Executive Order 14104 · Signed Jul 28, 2023

88 FR 51203 · Published Aug 2, 2023 · Effective on signing

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Federal Research and Development in Support of Domestic Manufacturing and United States Jobs

domestic manufacturingfederal research fundingtechnology commercializationinnovation policyintellectual property

Signed by President Joseph R. Biden Jr.

The order directs federal research agencies to prioritize domestic manufacturing when awarding R&D funding agreements and requires recipients to track and report where federally funded inventions are produced, strengthening existing Bayh-Dole Act obligations.

Establishes standardized reporting systems, common waiver application questions, and new agency guidelines for when foreign manufacture of taxpayer-funded technology may be permitted, aiming to link federal R&D investment more tightly to U.S. job creation.

What this order does

What it orders

The order directs nine named federal agencies — including Defense, Energy, Commerce, HHS, NSF, and NASA — to factor domestic manufacturing into their R&D funding decisions and solicitations. It requires recipients of federal R&D funding agreements to track and report to their awarding agency the locations where funded inventions are manufactured. It directs the Commerce Department's National Institute of Standards and Technology (NIST) to develop standardized award terms, common invention-utilization reporting questions, and common waiver application questions for use across all covered agencies. It also directs agency heads to evaluate whether "exceptional circumstances" exist to strengthen domestic-manufacturing requirements under the Bayh-Dole Act, particularly for critical technologies such as semiconductors, AI, and energy storage.

The order does not itself impose new manufacturing requirements on private companies or reclassify any technology as restricted. All actions are conditioned on being "appropriate and consistent with applicable law," and the standard Bayh-Dole waiver pathway — allowing foreign manufacture when domestic production is commercially infeasible or when no U.S. licensee is available — is retained, but made more rigorous, transparent, and standardized.

Who it affects

Federal agencies that fund R&D (Defense, Agriculture, Commerce, HHS, Transportation, Energy, Homeland Security, NSF, NASA, and SBA), universities, companies, and nonprofits that receive federal R&D funding agreements, and small businesses commercializing federally funded inventions. Foreign manufacturers currently producing U.S.-funded inventions under waivers also face heightened scrutiny.

Why it matters

Universities, startups, and companies holding licenses on federally funded inventions will face new mandatory tracking and annual reporting on where products are manufactured. Agencies will apply more scrutiny before granting waivers that allow foreign production, and applicants seeking those waivers will be required to offer alternative benefits to the U.S. economy.

What must happen and when

How the order is supposed to work

NIST leads the standardization work, developing award terms, common utilization questions, and waiver application forms in consultation with the Interagency Working Group for Bayh-Dole and OMB. Agencies then adopt these tools and begin collecting manufacturing location data from recipients. The Made in America Director receives annual utilization summaries; OMB and OSTP receive biennial implementation reports. Waiver oversight is tightened through required concurrence from the Made in America Director, public disclosure of waiver applicants and benefit terms, and a push to migrate all unclassified invention reporting to the iEdison federal tracking system by calendar year 2025.

Actions and deadlines

  • NIST develop award terms and conditions for manufacturing location reporting by R&D funding recipientsWithin 60 days of signing
  • Agency heads consider 'exceptional circumstances' to strengthen domestic manufacturing requirements under the Bayh-Dole Act for critical technologiesWithin 90 days of signing
  • NIST make waiver guidance on commercial feasibility determinations available for public commentWithin 90 days of signing
  • NIST develop common waiver application questions for use by all covered agenciesWithin 90 days of signing
  • NIST develop common invention utilization questions for all covered agenciesWithin 180 days of signing
  • All covered agencies begin using common utilization questions for newly elected subject inventions2024-05-01
  • Agency heads establish internal guidelines for negotiating with waiver applicants to retain U.S. benefitsWithin 270 days of signing
  • Secretary of Commerce submit iEdison transition action plan, including resource requirements, to OMBWithin 1 year of signing
  • Agency heads begin providing annual waiver application summaries (approved, rejected, terms, processing times) to CommerceBeginning in fiscal year 2024, annually thereafter
  • Agency heads submit biennial implementation reports to OMB and OSTP on domestic manufacturing outcomesWithin 2 years of signing, annually thereafter for 5 years
  • Agency heads submit invention utilization reports (including manufacturing locations) to the Made in America DirectorWithin 2 years of signing, annually thereafter

Agencies directed to act

Department of DefenseDepartment of AgricultureDepartment of CommerceDepartment of Health and Human ServicesDepartment of TransportationDepartment of EnergyDepartment of Homeland SecurityNational Science FoundationNational Aeronautics and Space AdministrationSmall Business AdministrationOffice of Management and BudgetOffice of Science and Technology Policy

Authority and reach

Authorities cited

Article II

Constitutional grant of executive power to the President.

Bayh-Dole Act (35 U.S.C. 200 et seq.)

Federal law governing ownership and commercialization of inventions made with federal R&D funding.

Paperwork Reduction Act (44 U.S.C. 3501 et seq.)

Federal law requiring agencies to minimize reporting burdens imposed on the public.

Executive Order

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