an examination of the extent to which the national technology and industrial base is affected by foreign boycotts. If it is determined that a foreign boycott (other than a boycott addressed in a previous assessment) is subjecting the national technology and industrial base to significant harm, the assessment shall include a separate discussion and presentation regarding that foreign boycott that shall, at a minimum—
(1) identify the sectors that are subject to such harm;
(2) describe the harm resulting from such boycott; and
(3) identify actions necessary to minimize the effects of such boycott on the national technology and industrial base.
(e) Integrated Process.—The Secretary of Defense shall ensure that consideration of the technology and industrial base assessments is integrated into the overall budget, acquisition, and logistics support decision processes of the Department of Defense.
(Added Pub. L. 102–484, div. D, title XLII, §4215, Oct. 23, 1992, 106 Stat. 2667, §2505; amended Pub. L. 103–35, title II, §201(g)(7), May 31, 1993, 107 Stat. 100; Pub. L. 104–201, div. A, title VIII, §829(c)(1), Sept. 23, 1996, 110 Stat. 2612; Pub. L. 111–23, title III, §303(b), May 22, 2009, 123 Stat. 1731; Pub. L. 111–383, div. A, title VIII, §895(c), Jan. 7, 2011, 124 Stat. 4314; Pub. L. 112–239, div. A, title XVI, §1602, Jan. 2, 2013, 126 Stat. 2062; Pub. L. 114–92, div. A, title VIII, §876, Nov. 25, 2015, 129 Stat. 941; renumbered §4816 and amended Pub. L. 116–283, div. A, title XVIII, §§1867(b), (d)(4), 1883(b)(2), Jan. 1, 2021, 134 Stat. 4281, 4282, 4294; Pub. L. 118–159, div. A, title XVII, §1701(a)(41), Dec. 23, 2024, 138 Stat. 2206; Pub. L. 119–60, div. A, title XVII, §1701(a)(30), Dec. 18, 2025, 139 Stat. 1209.)
Editorial Notes
Amendments
2025—Subsec. (b)(6). Pub. L. 119–60 inserted closing parenthesis after "this title".
2024—Subsec. (b)(6). Pub. L. 118–159, which directed substitution of "section 4201 of this title" for "section 2430 of this title) or major automated information systems (as defined in section 2445a of this title)", was executed by making the substitution for "section 2430 of this title) or major automated information system programs (as defined in section 2445a of this title)" to reflect the probable intent of Congress.
2021—Pub. L. 116–283, §1867(b), renumbered section 2505 of this title as this section.
Subsec. (a). Pub. L. 116–283, §1867(d)(4), substituted "section 4811(a)" for "section 2501(a)".
Subsec. (b)(6). Pub. L. 116–283, §1883(b)(2), which directed that each reference in the text of title 10 to a section that was redesignated by title XVIII of Pub. L. 116–283, as such section was in effect before the redesignation, be amended by striking such reference and inserting a reference to the appropriate redesignated section, was not executed with respect to "section 2430", which was redesignated as multiple sections.
2015—Subsec. (b)(3) to (6). Pub. L. 114–92 added pars. (3) and (4) and redesignated former pars. (3) and (4) as (5) and (6), respectively.
2013—Subsecs. (d), (e). Pub. L. 112–239 added subsec. (d) and redesignated former subsec. (d) as (e).
2011—Subsec. (b)(4). Pub. L. 111–383 inserted "or major automated information system programs (as defined in section 2445a of this title)" after "section 2430 of this title)".
2009—Subsec. (b)(4). Pub. L. 111–23 added par. (4).
1996—Pub. L. 104–201 reenacted section catchline without change and amended text generally. Prior to amendment, text consisted of subsecs. (a) to (d) providing for National Defense Technology and Industrial Base Council to prepare, at least annually through fiscal year 1997 and biennially thereafter, a comprehensive assessment of capability of the national technology and industrial base to attain national security objectives.
1993—Pub. L. 103–35 substituted "capability" for "capabilty" in section catchline.
Statutory Notes and Related Subsidiaries
Effective Date of 2021 Amendment
Amendment by Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.
Pilot Program on Strengthening the Defense Industrial and Innovation Base
Pub. L. 115–91, div. A, title XVII, §1711, Dec. 12, 2017, 131 Stat. 1811, as amended by Pub. L. 116–283, div. A, title II, §213(c), Jan. 1, 2021, 134 Stat. 3457, provided that:
"(a) Pilot Program Required.—The Secretary of Defense shall carry out a pilot program to assess the feasibility and advisability of increasing the capability of the defense industrial base and the defense innovation base to support—
"(1) development, prototyping, and manufacturing production needs to meet military requirements; and
"(2) development, prototyping, and manufacturing of emerging defense and commercial technologies.
"(b) Authorities.—The Secretary shall carry out the pilot program under the following:
"(1) [Former] Chapters 137 and 139 and sections 2371, 2371b, and 2373 of title 10, United States Code [now 10 U.S.C. 4021, 4022, 4023].
"(2) [Former] Section 230 of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (Public Law 115–232; 10 U.S.C. 2358 note [now 10 U.S.C. 4061 note prec.]).
"(3) Such other legal authorities as the Secretary considers applicable to carrying out the pilot program.
"(c) Activities.—Activities under the pilot program may include the following:
"(1) Use of contracts, grants, or other transaction authorities to support development, prototyping, and manufacturing capabilities in small- and medium-sized manufacturers.
"(2) Purchases of goods or equipment for testing and certification purposes.
"(3) Incentives, including purchase commitments and cost sharing with nongovernmental sources, for the private sector to develop capabilities in areas of national security interest.
"(4) Issuing loans or providing loan guarantees to small- and medium-sized companies to support manufacturing and production capabilities in areas of national security interest.
"(5) Giving awards to third party entities to support investments in small- and medium-sized companies working in areas of national security interest, including debt and equity investments that would benefit missions of the Department of Defense.
"(6) Such other activities as the Secretary determines necessary.
"(d) Termination.—The pilot program shall terminate on December 31, 2026.
"(e) Briefing Required.—No later than January 31, 2027, the Secretary of Defense shall provide a briefing to the Committees on Armed Services in the Senate and the House of Representatives on the results of the pilot program."
§4817. Industrial Base Fund
(a) Establishment.—The Secretary of Defense shall establish an Industrial Base Fund (in this section referred to as the "Fund").
(b) Control of Fund.—The Fund shall be under the control of the Under Secretary of Defense for Acquisition and Sustainment, acting through the Deputy Assistant Secretary of Defense for Manufacturing and Industrial Base Policy.
(c) Amounts in Fund.—The Fund shall consist of amounts appropriated or otherwise made available to the Fund.
(d) Use of Fund.—Subject to subsection (e), the Fund shall be used—
(1) to support the monitoring and assessment of the industrial base required by chapters 381 through 385 and chapter 389;
(2) to address critical issues in the industrial base relating to urgent operational needs;
(3) to support efforts to expand the industrial base; and
(4) to address supply chain vulnerabilities.
