More American Clothing for the U.S. Army from American Apparel

by: Matthew Potter
June 25, 2010

Category: Business Line, Companies, Congress, Contract Awards, Department of Defense, Events, logistics, production program, Services, U.S. Army | RSS 2.0

The U.S. Department of Defense desires to buy things as efficiently and effectively as possible. At the same time it operates under rules by Congress to favor certain business and types of companies. One of these rules is to buy their uniforms and clothing from American companies. This helps that industry as well as maintains quality products for the military. The negative is that the prices may not be the best that can be received without foriegn competition.

The U.S. Army placed an order with American Apparel (APP) to buy uniform coats. This contract is worth over $55 million if all options are exercised. The work will be done at various American Apparel facilities in the South and Northeast.

Certainly the U.S. taxpayer can expect that parts of the defense budget will be used to help and support home based industries and any cost differential which normally is slight is a small price to pay for that.

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