Pentagon should shave defense procurement regulation, industry group says

From Yahoo Finance: 2025-06-09 08:31:00

An industry group representing defense and aerospace companies has identified over 50 regulatory requirements that discourage doing business with the Pentagon. This includes burdensome regulations like cybersecurity compliance and intellectual property rules that industry leaders argue create unnecessary obstacles to an expedited acquisition process.

The Aerospace Industries Association, which represents companies like RTX and Boeing, has sent a letter to Secretary of Defense Pete Hegseth calling for the elimination of frustrating regulations that stifle innovation, drive up costs, and delay delivery. Industry leaders are particularly concerned about regulations like the Cybersecurity Maturation Model Certification requirements.

The House Armed Services Committee has introduced a bill aimed at overhauling the Department of Defense’s acquisition process to deliver military capabilities more rapidly and cost-effectively. The Streamlining Procurement for Effective Execution and Delivery Act of 2025 would restructure how the Pentagon buys weapons systems and technology, focusing on aligning acquisition to Pentagon priorities and operational outcomes.

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