(e) Use of Fund Subject to Appropriations.—The authority of the Secretary of Defense to use the Fund under this section in any fiscal year is subject to the availability of appropriations for that purpose.
(f) Expenditures.—The Secretary shall establish procedures for expending monies in the Fund in support of the uses identified in subsection (d), including the following:
(1) Direct obligations from the Fund.
(2) Transfers of monies from the Fund to relevant appropriations of the Department of Defense.
(g) Eligible Uses of Authorities.—(1) In General.—The Secretary of Defense may use the authorities provided by this section with respect to defense supply chains, including for material, material production, components, subassemblies, and finished products, testing and qualification, infrastructure, facility construction and improvement, and equipment needed directly for the following:
(A) Castings and forgings.
(B) Kinetic capabilities, including sensors, targeting systems, and delivery platforms.
(C) Microelectronics.
(D) Machine tools, including subtractive, additive, convergent, stamping, forging, abrasives, metrology, and other production equipment.
(E) Critical minerals, materials, and chemicals.
(F) The workforce of the defense industrial base.
(G) Advanced manufacturing (as defined in section 4841(f)) capability and capacity of the defense industrial base, including manufacturing at or near the point of need in the area of responsibility of the United States Indo-Pacific Command.
(H) Unmanned vehicles, including subsurface, surface, land, air, single use, and attritable unmanned vehicles and associated launch and recovery platforms.
(I) Manned aircraft.
(J) Ground systems.
(K) Power sources.
(L) Ships or submarines, including technologies and capabilities for the assembly or automation of ships or submarines, new or modernized infrastructure for the construction of new ships or submarines or the maintenance and sustainment or repair of battle damage to ships or submarines.
(M) Other materiel solutions required to support the operational plans of the United States Indo-Pacific Command.
(N) Defense space systems.
(O) Batteries.
(2) Prohibition on Use in Covered Countries.—The Secretary may not use the authorities provided by this section for any activity in a covered country.
(3) Use of Authorities for Other Purposes.—The Secretary may not use the authorities provided by subsections (h) through (j) for a purpose other than a purpose described in paragraph (1) unless the Secretary—
(A) determines that—
(i) the use of the authority for such other purpose is essential to the defense interests of the United States; and
(ii) without the use of the authority for such other purpose, the defense industrial base cannot reasonably be expected to provide a capability needed by the Department of Defense in a timely manner; and
(B) not less than 30 days prior to the Secretary using such authorities for such other purpose, submits to the congressional defense committees a report on such determination that includes appropriate explanatory material for such use.
(h) Grants and Other Incentives for Domestic Industrial Base Capabilities.—For the purposes of creating, maintaining, protecting, expanding, or restoring the capabilities of the domestic industrial base that are essential for the defense interests of the United States, the Secretary may—
(1) use contracts, grants, or other transaction authorities, including cooperative agreements;
(2) establish incentives for the private sector to develop capabilities in areas of defense interest;
(3) during the five-year period beginning on the date of the enactment of this subsection, make awards to third party entities to support investments in small- and medium-sized entities working in areas of defense interest that would benefit missions of the Department of Defense; and
(4) provide subsidies to offset market manipulation.
(i) Defense Industrial Base Purchase Commitment Program.—
(1) In general.—For the purposes of creating, maintaining, protecting, expanding, or restoring capabilities of the industrial base that are essential for the defense interests of the United States, the Secretary may make purchase commitments—
(A) for the use or resale of an industrial resource or a critical technology item by the Federal Government;
(B) to encourage the exploration, development, and mining of strategic and critical materials;
(C) to support the development of other materials and components;
(D) for the development of production capabilities; and
(E) to increase the use of emerging technologies in defense program applications and the rapid transition of emerging technologies—
(i) from research and development sponsored by the Federal Government to commercial applications; and
(ii) from commercial research and development to national defense applications.
(2) Exemption for certain limitations.—
(A) Purchases.—Except as provided by subparagraph (B), purchase commitments under paragraph (1) may be made for such quantities, and on such terms and conditions, including advance payments, and for such periods, but not extending beyond a date that is not more than 10 years from the date on which such purchase was initially made, as the Secretary deems necessary.
(B) Limitation.—Purchase commitments under paragraph (1) involving higher than established ceiling prices (or if no such established ceiling prices exist, currently prevailing market prices) or that result in an anticipated loss on resale shall not be made, unless it is determined that supply of the materials to be purchased under such purchase commitments could not be effectively increased or provisioned at lower prices or on terms more favorable to the Federal Government, or that such purchases are necessary to assure the availability to the United States of overseas supplies.
(3) Findings of secretary.—
(A) In general.—The Secretary may take the actions described in subparagraph (B), if the Secretary finds with respect to a specific material that—
(i) under generally fair and equitable ceiling prices, for any raw or nonprocessed material or component, there will result a decrease in supplies from high-cost sources of such material and that the continuation of such supplies from such sources is necessary to carry out the objectives of this section; or
(ii) an increase in cost of transportation of such material is temporary and threatens to impair maximum production or supply in any area at stable prices of such material.
(B) Subsidy payments authorized.—Upon a finding under subparagraph (A) with respect to a material, the Secretary may, for the purposes described in paragraph (1), make provision for subsidy payments for such material from sources other than sources that are or that are in covered countries, in such amounts and in such manner, including purchase commitments of such material or component thereof and the resale of such material or component thereof at a loss, and on such terms and conditions, as the Secretary determines necessary to ensure that—
(i) in the case of a finding described in clause (i) of such subparagraph, supplies from high-cost sources of such material do not decrease; or
(ii) in the case of a finding described in clause (ii) of such subparagraph with respect to one or more areas, that maximum production or supply of such material at stable prices in each such area is maintained, as applicable.
(4) Installation of equipment in industrial facilities.—
(A) In general.—The Secretary is authorized to take an action described in subparagraph (B) if the Secretary determines that such action will aid the defense interests of the United States.
(B) Actions described.—The actions described in this section are—
(i) procuring and installing additional equipment, facilities, processes or improvements to plants, factories, and other industrial facilities owned by the Federal Government;
(ii) procuring and installing equipment, including equipment owned by the Federal Government, in privately owned plants, factories, and other industrial facilities;
(iii) providing for the modification, expansion, or construction of new privately owned facilities, including modifications or improvements to production processes, when taking actions under this subsection or subsection (h);
(iv) selling or otherwise transferring equipment owned by the Federal Government and installed under this subsection to the owners of such plants, factories, or other industrial facilities;
(v) constructing facilities for the purposes described in section subsection (g)(1); and
(vi) applying contracts, grants, or other transactions authorities.
