Authored by Timothy Frudd via The Epoch Times,
President Donald Trump invoked the Defense Production Act of 1950 in a memorandum on Oct. 22 to increase oil production in the United States as prices remain elevated amid the Iran conflict.
In Thursday's memorandum, Trump determined that ensuring the United States had a resilient domestic petroleum production, refining, and logistics capacity was essential for national defense.
The memorandum directed Secretary of War Pete Hegseth to complete purchases, make commitments, and use financial instruments to expand domestic petroleum infrastructure, including exploration and production, storage, marine terminals, and gathering and transmission pipelines.
"Petroleum fuels the Nation's Armed Forces, industrial base, and crucial infrastructure," Trump wrote. "Without immediate Federal action, United States defense capabilities will remain vulnerable to disruption."
The Defense Production Act, which was enacted during the Cold War, gives the president authority over the domestic industrial base in the interest of national security. Under the legislation, the president can incentivize the domestic industrial base to increase the production and supply of critical goods and materials through direct purchases, purchase commitments, loans, and loan guarantees.
Trump's memorandum said the fastest and most cost-effective ways to meet the energy demands needed for U.S. national security are the purchases
