US defense-industry report finds 300 security risks needing 'immediate action'

by James Langford

A sweeping Defense Department review ordered by President Trump has identified roughly 300 gaps in weapon-makers' supply chains that could threaten U.S. military campaigns if they're not corrected, a senior administration official said Thursday.

The report, commissioned in July 2017, will be presented to Trump on Friday, and the president is expected to earmark funds available through both the Defense Production Act and a 1939 defense stockpile program to address some of them, the official said.

The issues were identified largely at small and midsize firms that have supplied top-line U.S. contractors like Boeing and Lockheed Martin and have been harmed more than their larger customers by cuts in U.S. government spending, the official said.

Compiled by 16 working groups with hundreds of subject-matter exports, the report found both fragile markets and weakened companies, situations that could affect the production of devices such as propeller shafts, as well as supplies of raw materials like rocket fuel, ceramics used in body armor, and metals used in combat vehicles.

"We have a situation where we've identified a number of vulnerabilities which demand immediate action," the official said. "This administration's hallmark is immediate action, and with this report, there's also a blueprint for actions that will be launched immediately."

The review reflects the president's belief that economic security is synonymous with national security, highlighted with the imposition of double-digit tariffs on steel and aluminum earlier this year. Those duties were set under Section 232 of the Trade Expansion Act of 1962, which allows the White House to intervene in markets to protect national security.

Full article: https://www.washingtonexaminer.com/business/us-defense-industry-report-finds-300-security-risks-needing-immediate-action