The Pentagon has inadequate knowledge about the origins of components used in its critical systems, primarily due to shortcomings in its procurement software. The Government Accountability Office criticized the Defense Department for not properly identifying the country of origin for parts purchased. Though 95 percent of purchases are from American companies, there is no visibility into the raw materials used by these firms. Key procurement data lacks the necessary fields to track component origins, raising significant concerns about the reliability of current tracking systems, especially for microelectronics and the F-35 fighter jet.
The Pentagon's procurement software inadequately tracks component origins, leading to a lack of visibility about where critical system parts are sourced. Auditors express concerns.
Despite spending 95 percent on American companies, the Defense Department cannot trace the origins of raw materials and components used by these manufacturers.
The Government Accountability Office found that existing Procurement Data System fields lack the capability to track the country of origin, resulting in unreliable data.
GAO analysis indicated that while 100 percent of contracts for microcircuits claimed US manufacture, in reality, 88 percent of production occurs overseas, particularly in Taiwan, South Korea, and China.
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