Presidential Determination Pursuant to Section 303 of the Defense Production Act of 1950, as Amended, on Grid Infrastructure, Equipment, and Supply Chain Capacity

Key Points

• Trump is invoking the Defense Production Act to boost domestic manufacturing of power grid equipment. This includes transformers, high-voltage transmission components, substations, and the raw materials needed to build them. The goal is to reduce dangerous reliance on foreign suppliers.
• The determination finds that the U.S. power grid supply chain is at risk because of foreign competition, long wait times for parts, and too much dependence on imported equipment. This leaves the country vulnerable during wars, natural disasters, or economic crises.
• The Department of Energy is now authorized to spend federal money to help American companies build or expand factories for grid equipment. This can include direct purchases, purchase commitments, or financial support to get production up and running.
• This action builds on the national energy emergency declared in January 2025 through Executive Order 14156. It waives certain procedural requirements in the Defense Production Act to speed things up.
• The determination specifically names a wide range of grid components as essential to national defense, from large power transformers and circuit breakers to electrical core steel and protective relay systems.

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