Department of Defense signs $45.5M with Arconic Corporation to increase missile, munitions production

Through a new, $45.5 million agreement with Arconic Corporation, the U.S. Department of Defense (DoD) announced this week that it seeks to increase production of High Purity Aluminum (HPA) domestically, so as to strengthen production of missiles and munitions in the United States.

This production would be focused on Davenport, Iowa, at Arconic’s facility there. According to the Office for the Assistant Secretary of Defense for Industrial Base Policy (OASD (IBP)), low-cost production of HPA by foreign smelters has led to decreased production in the U.S. By utilizing the Defense Production Act (DPA) Title III authorities and funds from the Additional Ukraine Supplemental Appropriations Act, the project will provide surge capacity for HPA production and address risks related to future industrial mobilization needs.

“The Office of Industrial Base Policy continues to support industrial sectors of strategic importance to protect American national security and deter adversarial aggression,” Dr. Laura Taylor-Kale, ASD(IBP), said. “The company receiving funding is involved in a manufacturing sector identified by President Biden as critical for protecting domestic supply chains.”

Funds will be used for facility infrastructure and modifications meant to meet increased capacity and new equipment. This will include a new furnace and installation of new control and automation systems.