Executive Order 14372

Prioritizing the Warfighter in Defense Contracting

Signed 2026-01-07 in effect
Defense ↗ProcurementMilitary
Government Reform

Directs defense procurement to prioritize warfighter needs over compliance and administrative requirements.

Section by Section

What each section does, and how they differ.

Sec. 1 Purpose

Establishes that defense contractors have prioritized shareholder returns over warfighter capability and production capacity, and that they must refocus on military readiness.

Sec. 2 Policy

Directs the U.S. Government to hold defense contractors to highest standards ensuring timeliness, quality, and production of defense items; prohibits stock buybacks and dividends by underperforming contractors.

Sec. 3 Review

Directs the Secretary of War to identify defense contractors underperforming on contracts or lacking investment in production while conducting stock buybacks or distributions, and provide them notice and remediation opportunity.

Sec. 4 Enforcement

Authorizes the Secretary of War to initiate enforcement actions under the Defense Production Act and Federal Acquisition Regulations to secure remedies for underperformance, and directs inclusion of stock buyback and distribution prohibitions in future defense contracts.

Sec. 5 General Provisions

Standard boilerplate: preserves existing agency authority, conditions the order on appropriations, and creates no enforceable private rights.