May 17, 2026 to May 23, 2026

This is Queen Street Analytics' weekly digest of regulatory developments, legislative discussions and other government-related news concerning national defense, cybersecurity, weapons systems, military commitments, and the Army, Navy and Air Force. Once a week, we break down the most important updates in this space in under five minutes.

Want to track GR news in industries related to Defense? Don't miss this week's updates in ICT & Cybersecurity and Foreign Affairs. Also consider subscribing to our Defence - Ottawa edition covering critical GR news north of the border.

📋 In This Week's Newsletter

• 🇺🇸 Federal Government News
• 📜 Legislative Updates
• 🗺️ State Government News
• 📚 What We're Reading This Week

Federal Government News

Coast Guard Plans Cooperative Agreement with Lockheed Martin for High-Power Microwave Vessel Systems

The U.S. Coast Guard has issued a notice of intent to enter a Cooperative Research and Development Agreement (CRADA) with Lockheed Martin Corporation for development of a modified, low size and weight, high-power microwave effector configured for use against non-compliant vessels and small uncrewed surface vessels. The technology aims to temporarily disable engines or electronic systems, facilitating safer interdiction operations. Both Coast Guard and industry participants may share modeling, targeting software, data analysis, and testing in environments ranging from laboratory chambers to Coast Guard small boats. The CRADA will be conducted under authority provided by federal statute, and comments on the partnership or third-party participation are invited through June 18, 2026. Special consideration may be given to small business consortia, with preference for units located in the U.S. This agreement is not a procurement contract but enables joint technical development and assessment.

Sources: www.federalregister.gov

Air Force Announces Environmental Impact Statement (EIS) for KC-46A Pegasus Squadron Basing

The Department of the Air Force intends to prepare an EIS regarding the basing of a KC-46A Pegasus Squadron at Selfridge Air National Guard Base in Michigan. The proposal would replace eight KC-135T Stratotankers with up to twelve new KC-46 aircraft. The EIS will analyze impacts on airspace, noise, air quality, biological and cultural resources, water and geological resources, land use, and infrastructure. Public scoping is open for 30 days to receive comments on alternatives, potential impacts, and relevant factors. Significant considerations include aircraft noise, air quality, land use, and floodplain compliance. The action aligns with efforts to modernize aerial refueling and address the obsolete KC-135 fleet.

Sources: www.federalregister.gov

Presidential Message for National Maritime Day Emphasizes Merchant Marine, Shipbuilding, and Maritime Workforce

The White House issued a statement honoring the United States Merchant Marine for its longstanding role in national defense and commerce, referencing pivotal historical moments and contributions. The President's message outlined administrative efforts including an Executive Order to expand shipbuilding, strengthen the maritime workforce, and protect the industrial base. The statement also noted continued investments in port and shipping infrastructure, aiming to enhance economic growth and national security for future generations.

Sources: www.whitehouse.gov

Memorandum of Understanding with Sweden on Science, Technology, and Defense Innovation

A Memorandum of Understanding was signed between the United States and Sweden to bolster bilateral collaboration in advanced science and technology domains. The arrangement includes initiatives on trusted AI, 5G/6G technologies, defense technology transfer, quantum standards, critical minerals for manufacturing, space exploration, and research security. The MOU is non-binding, subject to national laws, and includes provisions for data protection and intellectual property to be handled separately.

Sources: www.whitehouse.gov

Remarks by Director Michael Kratsios: Advancements in Nuclear Energy Policy and Defense Applications

Director Michael Kratsios delivered remarks marking the one-year anniversary of President Trump’s executive orders on nuclear energy policy. Progress reported includes the doubling of domestic uranium production, increased investment in enrichment, and the acceleration of small modular reactor (SMR) projects, with at least three SMR tests slated to reach criticality by July 2026. The Janus Program is set to deploy microreactors to military installations by 2028. Additional reforms have modernized licensing and regulatory processes, with 5 gigawatts of new nuclear power expected on the grid by 2030 and a proposed framework for fusion energy regulation.

Sources: www.whitehouse.gov

Legislative Updates

Strategy for Deployment of Unmanned and Autonomous Systems Bill

Bill 4633 would require a strategy for deployment, employment, integration, exportability, and scaling of unmanned and autonomous systems in the Indo-Pacific and Western Hemisphere to support defense operations and ally burden sharing. The bill was read twice and referred to the Committee on Armed Services.

