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Strengthening America's Supply Chain Resilience: Biden's New Executive Order

Strengthening America's Supply Chain Resilience: Biden's New Executive Order

America's Supply Chain

On June 14, President Joe Biden issued a significant executive order to bolster America's supply chain resilience, officially establishing the White House Council on Supply Chain Resilience. This council will reside within the Executive Office of the President, led by the Assistant to the President for National Security Affairs (APNSA) and the Americas Partnership for Economic Prosperity (APEP).

Objectives of the Council

President Biden outlined the council's primary objectives:

  1. Coordinate and Promote Federal Efforts: The council will strengthen long-term supply chain resilience and enhance American industrial competitiveness.

  2. Address Supply Chain Vulnerabilities: It will identify and respond to supply chain insecurities, threats, and vulnerabilities, particularly those arising from excessive geographic or supplier concentration.

  3. Facilitate Global Collaboration: The council will work with allies and partners to foster greater global supply chain resilience.

Key Responsibilities

The White House Council on Supply Chain Resilience will have several crucial responsibilities:

  • Resource Identification: Determine the resources needed to support supply chain resilience.

  • Quadrennial Supply Chain Review: Conduct a review every four years of industries critical to national or economic security, culminating in a report with recommendations for actions, reforms, and legislative changes. The first report is due by December 31, 2024.

Context and Background

Supply chain resilience has been a recurring theme for the Biden-Harris Administration, gaining prominence as the US-China trade war escalates and the presidential election approaches. In November 2023, President Biden announced 30 new actions to strengthen supply chains. These measures included forming the Council on Supply Chain Resilience, leveraging the Defense Production Act to boost domestic manufacturing of essential medicines, and implementing cross-governmental supply chain data-sharing capabilities.

Looking Ahead

This executive order represents a strategic effort to address the vulnerabilities exposed by recent global disruptions. By establishing the White House Council on Supply Chain Resilience, the Biden administration aims to ensure that America's supply chains are robust, secure, and competitive on the global stage. As the council begins its work, stakeholders across various industries will be watching closely to see how these initiatives unfold and contribute to a more resilient American economy.

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