Manufacturing is the Key to Deterrence
The global landscape is increasingly unpredictable, with economic shocks and security threats emerging suddenly and escalating rapidly. To meet these challenges, the United States must become more resilient and adaptable to ensure we are fully prepared to respond swiftly and effectively—wherever and at whatever scale threats arise. We have to be able to produce, build, and innovate within our own borders. America’s economic stability and military readiness are only as strong as its manufacturing base, and we must act now to restore it.
For too long, America and our allies have made an increasingly risky assumption—that the U.S. defense industrial base could rapidly scale—with our partners filling gaps and our adversaries constrained by their own supply challenges. But a new reality has emerged, exposing the depth and breadth of our vulnerability.
At the start of the conflict in Ukraine, the U.S. scrambled to meet demand for 155mm artillery shells and, after years of effort, is still struggling due to bottlenecks in many key industrial areas. All the while, fresh alliances are forming among rivals, and new technologies are dominating the battlefield, as evidenced by Chinese factories ramping up exports of key drone components to Russia.
In the systems that will define the next frontier of warfare—drones, counter-UAS technology, and advanced munitions—the United States continues to design the most advanced systems in the world but often has trouble producing them, particularly at scale. To complicate things further, American companies are not producing most of the components that make these systems possible. Ukraine, a war that is luckily not fought on our doorstep, provides us with a valuable insight: industrial readiness is a fundamental pillar of deterrence. If we cannot quickly adapt and scale production, our military advantage erodes long before the first shot is fired. Today, we face a dangerous shortage of factories, materials, and surge capacity required for deterrence and self-determination.
This weakness didn’t emerge overnight. Decades of offshoring and consolidation have eroded our industrial middle. The producers that make the gears, sensors, ball bearings, and circuitry behind every system are vanishing. In the past, these smaller firms have kept production lines moving and innovation alive, but in recent decades, they’ve been squeezed out by globalization and the dominance of a few large companies. Rebuilding this industrial backbone is essential if America is to regain the agility and flexibility needed to meet the demands of being a modern superpower.
The solution is not a nostalgic return to 20th-century defense manufacturing but a 21st-century reinvention—one that is distributed, digitally enhanced, and most importantly, dual-use. Dual-use manufacturing, or production that serves both commercial and defense markets, enables a manufacturing capability reservoir that operates with capitalist efficiency during peacetime and can provide surge capacity for the economy and the military in a crisis. A factory producing autonomous systems for agriculture or energy inspection today can quickly pivot to drone components for defense tomorrow.
We have a clear opportunity to unlock the untapped potential of our communities. The federal government must partner with regions rich in talent and resources to support manufacturers developing advanced dual-use facilities. These firms form the backbone of what could become a flexible, nationwide industrial base—one capable of rapidly pivoting from civilian to defense production when the nation calls. But this potential can only be realized if commercial manufacturers are aligned with national priorities and resources. This requires policymakers to treat domestic industrial capacity not as a byproduct of procurement, but as a strategic asset in its own right.
As appropriators look toward FY26 and beyond, they’re rightly focused on rebuilding the defense industrial base to meet the next generation of threats. Public and private investment must move together—and faster. Federal programs, such as those in the National Defense Authorization Act, can catalyze growth and encourage flexibility when paired with dynamic commercial manufacturers and ecosystems that support the scaling of emerging technologies.
The outcome of the next great competition won’t only be determined on the battlefield; it will be decided in the factories, foundries, and fabrication labs of America. Our adversaries are already building industrial depth for future conflicts, and we must do the same before the next major crisis emerges. The United States has the talent, technology, and entrepreneurial spirit to rebuild a resilient industrial ecosystem. What’s needed now is focus, investment, and urgency from Congress and the Department of War to unleash our private sector. If we get that right, America won’t just rebuild its manufacturing muscle—it will secure its future for another generation as a modern superpower.
John Burer is the founder and CEO of the American Center for Manufacturing & Innovation (ACMI), an organization dedicated to rebuilding America’s industrial base.
