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Code · BILL · 119th Congress · S. 2296 (Engrossed in Senate) — To authorize appropriations for fiscal year 2026 for military activities of the Department of Defense, for military c... · Sec. 901

Sec. 901. Economic Defense Unit

1,003 words·~5 min read·/bill/119/s/2296/es/section-901

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Chapter 4 of title 10, United States Code, is amended by adding at the end the following new section: There is established in the Department of Defense an Economic Defense Unit (in this section referred to as the Unit ). The head of the Unit shall be the Director (in this section referred to as the Director ). The Director shall be appointed by the Secretary of Defense from among— employees in Senior Executive Service positions (as defined in section 3132 of title 5); or individuals from outside the civil service who have successfully held equivalent positions.
The Director— shall serve as a principal staff assistant to the Secretary of Defense on matters within the responsibilities of the Unit; shall report directly to the Deputy Secretary of Defense without intervening authority; and may communicate views on matters within the responsibilities of the Unit directly to the Deputy Secretary without obtaining the approval or concurrence of any other official within the Department of Defense. The Unit shall be responsible for the following:
Coordinating among, and harmonizing economic competition activities by, components of the Department of Defense, including by serving as a co-chair of the National Defense Economic Competition Research Council. Developing and maintaining requirements for economic competition activities to reinforce military advantage, including requirements described in subsection (d). Developing and maintaining a campaign plan for economic competition activities to reinforce military advantage.
Conducting or sponsoring analyses and other net assessment activities to scope economic competition activities, gaps, needs, or requirements related to activities of the United States, allies of the United States, or adversaries. Directing the execution of economic competition activities. Developing programming and budget submissions for economic competition activities. Advising the Secretary and the Deputy Secretary with respect to economic competition activities, including with respect to coordinating integration of economic competition requirements or programs into joint and interagency planning activities.
Acting as the principal interlocutor for interagency activities related to economic competition activities. Leading outreach of the Department of Defense to relevant private actors engaged in economic competition activities, including by liaising with private actors under section 1047 of the James M. Inhofe National Defense Authorization Act for Fiscal Year 2023 ( Public Law 117–263 ; 10 U.S.C. 113 note). Sponsoring or conducting regular tabletop exercises related to economic competition activities in order to— assess the economic impacts of decisions of the Department of Defense during crises and conflicts; evaluate the economic tools available to the United States Government to augment the capabilities of the Department of Defense in competition, crises, and conflicts; or evaluate planning scenarios or concept development, including to test proposed doctrine, tactics, or other nonmaterial approaches for economic competition activities that might be used by the Department of Defense.
Selecting economic competition activities projects to be carried out using funds made available to the Unit, allocating funds to organizations to carry out such projects, and monitoring the execution of such projects. Serving as the co-chair of the National Security Capital Forum. Carrying out such other activities as the Deputy Secretary of Defense determines appropriate. Regularly updating the National Security Council and relevant Federal agencies with respect to the economic competition activities of the Department of Defense.
The requirements for economic competition activities developed and maintained by the Unit under subsection (c)(2) may include requirements for— access, basing, and overflight; countering mobilization of adversaries; countering defense industrial base activities by adversaries; ensuring the access of the United States to critical materials and capabilities; and such other matters as the Director considers appropriate. In developing requirements for economic competition activities under subsection (c)(2), the Director shall consult— integrated priorities lists from combatant commanders derived from operational plans or theater campaign plans; integrated priorities lists of defense industrial base shortfalls or investment opportunities; and the outcomes of experimentation events, science and technology activities, and examinations of issues of economic competition by concept development organizations.
Not less frequently than quarterly, the Director shall provide to the Secretary of Defense and the congressional defense committees a briefing on, for the quarter preceding the briefing— the activities of the Unit; the outcomes of and advances resulting from such activities; and work product of the Unit. Not less frequently than annually, the Director shall submit to the congressional defense committees a report on the matters described in subparagraphs (A), (B), and
(C)of paragraph
(1)for the year preceding submission of the report. In this section, the term economic competition activities means actions that are taken to reinforce military advantage in and through the economic domain, including such actions taken— to leverage private capital and market actors; to acquire or procure items; to protect or enhance the economic or technological advantage of the United States or allies of the United States; in the information environment or cyber environment or as other sensitive operations; or to leverage interagency authorities. . Section 228(c) of the Servicemember Quality of Life Improvement and National Defense Authorization Act for Fiscal Year 2025 ( Public Law 118–159 ; 10 U.S.C. 4001 note) is amended— by amending paragraph
(1)to read as follows: The Director of the Economic Defense Unit shall be the chair of the Council. ; and in paragraph (2)— by redesignating subparagraphs
(A)through
(N)as clauses
(i)through (xiv), respectively, and by moving such clauses, as so redesignated, two ems to the right; and by striking The co-chairs and all that follows through the following: and inserting in the following: “The Council shall include the following: The Under Secretary of Defense for Policy. The Under Secretary of Defense for Research and Engineering. The Under Secretary of Defense for Acquisition and Sustainment. Representatives from each of the following: . Section 1092(b) of the Servicemember Quality of Life Improvement and National Defense Authorization Act for Fiscal Year 2025 ( Public Law 118–159 ; 10 U.S.C. 149 note) is amended to read as follows: The Director of the Office of Strategic Capital and the Director of the Economic Defense Unit shall serve as co-chairs of the forum established under subsection (a). .
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