Trump Tightens Waivers in Defense Supply Chains

President Donald Trump signed an executive order tightening the rules for defense contractors to obtain waivers for sourcing critical minerals and other components from restricted foreign suppliers, notably China. Contractors must demonstrate they have sought domestic and secure alternatives, disclose the origin of materials, and present a plan to transition away from prohibited suppliers. The Pentagon will map defense supply chains end-to-end and identify and remove vulnerabilities, including deeper vetting of lower-tier suppliers. White House adviser Peter Navarro described the move as ending a 'waiver racket' and reducing strategic exposure across the supply chain, with the new compliance regime taking effect in 2027. The push is part of a broader effort to curb reliance on adversaries, a concern reinforced by export controls on critical minerals since the pandemic. Analysts warn that capacity and multi-tier network implementation may pose challenges.