Department of War Invests $11.8M for the Domestic Processing of Critical Materials

The Department of War (DoW) announced a January 30, 2026, investment of $11.8 million in Defense Production Act (DPA) Title III funds to Umicore Optical Materials USA Inc (UOM). UOM will establish new capability in Quapaw, Oklahoma, for processing materials needed for critical optical applications. This investment was delayed due to the government shutdown. This investment uses funds from the Additional Ukraine Supplemental Appropriations Act of 2022. It also supports the Administration's goal to increase the production of processed critical minerals and other derivative products as articulated in the March 20, 2025, Executive Order 14241 - Immediate Measures to Increase American Mineral Production. "UOM is an important part of the optics supply chain," added Mr. Jeffrey Frankston, Acting Deputy Assistant Secretary of War for Industrial Base Resilience, which oversees the Manufacturing Capability Expansion and Investment Prioritization (MCEIP) directorate. "We look forward to partnering with them to expand these capabilities." Advanced optics, night vision systems, surveillance systems, and other electro-optical and infrared technologies are essential components in national security systems. UOM will onshore critical material capability supporting the production of these systems. This is one of two investments made by the DPA Purchases Office totaling $30.8 million since the beginning of fiscal year 2026. The MCEIP Directorate oversees the DPA Purchases Office. For more information on MCEIP, please visit: https://www.businessdefense.gov/ibr/mceip/index.html About the Office of the Assistant Secretary of War for Industrial Base Policy (OASW(IBP)) The Office of the Assistant Secretary of War for Industrial Base Policy (OASW(IBP)) works with domestic and international partners to forge and sustain a robust, secure, and resilient industrial base enabling the Warfighter, now and in the future. OASW(IBP) also uses a new Defense Industrial Base Consortium Other Transaction Agreement (DIBC OTA) to solicit new ideas for research or prototype project solutions for critical supply chain resiliency focus areas. This OTA underscores the Department's ongoing dedication to safeguarding the integrity of our crucial supply chain and promptly giving our Warfighters the materials and technologies they need to accomplish their missions. To learn more about the DIBC OTA, please visit: https://www.dibconsortium.org.