The president of USA, Joe Biden, authorized this Sunday the release of raw Materials of its national reserves to cope with a possible shortage due to the current crisis in the supply chain.
This was done by Biden in an executive order approving access to “strategic and critical” material from the National Defense Reserve Center (DNSC) in order to ensure that “quantities adequate ”equipment necessary for the national security of the country.
This reserve, which is a branch of the US Defense Logistics Agency, has the purpose of storing, protecting and selling raw materials such as aluminum oxide, beryllium, chromium, cobalt, diamonds, tin and zinc, among others. .
The DNSC also has ferrochrome, ferromanganese, iodine, iridium, mica, niobium, talc, tantalum, thorium and tungsten, according to its website.
In that sense, Biden explained that one of the most important components to safeguard the resilience of the supply chain and the health of the US industrial base “is to ensure that both the federal government and the private sector maintain adequate amounts of supplies, equipment or raw materials available to avoid a possible shortage and dependence on imports ”.
For this reason, Biden approved that the Department of Homeland Security access equipment from its reserves “for use, sale or other disposition only when it is necessary for use, manufacture or production for national defense purposes.”
“No release is authorized for economic or budgetary purposes,” the executive document clarifies.
This executive order is part of a revision launched by Biden in February of the national supply strategy in key sectors, such as microchips, so as not to depend on the production and imports of “foreign rivals”, in reference to China.
The United States does not want a repeat of cases such as the shortage of masks that it experienced at the beginning of the pandemic or the subsequent lack of microchips, which forced production to stop at several Ford and GM auto plants.
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