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US seeks to limit key materials from China, others in defence supply chains
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Channel NewsAsia Asia Pacific News
Starting January 2027, firms seeking waivers to acquire sensitive materials from "non-allied foreign nations" will have to show exhaustive efforts to find compliant materials or prove that none was available, the order said.
Contractors will also have to detail steps to remove such "non-compliant" sensitive material from defence supply chains and set up a timeline to do so, White House trade advisor Peter Navarro told reporters in a call.
Currently, certain rare earth magnets from countries like China can be procured for defence supply chains with a waiver.
Monday's order also called for the defence secretary to require contractors and subcontractors to map out key supply chains that have national security implications.
"America cannot dominate the modern battlefield if the Department of War does not know where its critical materials, components and software come from," said David Copley, White House senior director of global supply chains, in a statement.