NDIA calls for action on results of defense industrial base study

10/5/2018

ARLINGTON, VA – The National Defense Industrial Association’s Hawk Carlisle, president and chief executive officer, issues the following statement on the newly released defense industrial base study:

As the oldest and largest association of defense industrial base members, NDIA has long been aware of the challenges facing the industry. When the administration announced the Executive Order on Assessing and Strengthening the Manufacturing and Defense Industrial Base and Supply Chain Resiliency of the United States, NDIA supported this important effort, including hosting sector expert sessions.

With the study now complete and released, NDIA is encouraged by the administration’s detailed efforts to shine a light on the myriad risks to the industry supporting our warfighters and, ultimately, to our nation’s security.

This report paints a sobering picture of the current state of our defense industrial base by identifying more than 250 areas where the base and its supply chain face critical risks. Reliance on single producers within the supply chain, dependence on unstable or unfriendly foreign suppliers for critical components, and misplaced presumption of continued preeminence of American military superiority are examples of findings that should be immediately addressed.

Compounding these risks, the report highlights a drain on talent that now flows toward Silicon Valley startups instead of defense-focused industries.

Recent efforts by Congress and the administration have been encouraging, but more must be done. Streamlining the acquisition process, updating the Committee on Foreign Investments in the United States guidelines, and reforming how we sell our systems to allies and partners have all been steps in the right direction.

This progress and the recommendations in this report can noticeably improve the health of the defense industrial base, but only if Congress follows the recommendation at the top of this report: scrap sequestration and make the on-time budgeting and appropriations of resources truly the normal order. Only through a constant, predictable flow of adequate resources can we make the investments over time to remain dominant, enabling our warfighters to effectively deter and defeat potential adversaries.

For more information, contact Evamarie Socha, communications director, esocha@ndia.org or (703) 472-3806.

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About NDIA

The National Defense Industrial Association (NDIA) is America's leading defense industry association promoting national security. NDIA provides a legal and ethical forum for the exchange of information between industry and government on national security issues. NDIA and its members foster the development of the most innovative and superior equipment, training, and support for warfighters and first responders through its divisions, local chapters, affiliated associations, and events. For more information, visit www.ndia.org