April 15, 2025 — President Donald Trump has signed a new executive order aimed at reshaping the federal procurement process, requiring government agencies to favor commercially available products and services over customized solutions.
Announced by the White House on Tuesday, the directive instructs all federal contracting officers to audit their current pipeline of non-commercial contracts. Within 60 days, agencies must either submit formal justifications for why specialized products are needed or shift toward proven, off-the-shelf alternatives.
According to a White House fact sheet, the order is designed to cut costs, reduce inefficiencies, and bring private-sector innovation more directly into government operations. Officials say the change will streamline purchasing decisions, speed up delivery timelines, and encourage greater participation from businesses already offering scalable commercial solutions.
The policy shift reflects a broader trend in federal acquisition strategies, where agencies are under pressure to reduce reliance on expensive, tailor-made systems that often require lengthy development cycles and carry higher risk.
Trump signed the order just hours before hosting the U.S. Naval Academy football team at the White House, where he presented them with the Commander-in-Chief Trophy.
The administration has not yet released specific figures on potential savings, but procurement analysts expect the change to have ripple effects across the defense, tech, and logistics sectors—where government demand has historically leaned heavily on custom-built systems.