The United States and India have formalized a Security of Supply Arrangement (SOSA). This agreement is aimed at bolstering bilateral defense cooperation between The U.S. Department of Defense (DoD) and India’s Ministry of Defence (IN MoD) on Aug.22
The non-binding agreement marks a significant step in the defense partnership between the two nations. It was signed by Dr. Vic Ramdass, Principal Deputy Assistant Secretary of Defense for Industrial Base Policy, and Mr. Samir Kumar Sinha, Additional Secretary and Director General (Acquisitions) of the IN MoD.
The SOSA ensures reciprocal priority support for essential goods and services contributing to national defense. It enables both countries to acquire necessary industrial resources from one another and effectively address unforeseen supply chain disruptions that could impact national security.
“This Security of Supply Arrangement represents a pivotal moment in the U.S.-India Major Defense Partner relationship and will be a key factor in strengthening the U.S.-India Defense Technology and Trade Initiative (DTTI),” Dr. Ramdass stated.
He further emphasized the importance of deepening cooperation between the defense industries of both countries. He noted that the upcoming DTTI meeting this fall, hosted by the Office of the Under Secretary of Defense for Acquisition and Sustainment (OUSD(A&S)), will be an opportunity to pursue joint development, production, and sustainment initiatives.
Under the SOSA, the U.S. and India commit to honoring each other's priority delivery requests for critical national defense resources. The U.S. will extend assurances to India under its Defense Priorities and Allocations System (DPAS), with program determinations made by the DoD and rating authorization by the Department of Commerce (DOC). In turn, India will establish a government-industry Code of Conduct with its industrial base and encourage Indian firms to prioritize support for the U.S. voluntarily.
As global supply chains expand, SOSAs serve as a vital tool for enhancing interoperability with U.S. defense trade partners. It creates working groups, establishes communication channels, streamlines DoD processes, and proactively addresses potential supply chain challenges during peacetime, emergencies, and armed conflicts. Additionally, SOSAs assist in developing investment strategies that ensure redundancy and security in defense supply chains.
India is now the 18th country to partner with the U.S. through a SOSA. Other nations with similar agreements include Australia, Canada, Denmark, Estonia, Finland, Israel, Italy, Japan, Latvia, Lithuania, the Netherlands, Norway, the Republic of Korea, Singapore, Spain, Sweden, and the United Kingdom.
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