New Source Corporation is prepared to adapt as defense spending shifts with a new U.S. administration and evolving global tensions.
With award-winning quality standards and one of the largest inventories of aerospace aluminum extruded products, tubing, and other high-performance alloys in the country, New Source Corporation remains committed to supporting the Defense sector. The vast majority of our products are manufactured in the United States and are DFARS-compliant.
“Defense spending has often increased when a Republican has been president, as is the case now. In many cases, there’s been more of a ramp-up in the industry,” said Jamie Barron, Vice President of New Source Corporation.
Although past trends suggest increases may be ahead, actual defense spending will depend on specific policies and budget allocations. If there are any increases, they would come on top of an uptick in spending in recent years due to conflicts abroad. For example, the war in Ukraine impacted aluminum extrusion pricing previously.
While the war in Ukraine has continued, that could change if possible peace talks occur. Meanwhile, the United States and its allies are spending more on defense as a precaution.
“With impending conflicts across the sea, Allied countries are trying to be proactive against potential issues that may arise with Russia or China. So, they’re ramping up their order rate as every country increases its fleet,” Barron said. “We see this trend continuing to happen because there’s a lot of uncertainty out there.”
Barron suggests customers plan ahead to avoid any possible supply chain challenges that could arise if defense spending accelerates. As a leading provider of aerospace aluminum extrusions, New Source Corporation can offer firm fixed pricing for certain parts and programs as far out as 2030.
“It’s very important to stay in tune with what’s happening in the industry. Or else, you can fall behind,” Barron said.
New Source Corporation can help customers stay ahead because it has increased its allocation capacity with its main manufacturers. This lets it fill orders faster for customers that reserve and forecast allocation.
“We have guaranteed time slots with our manufacturers. But it’s first come, first served for our customers,” Barron said.
“If the Lockheeds or Boeings of the world or large subcontractors want to come and place orders with us, they will. So, customers who forecast with us secure their allocations first,” he continued.
New Source Corporation provides cost stability and efficiency through:
- Guaranteed inventory access – Reserve high-demand materials in advance.
- Time-saving managed processing – Streamline production with machining, cutting, shearing, and materials testing.
- Vendor-managed inventory (VMI) – Minimize supply disruptions with proactive inventory management.
Furthermore, our long-term partnerships and industry expertise allow us to provide custom extrusion solutions, ensuring our customers receive the best value for their programs.
Whatever the need or material, New Source Corporation is ready to help Defense customers get the right part, at the right price, at the right time.
Secure your supply chain with our inventory and processing capabilities. Contact us today to discuss how we can support your procurement strategy with aerospace aluminum extrusions or other DFARS-compliant products.