(5) Excess metals, minerals, materials, and components.—
(A) In general.—Metals, minerals, materials, and components acquired pursuant to this subsection which are excess to the needs of programs under this section, as determined by the Secretary, shall be transferred to the National Defense Stockpile established by the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98 et seq.), or other national reserves if available, if the Secretary deems such transfer to be in the public interest.
(B) Transfers at no charge.—Transfers made pursuant to this paragraph shall be made without charge against or reimbursement from funds appropriated for the purposes of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98 et seq.), or other national reserves if available, except that costs incident to such transfer, other than acquisition costs, shall be paid or reimbursed from such funds.
(C) Treatment of materials.—For the purposes of section 5(a)(3) of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98d(a)(3)), with respect to amounts paid under subparagraph (B) for any metal, mineral, material, or component transferred pursuant to this paragraph—
(i) such metal, mineral, material, or component is deemed to have been determined to be strategic and critical under section 3(a) of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98b(a)); and
(ii) the Stockpile Manager of the National Defense Stockpile is deemed to have determines there is a shortfall of such materials in the National Defense Stockpile.
(6) Substitutes.—The Secretary may make provision for the development and qualification of substitutes for strategic and critical materials, components, critical technology items, and other industrial resources if and to the extent the Secretary determines that such development and qualification is in the interest of national security.
(j) Strengthening Domestic Productive Capacity.—
(1) In general.—The Secretary may provide appropriate incentives to develop, maintain, modernize, restore, and expand the productive capacities of sources for strategic and critical materials, components, critical technology items, and industrial resources essential for the execution of the national security strategy of the United States.
(2) Strategic and critical materials, components, and critical technology items.—
(A) Maintenance of reliable sources of supply.—The Secretary shall take appropriate actions to ensure that strategic and critical materials, components, critical technology items, and industrial resources are available from reliable sources when and as needed to meet the requirements of the Department of Defense during peacetime, mobilization, and national emergency (as defined in section 12 of the Strategic and Critical Materials Act (50 USC 98h-3)).
(B) Appropriate action.—For purposes of this paragraph, appropriate actions include—
(i) restricting contract solicitations to reliable sources;
(ii) stockpiling or placing into reserve strategic and critical materials, components, and critical technology items;
(iii) planning for necessary long lead times for acquiring such materials, components, and items; and
(iv) developing and qualifying substitutes for such materials, components, and items.
(k) Annual Report.—
(1) In general.—Not later than October 15, 2026, and annually thereafter, the Secretary shall submit to the congressional defense committee a report evaluating investments made and any other activities carried out using amounts in the Fund during the previous fiscal year.
(2) Elements.—Each report required by paragraph (1) shall include—
(A) measures of the effectiveness of the investments and activities described in such paragraph in meeting the needs of the Department of Defense and the defense industrial base;
(B) an evaluation of the return on investment of all ongoing investments from the Fund; and
(C) a description of efforts to coordinate activities carried out using amounts in the Fund with activities to support the defense industrial base carried out under other authorities.
(3) Advice.—In preparing a report required by paragraph (1), the Secretary shall take into account the advice of the defense industry and such other individuals as the Secretary considers relevant.
(l) Coordination With Other Defense Industrial Base Activities.—Not later than 90 days after the date of the enactment of the National Defense Authorization Act for Fiscal Year 2026, the Secretary shall submit to the congressional defense committees, the Committee on Banking, Housing, and Urban Affairs of the Senate, and the Committee on Financial Services of the House of Representatives a report detailing how activities carried out under this section will be coordinated with—
(1) activities carried out using amounts in the Defense Production Act Fund under section 304 of the Defense Production Act of 1950 (50 U.S.C.4534);
(2) activities of the Office of Strategic Capital; and
(3) any other efforts designed to enhance the defense industrial base.
(m) Definitions.—In this section:
(1) The term "covered country" means—
(A) the Russian Federation;
(B) the Republic of Cuba;
(C) the Bolivarian Republic of Venezuela;
(D) the Democratic People's Republic of Korea;
(E) the Islamic Republic of Iran; and
(F) the People's Republic of China.
(2) The term "reliable source" means a citizen of, or business entity organized under the laws of—
(A) the United States or any territory or possession of the United States;
(B) a country of the national technology and industrial base, as defined in section 4801; or
(C) a qualifying country, as defined in section 225.003 of the Department of Defense Supplement to the Federal Acquisition Regulation or any successor regulation.
(3) The term "Secretary" means the Secretary of Defense.
(4) The term "strategic and critical materials" has the meaning given that term in section 12(1) of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98h–3(1)).
(Added Pub. L. 111–383, div. A, title VIII, §896(b)(1), Jan. 7, 2011, 124 Stat. 4315, §2508; amended Pub. L. 115–91, div. A, title X, §1081(g)(1), Dec. 12, 2017, 131 Stat. 1601; Pub. L. 116–92, div. A, title IX, §902(75), Dec. 20, 2019, 133 Stat. 1552; renumbered §4817, Pub. L. 116–283, div. A, title XVIII, §1867(b), Jan. 1, 2021, 134 Stat. 4281; Pub. L. 116–283, div. A, title XVIII, §1867(d)(7), as added Pub. L. 117–81, div. A, title XVII, §1701(b)(22)(C), Dec. 27, 2021, 135 Stat. 2135; Pub. L. 119–60, div. A, title VIII, §867(a), (d)(1), Dec. 18, 2025, 139 Stat. 996, 1002.)
Amendment of Section
Pub. L. 119–60, div. A, title VIII, §867(d)(1), Dec. 18, 2025, 139 Stat. 996, 1002, provided that effective Dec. 31, 2035, subsections (g) to (m) of this section, as added by section 867(a) of Pub. L. 119–60, are repealed. See 2025 Amendment notes below.
Editorial Notes
References in Text
The date of the enactment of this subsection, referred to in subsec. (h)(3), is the date of enactment of Pub. L. 119–60, which was approved Dec. 18, 2025.
The Strategic and Critical Materials Stock Piling Act, referred to in subsec. (i)(5), is act June 7, 1939, ch. 190, as added Pub. L. 96–41, §2, July 30, 1979, 93 Stat. 319, which is classified generally to subchapter III (§98 et seq.) of chapter 5 of Title 50, War and National Defense. For complete classification of this Act to the Code, see section 98 of Title 50 and Tables.
The date of the enactment of the National Defense Authorization Act for Fiscal Year 2026, referred to in subsec. (l), is the date of enactment of Pub. L. 119–60, which was approved Dec. 18, 2025.
Amendments
2025—Subsecs. (g) to (m). Pub. L. 119–60, §867(d)(1), struck out subsecs. (g) to (m), which related to eligible uses of authorities, grants and other incentives for domestic industrial base capabilities, Defense Industrial Base Purchase Commitment Program, strengthening domestic productive capacity, annual report, coordination with other defense industrial base activities, and definitions, respectively. See Termination Date of 2025 Amendment note below.
Pub. L. 119–60, §867(a), added subsecs. (g) to (m).
