Yesterday, the United States formally invoked the Defense Production Act (DPA) that required U.S companies to prioritize orders from the Federal Emergency Management Agency (FEMA).
As per New York Times report, 3M requires permission from the Chinese government to ship masks made in China by 3M and that the Chinese have claimed the factory output for themselves.
Now, under the Defense Production Act, the U.S has requested 3M to prioritise U.S needs. U.S. President Trump tweeted, ” We hit 3M hard today after seeing what they were doing with their Masks. “P Act” all the way. Big surprise to many in government as to what they were doing – will have a big price to pay!”
We hit 3M hard today after seeing what they were doing with their Masks. “P Act” all the way. Big surprise to many in government as to what they were doing – will have a big price to pay!
— Donald J. Trump (@realDonaldTrump) April 3, 2020
In response, 3M through its news release said, “The Administration also requested that 3M cease exporting respirators that we currently manufacture in the United States to the Canadian and Latin American markets. There are, however, significant humanitarian implications of ceasing respirator supplies to healthcare workers in Canada and Latin America, where we are a critical supplier of respirators. In addition, ceasing all export of respirators produced in the United States would likely cause other countries to retaliate and do the same, as some have already done. If that were to occur, the net number of respirators being made available to the United States would actually decrease. That is the opposite of what we and the Administration, on behalf of the American people, both seek.”