Tuesday, April 21, 2020

OD Details $133 Million Defense Production Act Title 3 COVID-19 Project


April 21, 2020

Statement attributed to Lt. Col. Mike Andrews, Department of Defense spokesman:

"As previously announced, the Department of Defense will invest $133 million to increase U.S. domestic N95 mask production by over 39 million over the next 90 days.

Three companies were awarded contracts: 3M ($76 million), O&M Halyward ($29 million) and Honeywell ($27.4 million). The increased production will ensure the U.S. Government gets dedicated long term industrial capacity to meet the needs of the nation.

3M will add 78 million units within 6 months, with an additional 13 million units per month by June. 3M will accelerate production by converting current equipment supplier into a N95 producer, and will also expand meltblown material production in the Sheboygan Falls, Wis., and Aberdeen, Neb. plants.

O&M Halyward will add 25 million units within 6 months, with an additional 12.5 million masks every month after. In addition, they will be able to complete their Health and Human Services (HHS) N95 order within 12 months vs. 18 months without this action. O&M Halyward will expand their production line by five N95 machines their at Del Rio, Texas facility, while also expanding meltblown material production at Lexington, N.C. facility.

Honeywell will add 38 million units within 6 months, with an additional 12 million units per month after. In addition, they will be able to complete their HHS N95 order within 10 months vs. 13 months without this action.  Honeywell will accelerate production scale-up, including capital equipment, at the Smithfield, R.I. plant. They will also accelerate a 2nd production line at the Phoenix, Ariz. plant to provide additional domestic capacity for long-term needs.”

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