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1 [1] (December 15, 2025)

handle is hein.crs/goveszo0001 and id is 1 raw text is: Congressional Research Service Informing the legislative debate since 1914 Updated December 15, 2025 Defense Primer: U.S. Defense Industrial Base The Department of Defense (DOD), which is using a secondary Department of War designation, under Executive Order 14347 dated September 5, 2025, relies on a large and complex defense industrial base (DIB) for the materials, products, and services that enable the department's warfighting capabilities and business operations. Defining the Defense Industral Base The DIB encompasses all organizations and facilities that provide DOD with materials, products, and services. The composition of the DIB is diverse and includes entities such as small and medium-sized businesses, university laboratories and research centers, and large multinational corporations. DIB functions are similarly varied, ranging from the production of complex platforms unique to the military (e.g., aircraft carriers) and the provision of highly specialized services (e.g., intelligence analysis) to the provision of general commercial products and routine services (e.g., issuing laptops and providing information technology support). Many analysts and experts distinguish between a domestic DIB and a global DIB. The domestic DIB refers to those commercial, nonprofit, and public sector organizations and facilities that provide goods and services to DOD and are located in the United States. The global DIB includes commercial and nonprofit organizations located outside the United States, as well as certain facilities operated by foreign governments with which the United States maintains formal defense cooperation partnerships. Together with the domestic DIB, persons and organizations that are engaged in research, development, production, integration, services, or information technology activities conducted within the United States, the United Kingdom of Great Britain and Northern Ireland, Australia' New Zealand, and Canada form the National Technology and Industrial Base (NTIB), as established by Title 10, U.S. Code, Section 4801 (for more on the NTIB, see CRS In Focus IF11311, Defense Primer: The National Technology and Industrial Base). For fiscal year (FY) 2023, DOD reported that the top five domestic recipients of defense contracts were Lockheed Martin ($61.4 billion), RTX Corporation ($24.1 billion), General Dynamics ($22.9 billion), Boeing ($20.1), and Northrop Grumman ($16.3 billion). Policy Framework DODs Role Subpart I to Part V of Title 10 of the U.S. Code addresses policies and planning related to the domestic industrial base and the NTIB. Per Title 10 U.S.C. §4811, the Secretary of Defense, who is using Secretary of War as a secondary title under Executive Order 14347 dated September 5, 2025, is to develop a national security strategy for the NTIB based on a prioritized assessment of risks and challenges to the defense supply chain. Per 10 U.S.C. §133b, the Under Secretary of Defense for Acquisition and Sustainment (USD (A&S)), who is using Under Secretary of War as a secondary title under Executive Order 14347 dated September 5, 2025, is responsible for establishing policies for access to, and maintenance of, the defense industrial base and materials critical to national security, and policies on contract administration. Assistant Secretary of Defense for Industra Base Policy The Assistant Secretary of Defense for Industrial Base Policy (ASD (IBP)), who is using Assistant Secretary of War as a secondary title under Executive Order 14347 dated September 5, 2025, serves as the principal advisor to USD (A&S) on matters related to the DIB, to include conducting assessments and developing policies to maintain industry's ability to meet DOD requirements. Prior to creation of the ASD (IBP) position by the FY2021 National Defense Authorization Act (NDAA; P.L. 116-283 §903(b); 10 U.S.C. §138(b)(6)), many of its functions had been carried out by the now-defunct Deputy Assistant Secretary of Defense for Industrial Policy. Within the ASD (IBP) organization, the Deputy Assistant Secretary of Defense for Industrial Base Resilience (DASD (IBR)), who is using Deputy Assistant Secretary of War as a secondary title under Executive Order 14347 dated September 5, 2025, is responsible for policies and investments to strengthen resilience, while the Deputy Assistant Secretary of Defense for Industrial Base Development & International Engagement (DASD (IBD&IE)) is responsible for conducting engagement and managing partnerships with domestic DIB entities as well as foreign governments and industry. ASD (IBP) also oversees the Office of Small Business Programs, which manages policy, funding, and coordination of programs intended to increase small-business participation in the DIB. Selected Industrial Base Authorities Beyond specific contracting processes established by law (and contracting regulations more generally), there are authorities that allow Congress and DOD to exercise stewardship over the DIB, including the following: Industrial Base Fund 10 U.S.C. §4817 directs the Secretary of Defense to establish an Industrial Base Fund (IBF). The IBF is subject to annual appropriations and was established to * support the monitoring and assessment of the industrial base;