Export Compliance Daily is a Warren News publication.

Removing Quotas, Tariffs on Formula Better Than Use of Defense Production Act, Toomey Says

The White House announced May 18 that the president is invoking the Defense Production Act in response to the infant formula shortage, which will require that suppliers send inputs to infant formula manufacturers ahead of other customers, and will direct the Pentagon to use its commercial air cargo contracts to transport formula from foreign factories that have met FDA safety standards. The White House is calling that Operation Fly Formula. "Bypassing regular air freighting routes will speed up the importation and distribution of formula and serve as an immediate support as manufacturers continue to ramp up production," the administration said.

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

Sen. Pat Toomey, R-Pa., the top Republican on the committee with oversight of the DPA, responded that this is a misuse of DPA, which is meant for defense issues.

"Beyond misusing the DPA statute every time there’s a temporary product shortage, today’s action masks the costly protectionist and welfare policies that created this problem in the first place. To fix the shortage, the administration and Congress should cut the hefty import taxes on baby formula and amend the USMCA so the U.S. isn’t limited in how much formula we can import from Canada," he said.