In December, the U.S. House of Representatives and U.S. Senate approved a sweeping defense policy bill that authorizes $900 billion in military programs. The bill is the result of weeks of negotiations between both houses’ Armed Services committees, congressional leaders, and the White House. The bipartisan legislation sets lawmakers’ defense priorities and authorizes spending levels for the Defense Department and national security programs— and it includes a sweeping overhaul of the agency’s acquisition processes. 

“American Foundry Society applauds Congress for advancing the Fiscal Year 2026 National Defense Authorization Act (NDAA), said CEO Doug Kurkul. “This critical piece of legislation will strengthen our national security and support American metalcasters that span the federal contracting supply chain, supplying everything from foundational components to major weapon systems for the Department of Defense.”

Key Allocations and 
Spending Focus

The 3,086-page bill includes authorization for the followed key areas of interest to U.S. metalcasters that produce critical castings for all branches of the military: 

•             $26 billion for shipbuilding—major investment in naval capacity, focusing on fleet readiness and new ship construction.

•             $38 billion for aircraft—full support for the next-generation Navy fighter program, F/A-XX.

•             $4 billion for ground vehicles—investment in modernizing Army and Marine Corps ground mobility and combat systems.

•             $25 billion for munitions—ensuring ample supply and advanced development of missiles, bombs, and other essential ordnance. 

•             Research and development—$146 billion designated for testing innovative technologies.

•             Operations and Maintenance—an allocation of $291 billion supports ongoing military operations and the upkeep of equipment.

In another critical area, shipbuilding allocations are set at $26 billion. The Trump administration has made military and civilian shipbuilding a key focal point of its first year, arguing that America must do more to boost its production capability in the face of Chinese domination of the industry. This funding is designed to enhance the operational capacity of: The third Columbia-class ballistic missile submarine; a Virginia-class submarine; advanced procurement initiatives for future naval vessels, including the DDG-51 Arleigh Burke-class destroyers and full backing for the Ford-class aircraft carrier program.

Aircraft Funding Details

The $38 billion allocation includes funding for various programs across the different military branches including: F-47 and F/A-XX Programs; F-35 Joint Strike Fighters; E-7 Wedgetail; Unmanned Aircraft Systems (UAS); and other Aircraft such as the MQ-1C, MQ-4 Triton, and MQ-9 drones, as well as an additional C-40 jet for VIP transport. 

The ground vehicle allocation covers the procurement of several specific systems across different military branches:     86 Armored Multi-Purpose Vehicles (AMPVs); 44 Maneuver, Short Range Air Defense (M-SHORAD) systems; 30 M1A2 Abrams tanks; 10 M109 Paladin self-propelled howitzers; 91 Marine Corps Amphibious Combat Vehicles (ACVs); and 138 Marine Corps Joint Light Tactical Vehicles (JLTVs) 

Critical Munitions 
Resupply Efforts

The NDAA also provides over $25 billion to replenish essential munitions stockpiles, ensuring the military maintains a strong supply of critical weaponry such as precision-guided missiles, Javelin and Stinger missiles, Tomahawk cruise missiles, and artillery rounds.

Restrictions on U.S. Investment in China

The recently enacted bill also includes many provisions aimed at restricting U.S. exports of critical technologies to China and limiting Defense Department use of end products or supplies and components sourced from China. The defense bill incorporates provisions from the Comprehensive Outbound Investment National Security (COINS) Act, which establishes a framework to restrict U.S. investments in specific sectors related to China’s military and economy to enhance U.S. national security.

It would give the administration the ability to block investments in key technologies like semiconductors, microelectronics, AI, quantum, high-performance computing, and supercomputing and hypersonic systems. It would also require U.S. individuals and companies to notify the administration about any such investment in restricted technologies.

The defense bill also includes a provision that would bar federal agencies from contracting with biotechnology “companies of concern,” or firms with ties to China or other foreign adversaries.  The measure, referred to as the BIOSECURE Act, is designed to protect American pharmaceutical supply chains and genetic data by taking measures against harmful Chinese companies.

Next Steps

Separate defense appropriations bills that will provide the actual money are still being finalized. Given the strong bipartisan push and the passage of the crucial NDAA, it is highly probable Congress will pass a final defense appropriations package in early 2026.