2021—Pub. L. 116–283 renumbered section 2508 of this title as this section.
Subsec. (d)(1). Pub. L. 116–283, §1867(d)(7), as added by Pub. L. 117–81, §1701(b)(22)(C), substituted "chapters 381 through 385 and chapter 389" for "this chapter".
2019—Subsec. (b). Pub. L. 116–92 substituted "Under Secretary of Defense for Acquisition and Sustainment" for "Under Secretary of Defense for Acquisition, Technology, and Logistics".
2017—Pub. L. 115–91, §1081(g)(1), made technical amendment to directory language of Pub. L. 111–383, §896(b)(1), which added this section.
Statutory Notes and Related Subsidiaries
Termination Date of 2025 Amendment
Pub. L. 119–60, div. A, title VIII, §867(d)(1), Dec. 18, 2025, 139 Stat. 1002, provided that effective Dec. 31, 2035, section 4817 of this title is amended by striking out subsecs. (g) to (m).
Effective Date of 2021 Amendment
Amendment by Pub. L. 117–81 applicable as if included in the enactment of title XVIII of Pub. L. 116–283 as enacted, see section 1701(a)(2) of Pub. L. 117–81, set out in a note preceding section 3001 of this title and note below.
Amendment by Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.
Effective Date of 2017 Amendment
Pub. L. 115–91, div. A, title X, §1081(g), Dec. 12, 2017, 131 Stat. 1601, provided that the amendment made by section 1081(g)(1) is effective as of Jan. 7, 2011, and as if included in Pub. L. 111–383 as enacted.
§4818. Data collection authority of President
(a) Authority.—The President shall be entitled, by regulation, subpoena, or otherwise, to obtain such information from, require such reports and the keeping of such records by, make such inspection of the books, records, and other writings, premises or property of, and take the sworn testimony of, and administer oaths and affirmations to, any person as may be necessary or appropriate, in the President's discretion, to the enforcement or the administration of chapters 381 through 385 and chapter 389 and the regulations issued under such chapters.
(b) Condition for Use of Authority.—The President shall issue regulations insuring that the authority of this section will be used only after the scope and purpose of the investigation, inspection, or inquiry to be made have been defined by competent authority and it is assured that no adequate and authoritative data are available from any Federal or other responsible agency.
(c) Penalty for Noncompliance.—Any person who willfully performs any act prohibited or willfully fails to perform any act required by the provisions of subsection (a), or any rule, regulation, or order thereunder, shall be fined under title 18 or imprisoned not more than one year, or both.
(d) Limitations on Disclosure of Information.—Information obtained under subsection (a) which the President deems confidential or with reference to which a request for confidential treatment is made by the person furnishing such information shall not be published or disclosed unless the President determines that the withholding thereof is contrary to the interest of the national defense. Any person who willfully violates this subsection shall be fined under title 18 or imprisoned not more than one year, or both.
(e) Regulations.—The President may make such rules, regulations, and orders as he considers necessary or appropriate to carry out the provisions of this section. Any regulation or order under this section may be established in such form and manner, may contain such classification and differentiations, and may provide for such adjustments and reasonable exceptions as in the judgment of the President are necessary or proper to effectuate the purposes of this section, or to prevent circumvention or evasion, or to facilitate enforcement of this section, or any rule, regulation, or order issued under this section.
(f) Definitions.—In this section:
(1) The term "person" includes an individual, corporation, partnership, association, or any other organized group of persons, or legal successor or representative of the foregoing, and includes the United States or any agency thereof, or any other government, or any of its political subdivisions, or any agency of any of the foregoing, except that no punishment provided by this section shall apply to the United States, or to any such government, political subdivision, or government agency.
(2) The term "national defense" means programs for military and atomic energy production or construction, military assistance to any foreign nation, stockpiling, space, and directly related activity.
(Added Pub. L. 102–484, div. D, title XLII, §4217, Oct. 23, 1992, 106 Stat. 2670, §2507; amended Pub. L. 103–160, div. A, title XI, §1182(b)(1), Nov. 30, 1993, 107 Stat. 1772; Pub. L. 109–163, div. A, title X, §1056(c)(5), Jan. 6, 2006, 119 Stat. 3439; renumbered §4818 and amended Pub. L. 116–283, div. A, title XVIII, §1867(b), (d)(5), Jan. 1, 2021, 134 Stat. 4281, 4282; Pub. L. 117–81, div. A, title XVII, §1701(b)(22)(B), Dec. 27, 2021, 135 Stat. 2135.)
Editorial Notes
Amendments
2021—Pub. L. 116–283, §1867(b), renumbered section 2507 of this title as this section.
Subsec. (a). Pub. L. 116–283, §1867(d)(5), as amended by Pub. L. 117–81, §1701(b)(22)(B), substituted "of chapters 381 through 385 and chapter 389" for "of this chapter" and "under such chapters" for "under this chapter".
2006—Subsec. (d). Pub. L. 109–163 substituted "subsection (a)" for "section (a)".
1993—Pub. L. 103–160 inserted headings in subsecs. (a) to (f).
Statutory Notes and Related Subsidiaries
Effective Date of 2021 Amendment
Amendment by Pub. L. 117–81 applicable as if included in the enactment of title XVIII of Pub. L. 116–283 as enacted, see section 1701(a)(2) of Pub. L. 117–81, set out in a note preceding section 3001 of this title and note below.
Amendment by Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.
§4819. Modernization of acquisition processes to ensure integrity of industrial base
(a) Digitization and Modernization.—The Secretary of Defense shall streamline and digitize the Department of Defense approach for identifying and mitigating risks to the defense industrial base.
(b) Objective.—The objective of subsection (a) shall be to employ digital tools, technologies, and approaches to ensure the accessibility of relevant defense industrial base data to key decision-makers in the Department.
(c) Analytical Framework.—(1) The Under Secretary of Defense for Acquisition and Sustainment, in coordination with the Director of the Defense Counterintelligence and Security Agency and the heads of other elements of the Department of Defense as appropriate, shall develop an analytical framework for risk mitigation across the acquisition process in implementing subsections (a) and (b).
(2) The analytical framework required under paragraph (1) shall include the following elements:
(A) Characterization and monitoring of supply chain risks, such as those identified through the supply chain risk management process of the Department and by the Federal Acquisition Security Council, and including—
(i) material sources and fragility, including the extent to which sources, items, materials, and articles are mined, produced, or manufactured within or outside the United States;
(ii) telecommunications services or equipment;
(iii) counterfeit parts;
(iv) cybersecurity of contractors;
(v) video surveillance services or equipment;
(vi) vendor vetting in contingency or operational environments;
(vii) other electronic or information technology products and services; and
(viii) other risk areas as determined appropriate by the Secretary of Defense.
