REPORT: Assessing and Strengthening the Manufacturing and Defense Industrial Base and Supply Chain Resiliency of the United States

Executive Order 13806: Strengthening America’s Industrial Base

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On July 21, 2017, President Donald J. Trump signed Executive Order 13806, directing a whole-of-government review of the U.S. manufacturing and defense industrial base. Led by the Department of Defense with input from multiple agencies, the assessment identified critical risks and offered strategies to restore industrial resilience essential for national security.

Key Findings:

  • Five macro forces—including unstable budgets, foreign competition, and workforce erosion—are undermining U.S. industrial strength.
  • Ten risk archetypes were identified, with over 280 sector-specific vulnerabilities.
  • The U.S. supply chain is heavily dependent on foreign competitors, with many critical capabilities moving offshore.

Recommendations:

The Task Force proposed actions across investment, policy, regulation, and legislation, including:

  • Expanding direct investment in fragile suppliers and bottleneck areas.
  • Reducing dependence on politically unstable or adversarial nations.
  • Enhancing workforce development in STEM and critical trades.
  • Partnering with allies on shared industrial challenges.
  • Modernizing acquisition processes and technology adoption to secure future competitiveness.

This comprehensive effort underscores the link between economic vitality and national security, ensuring America’s defense industrial base remains strong in the face of global competition.

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