Trump Orders GM To Produce Ventilators, Invoking Defense Production Act

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Trump Orders GM To Produce Ventilators, Invoking Defense Production Act
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The memorandum directed at General Motors comes as hospitals say they'll need more ventilators to weather the coronavirus pandemic.

President Donald Trump announced Friday that he’s ordering General Motors to produce ventilators needed by hospitals during the coronavirus pandemic.

Trump is taking action under the Defense Production Act, a 1950 law that gives the president legal power over industrial production. He detailed his decision in a statement: Today, I signed a Presidential Memorandum directing the Secretary of Health and Human Services to use any and all authority available under the Defense Production Act to require General Motors to accept, perform, and prioritize Federal contracts for ventilators. Our negotiations with GM regarding its ability to supply ventilators have been productive, but our fight against the virus is too urgent to allow the give-and-take of the contracting process to continue to run its normal course.

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