Seeking to leverage private capital to help quickly scale production of critical technologies with both commercial and military uses, the Defense Department on Monday said it has launched a manufacturing pilot program that will first focus on inert chemicals used in munitions and agricultural products.
The DoD’s Industrial Base Policy Office is partnering with the Texas-based Austin Center of Manufacturing and Innovation (ACMI) on the two-year pilot and combine private capital with funding from the Defense Production Act (DPA) Title III Program. The DPA, in this case, works with the armed forces and industry to identity shortfalls in industrial capacity and then goes to industry with grants, loans or purchase commitments to reduce or close the gaps.
The DoD said that ACMI expects the pilot program to achieve a 10-to-1 ratio of private-to-public funding and ultimately exceed a 25-to-1 ratio once the effort is at full-scale. After the pilot program ends, the DoD expects the DPA Title III Program to examine additional opportunities to scale the advanced manufacturing effort to other areas of the country and to technology needs such as microelectronics and clean energy.
The pilot effort is being run through the DoD Industrial Base Policy Office.
“Our support enables the United States to more effectively harness innovation in manufacturing, enhance supply chain resiliency, and develop a more robust industrial base that is well prepared to meet the needs of American strategic interests while developing a future workforce for advanced chemical manufacturing,” Under Secretary of Defense for Acquisition and Sustainment William LaPlante said in a statement. “This pilot program is a first step in finding new and creative solutions to innovate within the American manufacturing sector.”