Breaking Defense is reporting that the Pentagon has secured $1.2 billion in loans for rare earth minerals, which Assistant Secretary of Defense for Industrial Base Policy Michael Cadenazzi emphasized are crucial for scaling weapons production. Defense Secretary Pete Hegseth has announced a six-month review of U.S. force posture in Europe. Hegseth criticized NATO's response to Iran as "shameful" and also commented on social issues in Europe. Separately, the Pentagon is reverting the name of INDOPACOM back to Pacific Command, a change that follows other departmental name adjustments under Hegseth. Breaking Defense also said the Pentagon aims to use voluntary agreements under the Defense Production Act to address supply chain issues, allowing companies to collaborate without concerns of "collusion." In other news, the Commerce Department's export controls on the AI system Mythos/Fable 5 could complicate the Pentagon's relationship with Anthropic. Additionally, the Pentagon's Chief Technology Officer, Emil Michael, indicated that traditional weapons might be "sacrificed" for more low-cost autonomous drones if budget reconciliation efforts fail. A government watchdog, the Government Accountability Office, found that better collaboration is needed on SOCOM programs, noting civilian officials often lack access to relevant program information. The GAO also reported that the F-35's full mission capable rate dropped to 25 percent in fiscal year 2025, prompting the Pentagon to seek a $13.7 billion boost for readiness.