(B) Characterization and monitoring of risks posed by contractor behavior that constitutes or may constitute violations of laws or regulations, including those relating to—
(i) fraud;
(ii) ownership structures;
(iii) trafficking in persons;
(iv) workers' health and safety;
(v) affiliation with the enemy;
(vi) foreign influence; and
(vii) other risk areas as deemed appropriate by the Secretary of Defense.
(C) Characterization and assessment of the acquisition processes and procedures of the Department of Defense, including—
(i) market research;
(ii) responsibility determinations, including consideration of the need for special standards of responsibility to address the risks described in subparagraphs (A) and (B);
(iii) facilities clearances;
(iv) the development of contract requirements;
(v) the technical evaluation of offers and contract awards;
(vi) contractor mobilization, including hiring, training, and establishing facilities;
(vii) contract administration, contract management, and oversight;
(viii) contract audit for closeout;
(ix) suspension and debarment activities and administrative appeals activities;
(x) contractor business system reviews;
(xi) processes and procedures related to supply chain risk management and processes and procedures implemented pursuant to section 3252 of this title; and
(xii) other relevant processes and procedures.
(D) Characterization and monitoring of the health and activities of the defense industrial base, including those relating to—
(i) balance sheets, revenues, profitability, and debt;
(ii) investment, innovation, and technological and manufacturing sophistication;
(iii) finances, access to capital markets, and cost of raising capital within those markets;
(iv) corporate governance, leadership, and culture of performance; and
(v) history of performance on past Department of Defense and government contracts.
(E) Characterization and assessment of industrial base support policies, programs, and procedures, including—
(i) limitations and acquisition guidance relevant to the national technology and industrial base;
(ii) limitations and acquisition guidance relevant to section 4862 of this title;
(iii) the Industrial Base Analysis and Sustainment program of the Department, including direct support and common design activities;
(iv) the Small Business Innovation Research Program (as defined in section 9(e) of the Small Business Act (15 U.S.C. 638(e));
(v) the Manufacturing Technology Program established under sections 4841 and 4842 of this title;
(vi) programs relating to the Defense Production Act of 1950 (50 U.S.C. 4511 1 et seq.); and
(vii) programs operating in each military department.
(d) Roles and Responsibilities.—The Secretary of Defense shall designate the roles and responsibilities of organizations and individuals to execute activities under this section, including—
(1) the Under Secretary of Defense for Acquisition and Sustainment, including the Office of Defense Pricing and Contracting and the Office of Industrial Policy;
(2) service acquisition executives;
(3) program offices and procuring contracting officers;
(4) administrative contracting officers within the Defense Contract Management Agency and the Supervisor of Shipbuilding;
(5) the Defense Counterintelligence and Security Agency;
(6) the Defense Contract Audit Agency;
(7) each element of the Department of Defense which own or operate systems containing data relevant to contractors of the Department;
(8) the Under Secretary of Defense for Research and Engineering;
(9) the suspension and debarment official of the Department;
(10) the Chief Information Officer; and
(11) other relevant organizations and individuals as deemed appropriate by the Secretary.
(e) Enabling Data, Tools, and Systems.—(1)(A) The Under Secretary of Defense for Acquisition and Sustainment, in consultation with the Chief Data Officer of the Department of Defense and the Director of the Defense Counterintelligence and Security Agency, shall assess the extent to which existing systems of record relevant to risk assessments and contracting are producing, exposing, and maintaining valid and reliable data for the purposes of the Department's continuous assessment and mitigation of risks in the defense industrial base.
(B) The assessment required under subparagraph (A) shall include the following elements:
(i) Identification of the necessary source data, to include data from contractors, intelligence and security activities, program offices, and commercial research entities.
(ii) A description of modern data infrastructure, tools, and applications and an assessment of the extent to which new capabilities would improve the effectiveness and efficiency of mitigating the risks described in subsection (c)(2).
(iii) An assessment of the following systems owned or operated outside of the Department of Defense that the Department depends upon or to which it provides data, including the following:
(I) The Federal Awardee Performance and Integrity Information System (FAPIIS).
(II) The System for Award Management (SAM).
(III) The Federal Procurement Data System–Next Generation (FPDS–NG).
(IV) The Electronic Data Management Information System.
(V) Other systems the Secretary of Defense determines appropriate.
(iv) An assessment of systems owned or operated by the Department of Defense, including the Defense Counterintelligence and Security Agency and other defense agencies and field activities used to capture and analyze the status and performance (including past performance) of vendors and contractors.
(2)(A) Based on the findings pursuant to paragraph (1), the Secretary of Defense shall develop a unified set of activities to modernize the systems of record, data sources and collection methods, and data exposure mechanisms. The unified set of activities should include—
(i) the ability to continuously collect data on, assess, and mitigate risks;
(ii) data analytics and business intelligence tools and methods; and
(iii) continuous development and continuous delivery of secure software to implement the activities.
(B) In connection with the assessments described in this section, the Secretary shall develop capabilities to map supply chains and to assess risks to the supply chain for major end items by business sector, vendor, program, part, and other metrics as determined by the Secretary.
(f) Rule of Construction.—Nothing in this section shall be construed to limit or modify any other procurement policy, procedure, requirement, or restriction provided by law.
(Added Pub. L. 116–92, div. A, title VIII, §845(a), Dec. 20, 2019, 133 Stat. 1500, §2509; renumbered §4819 and amended Pub. L. 116–283, div. A, title VIII, §843(a), title XVIII, §§1867(b), (d)(6), 1883(b)(2), Jan. 1, 2021, 134 Stat. 3765, 4281, 4282, 4294; Pub. L. 117–81, div. A, title VIII, §841, title XVII, §1701(d)(16), Dec. 27, 2021, 135 Stat. 1839, 2137.)
Editorial Notes
References in Text
The Defense Production Act of 1950 (50 U.S.C. 4511 et seq.), referred to in subsec. (c)(2)(E)(vi), probably means act Sept. 8, 1950, ch. 932, 64 Stat. 798, which is classified principally to chapter 55 (§4501 et seq.) of Title 50, War and National Defense. For complete classification of this Act to the Code, see section 4501 of Title 50 and Tables.
Amendments
2021—Pub. L. 116–283, §1867(b), renumbered section 2509 of this title as this section.
Subsec. (a). Pub. L. 117–81, §841(1), struck out "existing" before "Department of Defense approach" and "across the acquisition process, creating a continuous model that uses digital tools, technologies, and approaches designed to ensure the accessibility of data to key decision-makers in the Department" before period at end.
Subsec. (b). Pub. L. 117–81, §841(4), added subsec. (b). Former subsec. (b) redesignated (c).
Subsec. (b)(2)(A). Pub. L. 116–283, §843(a)(1)(A)(i), inserted "such as those identified through the supply chain risk management process of the Department and by the Federal Acquisition Security Council, and" after "supply chain risks," in introductory provisions.
Subsec. (b)(2)(A)(ii). Pub. L. 116–283, §843(a)(1)(A)(ii), struck out "(other than optical transmission components)" after "equipment".
