Dependence of U. S. Defense Systems on Foreign Technologies

Abstract

Abstract : The Defense Advanced Research Projects Agency (DARPA) asked the Institute for Defense Analyses (IDA) to determine the extent of U. S. defense system dependence on foreign technologies. The project team studied four system types: missiles, radars, heavy combat engines, and aircraft display systems. Foreign sourcing was concentrated in four technologies: microelectronic components, equipment, materials, and display technologies. Foreign sourcing resulted partly from migration of mature technologies abroad as offshore industries gained cost and scale advantages. Examples: ferrite coils, filter glass, and specialty glass for CRT displays. Foreign sourcing of advanced technologies prevailed in precision machine tools, lithography equipment, and electronic displays. Developing comparable U. S. sources of supply would require from 6 months to 5 or 6 years under noncrisis circumstances. None of the tactical defense system technologies studied is now vulnerable to denial, delay, or extended disruption from dependence on foreign technology. However, erosion of production and research capabilities in semiconductor equipment, precision machine tools, and high-resolution displays raises concerns about U. S. vulnerability to foreign influence in developing future defense systems. To reverse increased foreign sourcing requires a holistic effort, including advanced research, rationalized procurement practices, reduced procurement compliance costs, monitoring offshore migration of key technologies, and coordinated acquisition to strengthen commercial viability of key domestic technologies.