U.S. officials said on Monday they are coordinating with foreign investors to pinpoint weaknesses in the American manufacturing supply chain and to assist small- and mid-sized firms in expanding output to meet growing demand amid a surge in inbound capital, according to Reuters.

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Assistant Secretary of the Treasury Chris Pilkerton and Small Business Administrator Kelly Loeffler told Reuters that tariffs imposed by the current President of the United States, Donald Trump, on foreign goods, along with deregulation, were attracting foreign manufacturing investment, but they stressed the importance of ensuring that necessary components are available domestically.

The two officials made their remarks during a visit to a historic Philadelphia shipyard that was acquired by Hanwha Ocean and Hanwha Group in December 2024, following a review by the Committee on Foreign Investment in the U.S. (CFIUS), which Pilkerton leads.

David Kim, CEO of Hanwha Philly Shipyard, told Reuters that his company has committed to investing $5 billion at the facility over the coming years, a move that could raise employment at the site to 10,000 from roughly 2,000 currently. The firm has already spent more than $200 million to improve the shipyard’s workforce, capabilities, and capacity.

Kim noted at a separate press conference that each large vessel the company builds relies on more than 1,000 suppliers, with about two-thirds of them based in the U.S. That number could increase in the future as the site aims to speed up production and adopt AI-based shipbuilding technologies already in use in South Korea.

Pilkerton, who served as acting SBA administrator during the final year of Trump’s first term, said he drew on that background to launch a new Strategic Vendor Program designed to bolster domestic supply chains and support the long-term success of foreign-invested enterprises in the U.S. The program remains in a pilot stage, with no detailed guidance yet issued on how vendors will be selected.

He also mentioned a similar visit to a quantum refrigeration company acquired by Bluefors, a Finnish firm, in Syracuse, New York, where executives said they could not find a domestic supplier for dry compressors. Pilkerton commented that discussing supply chains at a high level is one thing, but finding the actual parts is essential.

The Trump administration is also working to make CFIUS reviews of foreign investments more transparent and faster, Pilkerton said. In July, the Treasury launched a new website to help companies, investors, and their attorneys better understand how the panel evaluates potential foreign acquisitions and investments.

Source: IndexBox Market Intelligence Platform