Photo of Marcos Gonzalez

DOD released a final rule which updates the DFARS to address requirements outlined in Executive Order 14005, “Ensuring the Future is Made in All of America by All of America’s Workers.” Cara Wulf and Marcos Gonzalez explain the changes and what contractors should be aware of while making adjustments to their supply chains in order

China dominates the rare earth industry, accounting for approximately 60 percent of rare earth metal mining and approximately 90 percent of rare earth metal processing in 2023. In order to combat this near-monopoly and to limit supply chain vulnerabilities and risk to the US defense industry, a final Defense Federal Acquisition Regulation Supplement (DFARS) rule, published May 30, 2024, applies broader sourcing prohibitions to the language of DFARS 225.7018 and operative clause DFARS 252.225-7052 to prohibit the use and acquisition of magnets mined in China as of January 1, 2027.Continue Reading DOD Releases Final Rule Prohibiting the Acquisition of Certain Magnets from Nonaligned Foreign Nations