Trump Weighs Pressing Defense Firms to Cut Buybacks (1)

December 17, 2025, 7:25 PM UTC

The Trump administration is weighing an executive order that would pressure defense contractors to spend less on stock buybacks and dividends while boosting investment in infrastructure and weapons production, a person familiar with the matter said.

The executive order, which President Donald Trump could sign as early as this week, would mark the latest effort by the White House to bring the defense contractors to heel. In a speech last month, Defense Secretary Pete Hegseth demanded the companies speed weapons development or “fade away.”

The proposed order would mandate that the companies tie executive compensation more closely to overall performance ...

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