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Pentagon contractors could get until 2032 to meet metal sourcing rule

The bill would give defense contractors more time before a tougher rule on certain metal products applies to new Pentagon deals. The defense secretary could still speed that up if enough non-covered suppliers are available.

In Congress, a federal proposal would give defense contractors more time before a tougher sourcing rule on certain metal products starts to apply to new Pentagon contracts and agreements. The change would matter for companies that sell into the military supply chain and for buyers trying to avoid disruptions.

The proposal, from Maryland Rep. Johnny Olszewski and Virginia Rep. Jennifer A. Kiggans, would change when amendments tied to section 844 of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021 actually apply.

How the delay would work

Under the bill, the stricter rule would not apply to new contracts and other agreements entered into before Jan. 1, 2032. That would be the default cutoff.

It could still start sooner if the defense secretary certifies that there are enough commercially viable suppliers outside covered nations to provide the military with the quality and quantity of covered material it needs. If that certification is made, the rule would take effect 180 days later.

What stays the same

The bill would not erase the underlying restriction on the Defense Department's purchase of certain metal products. It would only change when the expanded version of that prohibition reaches new deals.

That distinction matters for contractors. Procurement rules shape bids, sourcing plans, and long-term supply contracts well before the Pentagon signs an agreement. A later start date would give industry more time to adjust. The certification trigger would let the Pentagon move faster if alternative suppliers are already available.

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