Biden invokes Defense Production Act to address formula shortage

Brian Deese:

The genesis of this challenge was that in mid-February, on February 17, the FDA closed a facility, but – of Abbott’s manufacturing in Sturgis, Michigan, due to a concern that the formula that was being produced was dangerous. It was a safety judgment that had to be made.

And, of course, we’re dealing with infant formula, so we have to put safety first here. But, immediately after this happened, the president-administration began working with manufacturers and retailers to try to ensure that production increased.

And, in fact, the reason we’re here today, where production is 100%, is because of the work that’s been going on over the last few weeks.

The reason for the Defense Production Act now is that we want to make sure manufacturers can sustain and stay at that 100% capacity. We don’t want a manufacturer, now that they’ve grown, to be in a place where, for example, they can’t get the bottles they need to fill an order, or they can’t get an input that he needs to fulfill an order.

The flexibility of the Defense Production Act now in place will allow them to maintain this high production rate in the future.


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