On April 9, 2025, President Trump published Executive Order (EO)
14268 titled “Reforming Foreign Defense Sales to Improve
Speed and Accountability.” See 90 Fed. Reg. 15631 (Apr. 15,
2025). The EO requires inter-agency reforms to increase the
efficiency and flexibility of the Foreign Military Sales (FMS)
program, eliminates bureaucratic hurdles, and expands the list of
eligible defense items and foreign partner recipients of arms
transfers. While the entire scope of changes to come remains to be
seen, the EO demonstrates a commitment to increasing both the
quantity and efficiency of these sales.
Background—Established under the Arms
Export Control Act of 1976, FMS and the closely related Direct
Commercial Sales (DCS) programs are the primary frameworks for
supplying foreign countries with U.S.-origin weapons and other
major defense systems. Under the FMS program, the U.S. Government
purchases defense articles and services from U.S. contractors on
behalf of foreign