Subsec. (b)(2)(C)(xi). Pub. L. 117–81, §1701(d)(16)(A), which directed the substitution of "section 3252" for "section 2339a", could not be executed as directed because "section 2339a" did not appear in subsec. (b)(2)(C)(xi) after the intervening redesignation of subsec. (b) of this section as subsec. (c) by Pub. L. 117–81, §841(3), and could not be executed in subsec. (c)(2)(C)(xi) as redesignated to reflect the probable intent of Congress, because of the intervening amendment by Pub. L. 116–283, §1883(b)(2), which had already made that substitution. See notes below.
Pub. L. 116–283, §843(a)(1)(B), added cl. (xi). Former cl. (xi) redesignated (xii).
Subsec. (b)(2)(C)(xii). Pub. L. 116–283, §843(a)(1)(B)(ii), redesignated cl. (xi) as (xii).
Subsec. (b)(2)(E). Pub. L. 116–283, §843(a)(1)(C), added subpar. (E).
Subsec. (b)(2)(E)(ii). Pub. L. 117–81, §1701(d)(16)(B)(ii), which directed the substitution of "section 4862" for "section 2533a", could not be executed as directed because "section 2533a" did not appear in subsec. (b)(2)(E)(ii) after the intervening redesignation of subsec. (b) of this section as subsec. (c) by Pub. L. 117–81, §841(3), and could not be executed in subsec. (c)(2)(E)(ii) as redesignated because of the intervening amendment by Pub. L. 116–283, §1883(b)(2), which had already made that substitution. See notes below.
Subsec. (c). Pub. L. 117–81, §841(3), redesignated subsec. (b) as (c). Former subsec. (c) redesignated (d).
Subsec. (c)(1). Pub. L. 117–81, §841(5)(A), inserted "in implementing subsections (a) and (b)" before period at end.
Subsec. (c)(2)(A)(viii). Pub. L. 117–81, §841(5)(B)(i), inserted "by the Secretary of Defense" before period at end.
Subsec. (c)(2)(B). Pub. L. 117–81, §841(5)(B)(ii)(I), substituted "constitutes or may constitute" for "constitute" in introductory provisions.
Subsec. (c)(2)(B)(vii). Pub. L. 117–81, §841(5)(B)(ii)(II), inserted "by the Secretary of Defense" before period at end.
Subsec. (c)(2)(C)(xi). Pub. L. 116–283, §1883(b)(2), substituted "section 3252" for "section 2339a".
Subsec. (c)(2)(E)(i). Pub. L. 117–81, §1701(d)(16)(B)(i), which directed amendment of subsec. (b)(2)(E)(i) by striking out "(as defined in section 2500(1) of this title)", was executed by striking out "(as defined in section 4801(1) of this title)" before semicolon at end of subsec. (c)(2)(E)(i) to reflect the probable intent of Congress and the intervening amendments by Pub. L. 116–283, §1883(b)(2), and Pub. L. 117–81, §841(3). See notes above and below.
Pub. L. 116–283, §1883(b)(2), substituted "section 4801(1)" for "section 2500(1)".
Subsec. (c)(2)(E)(ii). Pub. L. 116–283, §1883(b)(2), substituted "section 4862" for "section 2533a".
Subsec. (c)(2)(E)(v). Pub. L. 117–81, §1701(d)(16)(B)(iii), which directed the amendment of subsec. (b)(2)(E)(v) of this section by substituting "sections 4841 and 4842" for "section 2521", was executed to subsec. (c)(2)(E)(v) to reflect the probable intent of Congress and the intervening amendment by Pub. L. 117–81, §841(3). See note above.
Pub. L. 116–283, §1883(b)(2), which directed that each reference in the text of title 10 to a section that was redesignated by title XVIII of Pub. L. 116–283, as such section was in effect before the redesignation, be amended by striking such reference and inserting a reference to the appropriate redesignated section, was not executed by substituting "section 4841" for "section 2521", to reflect the probable intent of Congress and execution of the subsequent amendment by section 1701(d)(16)(B)(iii) of Pub. L. 117–81 specifically directing the substitution of "sections 4841 and 4842" for "section 2521". See note above. Although section 2521 of this title was redesignated as section 4841, subsec. (e) of section 4841 was transferred to become the text of section 4842 immediately thereafter.
Subsec. (d). Pub. L. 117–81, §841(3), redesignated subsec. (c) as (d). Former subsec. (d) redesignated (e).
Subsec. (d)(11). Pub. L. 117–81, §841(6), inserted "as deemed appropriate by the Secretary" before period at end.
Subsec. (e). Pub. L. 117–81, §841(3), redesignated subsec. (d) as (e). Former subsec. (e) redesignated (f).
Subsec. (e)(1)(A). Pub. L. 117–81, §841(7)(A)(i), struck out "timely" before "maintaining valid and reliable data".
Subsec. (e)(1)(B)(ii). Pub. L. 117–81, §841(7)(A)(ii)(I), added cl. (ii) and struck out former cl. (ii) which read as follows: "A description of the modern data infrastructure, tools, and applications and what changes would improve the effectiveness and efficiency of mitigating the risks described in subsection (b)(2)."
Subsec. (e)(1)(B)(iii). Pub. L. 117–81, §841(7)(A)(ii)(II), inserted ", including the following" before colon at end of introductory provisions.
Subsec. (e)(2). Pub. L. 117–81, §841(7)(B), added par. (2) and struck out former par. (2) which related to Secretary of Defense's development of unified set of activities to modernize systems of record, data sources and collection methods, and data exposure mechanisms.
Subsec. (f). Pub. L. 117–81, §841(2), (3), redesignated subsec. (e) as (f) and struck out former subsec. (f) which related to implementation and reporting requirements.
Subsec. (f)(1)(A). Pub. L. 116–283, §1867(d)(6), which directed the substitution of "section 3252(c)" for "section 2339a(e)", could not be executed because of the prior repeal of subsec. (f) by Pub. L. 117–81, §841(2). See note above.
Subsec. (f)(2). Pub. L. 116–283, §843(a)(2), inserted ", and supporting policies, procedures, and guidance relating to such actions" after "subsection (b)".
Subsec. (g). Pub. L. 117–81, §841(2), struck out subsec. (g) which related to briefing and periodic assessments of reviews by Comptroller General.
Statutory Notes and Related Subsidiaries
Effective Date of 2021 Amendment
Amendment by section 1701(d)(16) of Pub. L. 117–81 to take effect immediately after the amendments made by title XVIII of Pub. L. 116–283 have taken effect, see section 1701(a)(3) of Pub. L. 117–81, set out in a note preceding section 3001 of this title and note below.
Amendment by sections 1867(b), (d)(6) and 1883(b)(2) of Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.