Sources: www.congress.gov

Ready Reserve Force Vessel Design Requirements Bill

Bill 4630 seeks to prioritize finalizing design requirements for new Ready Reserve Force vessels. Latest action saw it read twice and referred to the Committee on Armed Services.

Sources: www.congress.gov

Maritime Facility Cybersecurity Risk Assessment Bill

Bill 4564 would mandate cybersecurity risk assessments of software and hardware used in certain maritime facilities by the Coast Guard. The bill was read twice and referred to the Committee on Commerce, Science, and Transportation.

Sources: www.congress.gov

Foreign Partner Procurement of U.S.-Origin Cyber and Digital Technologies Bill

Bill 4570 aims to incentivize, streamline, and sustain foreign government procurement of U.S.-origin cyber and digital technologies to strengthen international defense partnerships. The bill was read twice and referred to the Committee on Foreign Relations.

Sources: www.congress.gov

Innovative Hull and Material Design Evaluation Bill

Bill 8998 requires the Transportation Research Board to evaluate innovative hull designs and alternative material construction technologies to improve fleet performance and payload capacity in maritime transit systems. It was referred to the House Committee on Transportation and Infrastructure.

Sources: www.congress.gov

State Government News

Blue Origin Announces $600 Million Manufacturing Expansion at Cape Canaveral, Florida

Blue Origin will expand its Rocket Park campus with a $600 million investment, constructing an 830,000-square-foot manufacturing facility and adding 500 aerospace jobs to Florida's Space Coast.

Sources: www.flgov.com

Innovative Defense Technologies Expands Headquarters in Arlington County, Virginia

Innovative Defense Technologies will invest $19 million and create 210 new jobs at its Arlington County headquarters, with support from the Virginia Economic Development Partnership and state incentives.

Sources: www.governor.virginia.gov

Indiana Enacts Foreign Adversary Land Control and Agent Transparency Law

Indiana's Senate Enrolled Act 256, effective immediately, bans adversarial nation entities from owning land and mandates registration and disclosure for foreign agents, aimed at strengthening state-level sovereignty.

Sources: www.indianasenaterepublicans.com

Strengthening Indiana’s Defense Task Force Collaboration

House Enrolled Act 1268, signed into law, enhances collaboration among Indiana's Defense Task Force, economic development agencies, and the National Guard by adding legislative and adjutant general representatives.

Sources: www.indianasenaterepublicans.com

Protections for Shooting Ranges Enacted in Indiana

Senate Enrolled Act 176 prohibits local governments from imposing stricter regulations on shooting ranges than existing state law, securing operational continuity for indoor and outdoor shooting facilities.

Sources: www.indianasenaterepublicans.com

What We're Reading This Week

• Iran War Exposes Shortcomings in U.S. Military Industrial Base: The Iran conflict highlights vulnerabilities in U.S. defense procurement and drone production capacity.
• Malaysia seeks more than $250 million from Norway over axed defence deal: Malaysia initiates a claim for damages after cancellation of a major defense contract with Norway.
• Sweden to buy navy frigates from France for over $4 billion to boost Baltic defence: Sweden agrees to acquire advanced navy frigates from France, strengthening its Baltic fleet for over $4 billion.
• Army cuts helicopters, pushes ‘Amazon for war’ as drone combat reshapes military: The U.S. Army reduces helicopter fleet and launches logistics modernization to adapt to rising drone warfare.
• Canada falling short on defense spending, F-35 review, Pentagon official says: A Pentagon official states Canada is not meeting defense spending targets and is reviewing its F-35 procurement.
• Prabowo says Indonesia will build defence capability further as Air Force receives Rafale jets: Indonesia expands its air force capability as it takes delivery of Rafale fighter jets.
• New Zealand unveils defence boost for fleet and drones: New Zealand announces new investments to enhance its military fleet and drone operations.
• Automakers, suppliers seek growth in AI data centers, defense: Major automakers and suppliers target expansion in the AI-driven defense and data center sectors.
• Opinion | U.S. Defense Needs More Competition, Not More Money: Opinion piece argues increased competition in the defense sector is preferable to greater spending.

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