Trump order tightens foreign mineral rules for defense firms

President Donald Trump signed an executive order on Monday, July 20, 2026, imposing stricter requirements on U.S. defense contractors that rely on foreign-sourced critical minerals and materials. The order aims to reduce military supply chain dependencies on geopolitical adversaries, particularly China, by tightening the process for obtaining waivers to use prohibited components and mandating deeper visibility into contractor supply chains.

The directive, titled "Securing America's Defense Supply Chains and Ensuring Domestic Acquisition of Critical Materials," sets a hard deadline of January 1, 2027, after which the Department of War will stop issuing standard waivers for foreign components. Under existing law, contractors are barred from using sensitive materials from adversarial nations, but exemptions have historically been granted when domestic alternatives were unavailable. Under the new rules, companies seeking waivers after the deadline must submit formal mitigation plans. These plans must document exhaustive searches for domestic or allied alternatives, detail steps to eliminate foreign sourcing, and set a firm timeline for compliance.