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Israeli Border Police officer in uniform, sunglasses, and beret. - Supply Chain News

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Strengthening U.S. Defense Partnerships: Addressing Regulatory and Cultural Challenges

by Richie
11/02/2023
in Compliance, Export Controls

The role of U.S. allies and partners in shaping the nation’s defense strategy is pivotal. Collaborative military efforts with these allies provide the United States with a distinct advantage, one that its near-peer competitors, such as China and Russia, struggle to match. Nevertheless, the defense acquisition system, despite years of efforts to enhance its agility and flexibility, still harbors a culture that is inherently resistant to international cooperation. This resistance, rooted in a bygone era of U.S. technological dominance, poses challenges to the current landscape.

Having served or currently serving as executives in defense and aerospace firms with vested interests in this matter, we offer insights into U.S. defense cooperation with allies and partners. In this article, we aim to provide recommendations and support for the U.S. goal of fostering stronger collaboration. To this end, the Biden administration and Congress should implement regulatory and procedural changes that align with the U.S. defense strategy’s commitment to early and continuous cooperation with allies and partners.

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  1. Reducing Regulatory Barriers: The first step involves streamlining U.S. export controls and facilitating the sharing of technology and information with select U.S. allies and partners. Current regulatory obstacles hinder the smooth flow of technology sharing, posing risks to interoperability and delaying capabilities deployment.
  2. Revising Classification Designations: Limiting the classification designation “Not Releasable to Foreign Nationals” (NOFORN) in defense requests for proposals can simplify cooperation processes and promote openness with allies and partners.
  3. Prioritizing Cooperation Lanes: The Department of Defense should identify specific lanes of cooperation with its partners and establish efficient procedures for sharing information and technology. Successful models like the AUKUS partnership with the United Kingdom and Australia can serve as a template.
  4. Incorporating Cooperation from Inception: Begin acquisition programs with the consideration of potential allied development or production cooperation, ensuring alignment with partner defense industries. Such an approach can yield cost savings, bolster production resilience, enhance interoperability, and expedite deployments, essential elements in countering Russian and Chinese aggression.

Revisiting U.S. Technology Controls in the Current Environment: The U.S. export control system was crafted in the mid-1970s when the U.S. was the primary contributor to global research and development spending. Today, the landscape has shifted significantly, with the U.S. accounting for only about 31 percent of global R&D. Restrictive technology sharing measures can deprive the U.S. of allied innovation, slow down capabilities deployment, and hinder interoperability across coalition forces. Allies often view U.S. export control rules as burdensome, hampering cooperation and deterring access to the U.S. defense market. Reducing these barriers is crucial for fostering collaboration.

AUKUS: An Important Catalyst for Change: The AUKUS agreement has been instrumental in highlighting the need to reduce barriers to defense cooperation. Despite being close U.S. allies and intelligence partners, the United Kingdom and Australia face challenges navigating U.S. technology restrictions. The AUKUS arrangement, especially its “Pillar II” on advanced defense technologies, tests whether the U.S. can streamline technology and information sharing with allies. Legislative efforts, such as the TORPEDO Act, aim to expedite technology transfers to these allies.

Streamlining Collaboration with Other Allies and Partners: Efforts to ease collaboration within AUKUS should serve as a model for other cooperative ventures between the U.S. and its allies and partners. The procedures being established for AUKUS cooperation can be applied to other areas of collaboration. Close allies with similar export control systems may benefit from expedited procedures, while different arrangements can be made for less sensitive technologies or current-generation capabilities. The Department of Defense should be open to working with foreign partners across its acquisition efforts, fostering a more inclusive approach.

Making “Integration by Design” Operational: Shifting the acquisition culture towards “Integration by Design” is imperative. To achieve this, the Department of Defense should:

  • Expand outreach regarding partner defense and acquisition planning.
  • Identify cooperation opportunities early in acquisition programs.
  • Standardize cost/benefit analysis for partner cooperation in the acquisition process.

Incentivizing personnel to consider partner cooperation during performance appraisals and involving industry in policy reviews are essential steps toward achieving cultural change.

Conclusion: Adapting to the evolving defense landscape and addressing the challenges posed by U.S. defense partnerships requires comprehensive changes. These changes encompass regulatory, procedural, and cultural shifts. Collaboration with allies and partners is vital to countering current and future threats effectively. The U.S. should take a proactive approach to encourage cooperation, ultimately strengthening its position on the global stage and promoting international security and stability.

Discover comprehensive supply chain report news insights at The Supply Chain Report. For international trade resources, visit ADAMftd.com.

#USDefenseStrategy #DefenseCooperation #AUKUSPartnership #MilitaryCollaboration #DefenseAcquisition #ExportControls #TechnologySharing #InternationalPartnerships #BidenAdministration #DefenseInnovation #DefenseRegulations #TechnologyTransfer #Interoperability #USAllies #DefenseIndustry #Aerospace #GlobalSecurity #CounterAggression #USExportControl #DefenseAcquisitions #InternationalCooperation #DefenseTransformation

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