The Challenge of Rebuilding U.S. Domestic Supply Chains

Updated: Nov 1

Shortages of essential medical supplies, semiconductors, and other goods and materials during the Covid-19 pandemic have dramatically exposed the vulnerabilities of global supply chains. U.S. government officials have been carrying out President Biden’s executive order to propose remedies to the risks that such networks pose to four specific areas (pharmaceuticals, strategic materials such as rare earth minerals, semiconductors, and large-capacity batteries) and six sectors of the economy (defense, public health, communications technology, energy, transportation, and food production). We think they will find one fundamental cause is the erosion of the U.S. “industrial commons” — the domestic capabilities needed to support the development and production of many goods deemed critical to U.S. interests.

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