Operationalizing Economic Statecraft: A New Imperative for the Pentagon

Economic statecraft has become an operational domain of warfare, with adversaries using supply chain leverage and export controls to gain battlefield advantages. The U.S. military's doctrine has not yet adapted to this new reality, leaving it vulnerable to disruptions in critical components. To address this, the Pentagon must operationalize economic statecraft by creating a dedicated entity, such as an Economic Warfare Operations Capability, to coordinate efforts across the government and private sector. This new approach requires greater supply chain visibility through technology and incentives, stronger private-sector cooperation, and a shift in acquisition strategy away from lowest-cost sourcing toward security and resilience.