Cybersecurity Regulatory Harmonization
Pub. L. 119–60, div. A, title VIII, §866(a), (b), Dec. 18, 2025, 139 Stat. 995, provided that:
"(a) In General.—Not later than June 1, 2026, the Secretary of Defense, in coordination with the Chief Information Officer of the Department of Defense, the Chief Information Officer of each military department, and representatives from the service acquisition executives of each military department, shall—
"(1) harmonize the cybersecurity requirements applicable to the defense industrial base across the Department of Defense;
"(2) reduce the number of such requirements that are unique to a specific contract or other agreement of the Department; and
"(3) submit to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] a report on the actions taken to carry out the harmonization described in paragraph (1) and the reduction described in paragraph (2).
"(b) Requirements.—The harmonization required by subsection (a)(1) shall ensure that processes and governance structures exist and are sufficient to identify and eliminate duplicative and inconsistent cybersecurity requirements and cybersecurity requirements unique to single contracts, including—
"(1) a process and governance structure for assessing whether future proposed cybersecurity contractual requirements for contracts or other agreements of the Department of Defense are duplicative of other applicable requirements of the Department of Defense that are published in the Federal Register;
"(2) a process for coordinating, centralizing, approving, and publishing any proposed cybersecurity requirement not published in the Federal Register; and
"(3) a mechanism included in the process described in paragraph (2) for ensuring the visibility to and input from internal and external stakeholders."
Mitigating Risks Related to Foreign Ownership, Control, or Influence of Department of Defense Contractors or Subcontractors
Pub. L. 116–283, div. A, title VIII, §819(c), Jan. 1, 2021, 134 Stat. 3752, provided that:
"(1) Implementation plan.—Not later than March 1, 2021, the Secretary of Defense shall provide to the congressional defense committees [Committees on Armed Services and Appropriations of the Senate and the House of Representatives] a plan and schedule for implementation of the requirements of section 847 of the National Defense Authorization Act for Fiscal Year 2020 (Public Law 116–92; 133 Stat. 1505; 10 U.S.C. 2509 note [now 10 U.S.C. 4819 note]) [set out below], as amended by this section, including—
"(A) a timeline for issuance of regulations, development of training for appropriate officials, and development of systems for reporting of beneficial ownership and FOCI by covered contractors or subcontractors;
"(B) the designation of officials and organizations responsible for such implementation; and
"(C) interim milestones to be met in implementing the plan and schedule.
"(2) Revision of regulations, directives, guidance, training, and policies.—Not later than July 1, 2021, the Secretary of Defense shall revise relevant directives, guidance, training, and policies, including revising the Department of Defense Supplement to the Federal Acquisition Regulation, to fully implement the requirements of such section 847.
"(3) Definitions.—In this subsection, the term 'beneficial ownership', 'FOCI', and 'covered contractors or subcontractors' have the meanings given, respectively, in section 847 of the National Defense Authorization Act for Fiscal Year 2020 (Public Law 116–92; 133 Stat. 1505; 10 U.S.C. 2509 note [now 10 U.S.C. 4819 note])."
Pub. L. 116–92, div. A, title VIII, §847, Dec. 20, 2019, 133 Stat. 1505, as amended by Pub. L. 116–283, div. A, title VIII, §819(a), (b), (d), Jan. 1, 2021, 134 Stat. 3751, 3752, provided that:
"(a) Definitions.—In this section:
"(1) Beneficial owner; beneficial ownership.—The terms 'beneficial owner' and 'beneficial ownership' shall be determined in a manner that is not less stringent than the manner set forth in section 240.13d–3 of title 17, Code of Federal Regulations (as in effect on the date of the enactment of this Act [Dec. 20, 2019]).
"(2) Company.—The term 'company' means any corporation, company, limited liability company, limited partnership, business trust, business association, or other similar entity.
"(3) Covered contractor or subcontractor.—The term 'covered contractor or subcontractor' means a company that is an existing or prospective contractor or subcontractor of the Department of Defense on a contract or subcontract with a value in excess of $5,000,000, except as provided in subsection (c).
"(4) Foreign ownership, control, or influence; foci.—The terms 'foreign ownership, control, or influence' and 'FOCI' have the meanings given those terms in the National Industrial Security Program Operating Manual (DOD 5220.22–M), or a successor document.
"(b) Improved Assessment and Mitigation of Risks Related to Foreign Ownership, Control, or Influence.—
"(1) In general.—In developing and implementing the analytical framework for mitigating risk relating to ownership structures, as required by section 2509 of title 10, United States Code [now 10 U.S.C. 4819], as added by section 845 of this Act, the Secretary of Defense shall improve the process and procedures for the assessment and mitigation of risks related to foreign ownership, control, or influence (FOCI) of covered contractors or subcontractors doing business with the Department of Defense.
"(2) Elements.—The process and procedures for the assessment and mitigation of risk relating to ownership structures referred to in paragraph (1) shall include the following elements:
"(A) Assessment of foci.—(i) A requirement for covered contractors or subcontractors to disclose to the Defense Counterintelligence and Security Agency, or its successor organization, their beneficial ownership and whether they are under FOCI.
"(ii) A requirement to update such disclosures when changes occur to information previously provided, consistent with or similar to the procedures for updating FOCI information under the National Industrial Security Program Operating Manual (DOD 5220.22–M), or a successor document.
"(iii) A requirement for covered contractors or subcontractors determined to be under FOCI to disclose contact information for each of its foreign owners that is a beneficial owner.
"(iv) A requirement that, at a minimum, the disclosures required by this paragraph be provided at the time the contract or subcontract is awarded, amended, or renewed, but in no case later than one year after the Secretary prescribes regulations to carry out this subsection.
"(v) A requirement for the Secretary to require reports and conduct examinations on a periodic basis of covered contractors or subcontractors in order to assess compliance with the requirements of this section.
"(B) Responsibility determination.—Consistent with section 2509 of title 10, United States Code [now 10 U.S.C. 4819], as added by section 845 of this Act, consideration of FOCI risks as part of responsibility determinations, including—
"(i) whether to establish a special standard of responsibility relating to FOCI risks for covered contractors or subcontractors, and the extent to which the policies and procedures consistent with or similar to those relating to FOCI under the National Industrial Security Program shall be applied to covered contractors or subcontractors;
"(ii) procedures for contracting officers making responsibility determinations regarding whether covered contractors or subcontractors may be under foreign ownership, control, or influence and for determining whether there is reason to believe that such foreign ownership, control, or influence would pose a risk or potential risk to national security or potential compromise because of sensitive data, systems, or processes, such as personally identifiable information, cybersecurity, or national security systems involved with the contract or subcontract; and
"(iii) modification of policies, directives, and practices to provide that an assessment that a covered contractor or subcontractor is under FOCI may be a sufficient basis for a contracting officer to determine that such a covered contractor or subcontractor is not responsible.
"(C) Contract requirements, administration, and oversight relating to foci.—
"(i) Requirements for contract clauses providing for and enforcing disclosures related to changes in FOCI or beneficial ownership during performance of the contract or subcontract, consistent with subparagraph (A), and necessitating the effective mitigation of risks related to FOCI throughout the duration of the contract or subcontract.
