Presidential Determination Pursuant to Section 303 of the Defense Production Act of 1950, as Amended, on Grid Infrastructure, Equipment, and Supply Chain Capacity
SUBJECT: Presidential Determination Pursuant to Section 303 of the Defense Production Act of 1950, as Amended, on Grid Infrastructure, Equipment, and Supply Chain Capacity
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MEMORANDUM FOR THE SECRETARY OF ENERGY
SUBJECT: Presidential Determination Pursuant to Section 303 of the Defense Production Act of 1950, as Amended, on Grid Infrastructure, Equipment, and Supply Chain Capacity
On January 20, 2025, I issued Executive Order 14156 (Declaring a National Energy Emergency), under the National Emergencies Act. That order found that America’s inadequate energy production, transportation, and infrastructure constitute an unusual and extraordinary threat to the Nation’s economy, national security, and foreign policy. It further recognized that foreign adversaries have exploited these vulnerabilities, and that an affordable and reliable domestic supply of energy, including the infrastructure needed to generate, transmit, and deliver it, is essential to ensuring United States defense readiness, economic strength, and energy independence.
Consistent with that declaration, I find that America’s aging and constrained electric grid infrastructure poses an increasing threat to national defense. The Nation’s capacity to design, produce, and deploy large-scale grid infrastructure, including transformers, high-voltage transmission components, advanced conductors, power electronics, substations, and grid-supporting manufacturing equipment, is dangerously limited. These supply chains face significant risks due to foreign competition, long production lead times, and an overreliance on imported equipment. As a result, the United States remains vulnerable in the event of war, disaster, or economic disruption.