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US and India Sign Key Security of Supply Arrangement to Bolster Defense Cooperation and Counter Supply Chain Disruptions


Supply Chain Management

US and India Sign Security of Supply Arrangement

New agreement aims to ensure uninterrupted access to critical defence resources amid global uncertainties.

The recent signing of the Security of Supply Arrangement (SOSA) between the United States and India marks a pivotal step in their expanding defense partnership. As Prime Minister Narendra Modi gears up for his visit to the United States, this new, non-binding agreement between the US Department of Defense (DoD) and the Indian Ministry of Defence (IN MoD) underscores a growing commitment to strengthening defense cooperation. The SOSA aims to offer reciprocal priority support for essential goods and services, ensuring both nations can effectively handle unexpected supply chain disruptions.

In a world where defense supply chains are increasingly complex and vulnerable to disruptions—whether from geopolitical conflicts, pandemics, or other unforeseen events—the SOSA represents a proactive approach to safeguarding national defense readiness. Dr. Vic Ramdass, Principal Deputy Assistant Secretary of Defense for Industrial Base Policy, emphasized the agreement’s importance, noting, “This Security of Supply Arrangement is a key milestone in the US-India Major Defence Partner relationship and will significantly boost the US-India Defence Technology and Trade Initiative (DTTI).”

Under the SOSA, the US will use its Defence Priorities and Allocations System (DPAS) to ensure timely access to industrial resources, while India will implement a Code of Conduct to prioritize support for US defense needs. This mutual commitment is expected to enhance the resilience of both countries' defense supply chains.

India’s addition as the eighteenth SOSA partner of the US aligns it with major allies like Australia, Japan, and the UK, reflecting its growing role in global defense and strategic alignment with US goals. For India, the SOSA supports its Atmanirbhar Bharat initiative by securing priority access to critical US defense resources and bolstering its defense capabilities.

 

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