"(ii) Pursuant to section 2509(c) of title 10, United States Code [now 10 U.S.C. 4819(c)], designation of the appropriate Department of Defense official responsible to approve and to take actions relating to award, modification, termination of a contract, or direction to modify or terminate a subcontract due to an assessment by the Defense Counterintelligence and Security Agency, or its successor organization, that a covered contractor or subcontractor under FOCI poses a risk to national security or potential risk of compromise.
"(iii) A requirement for the provision of additional information regarding beneficial ownership and control of any covered contractor or subcontractor on the contract or subcontract.
"(iv) Procedures for appropriately responding to changes in covered contractor or subcontractor beneficial ownership status based on changes in disclosures of their beneficial ownership and whether they are under FOCI and the reports and examinations required by subparagraph (A)(v).
"(v) Other measures as necessary to be consistent with other relevant practices, policies, regulations, and actions, including those under the National Industrial Security Program.
"(c) Applicability to Contracts and Subcontracts for Commercial Products and Services and Other Forms of Acquisition Agreements.—
"(1) Commercial products and services.—The requirements under subsections (b)(2)(A) and (b)(2)(C) shall not apply to a contract or subcontract for commercial products or services, unless a designated senior Department of Defense official specifically requires the applicability of subsections (b)(2)(A) and (b)(2)(C) based on a determination by the designated senior official that the contract or subcontract involves a risk or potential risk to national security or potential compromise because of sensitive data, systems, or processes, such as personally identifiable information, cybersecurity, or national security systems.
"(2) Research and development and procurement activities.—The Secretary of Defense shall ensure that the requirements of this section are applied to research and development and procurement activities, including for the delivery of services, established through any means including those under section 2358(b) of title 10, United States Code [now 10 U.S.C. 4001(b)].
"(d) Availability of Resources.—The Secretary shall ensure that sufficient resources, including subject matter expertise, are allocated to execute the functions necessary to carry out this section, including the assessment, mitigation, contract administration, and oversight functions.
"(e) Rule of Construction.—Nothing in this section shall be construed to limit or modify any other procurement policy, procedure, requirement, or restriction provided by law, including section 721 of the Defense Production Act of 1950 (50 U.S.C. 4565), as amended by the Foreign Interference Risk Review Modernization Act of 2018 (subtitle A of title XVII of Public Law 115–232).
"(f) Availability of Beneficial Ownership Data.—
"(1) In general.—Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall establish a process to update systems of record to improve the assessment and mitigation of risks associated with FOCI through the inclusion and updating of all appropriate associated uniquely identifying information about the contracts and contractors and subcontracts and subcontractors in the Federal Awardee Performance and Integrity Information System (FAPIIS), administered by the General Services Administration, and the Commercial and Government Entity (CAGE) database, administered by the Defense Logistics Agency.
"(2) Limited availability of information.—The Secretary of Defense shall ensure that the information required to be disclosed pursuant to this section is—
"(A) not made public;
"(B) made available via the FAPIIS and CAGE databases; and
"(C) made available to appropriate government departments or agencies."
§4820. National technology and industrial base plans, policy, and guidance
(a) In General.—The Secretary of Defense shall prescribe regulations requiring consideration of the national technology and industrial base, in accordance with the strategy required by section 4811 of this title, in the development and implementation of acquisition plans for each major defense acquisition program.
(b) Acquisition Policy and Guidance.—The Secretary of Defense shall develop and promulgate acquisition policy and guidance to the service acquisition executives, the heads of the appropriate Defense Agencies and Department of Defense Field Activities, and relevant program managers. Such policy and guidance shall be germane to the use of the research and development, manufacturing, and production capabilities identified pursuant to chapters 381 through 385 and chapter 389 of this title and the technologies, companies, laboratories, and factories in specific Department of Defense research and development, international cooperative research, procurement, and sustainment activities.
(Added Pub. L. 102–484, div. D, title XLII, §4216(b)(1), Oct. 23, 1992, 106 Stat. 2669, §2440; amended Pub. L. 109–364, div. A, title X, §1071(a)(17), Oct. 17, 2006, 120 Stat. 2399; Pub. L. 112–239, div. A, title XVI, §1603(c), Jan. 2, 2013, 126 Stat. 2063; Pub. L. 116–283, div. A, title VIII, §846(b)(1), title XVIII, §1847(b)(2)(A), Jan. 1, 2021, 134 Stat. 3768, 4253; renumbered §4820 and amended Pub. L. 117–81, div. A, title XVII, §1701(s)(1)(A), (2)(A), (C), Dec. 27, 2021, 135 Stat. 2149; Pub. L. 118–31, div. A, title XVIII, §1801(a)(36), Dec. 22, 2023, 137 Stat. 685.)
Editorial Notes
Codification
Amendments made by section 1701(s)(2)(A), (C) of Pub. L. 117–81 were directed to the Code directly, but probably should have been directed to title XVIII of Pub. L. 116–283 in line with other amendments made by section 1701 of Pub. L. 117–81 that were effective as if included in that title.
Amendments
2023—Subsec. (b). Pub. L. 118–31 substituted "chapters 381 through 385 and chapter 389 of this title" for "subchapters 381 through 385 and subchapter 389 of this title".
2021—Pub. L. 117–81, §1701(s)(2)(A), renumbered section 2440 of this title as this section. See Codification note above.
Pub. L. 116–283, §1847(b)(2)(A), which directed transfer of the text of section 2440 of this title to section 4211(c)(3) of this title instead of this section, was repealed by Pub. L. 117–81, §1701(s)(1)(A).
Pub. L. 116–283, §846(b)(1)(B), (C), designated existing provisions as subsec. (a), inserted heading, and added subsec. (b).
Pub. L. 116–283, §846(b)(1)(A), amended section catchline generally. Prior to amendment, section catchline read as follows: "Technology and industrial base plans".
Subsec. (a). Pub. L. 117–81, §1701(s)(2)(C)(i), substituted "section 4811" for "section 2501". See Codification note above.
Subsec. (b). Pub. L. 117–81, §1701(s)(2)(C)(ii), substituted "subchapters 381 through 385 and subchapter 389" for "chapter 148". See Codification note above.
2013—Pub. L. 112–239 inserted ", in accordance with the strategy required by section 2501 of this title," after "base".
2006—Pub. L. 109–364 substituted "industrial base plans" for "Industrial Base Plans" in section catchline.
Statutory Notes and Related Subsidiaries
Effective Date of 2021 Amendment
Amendment by Pub. L. 117–81 applicable as if included in the enactment of title XVIII of Pub. L. 116–283 as enacted, see section 1701(a)(2) of Pub. L. 117–81, set out in a note preceding section 3001 of this title and note below.
Amendment by section 1847(b)(2)(A) of Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.