Boeing Dismisses Applicability of Trump’s Equity Stake Proposal

Boeing’s top defense executive made it clear this weekend President Donald Trump’s plan to take equity stakes in key U.S. industries won’t apply to major defense contractors like Boeing.

Speaking at the Reagan National Defense Forum in Simi Valley, California, Steve Parker, CEO of Boeing Defense, Space & Security, clarified the Trump administration’s strategic investment approach, saying the equity stake strategy is primarily aimed at smaller companies in the defense supply chain not the industry’s biggest players.

“I don’t think it really applies to the Primes,” Parker said, referring to Boeing, Lockheed Martin, RTX, and Northrop Grumman. “It really only applies on the supply chain, particularly for the smaller companies… where that might be a way forward for them.”

Parker’s remarks came in response to earlier comments from Commerce Secretary Howard Lutnick, who said in August that the Trump administration was considering taking equity stakes in large defense contractors a statement that briefly boosted shares of Lockheed Martin and Boeing.

But Boeing, for its part, is signaling that it doesn’t need a government buy-in.

Why it matters:

• President Trump’s economic strategy has focused on reclaiming American dominance in critical sectors by taking direct ownership stakes in companies tied to national security especially where China currently holds an edge.

• This year alone, the Trump administration has already taken positions in chipmaker Intel and rare earths producer MP Materials, signaling a bold new direction in economic nationalism and industrial independence.

• Defense remains a core pillar of that vision, but according to Parker, large contractors like Boeing are expected to fund their own expansions.

Parker cited Boeing’s multi-billion-dollar investments in St. Louis, where the company produces fighter jets, as an example of private capital driving national security capabilities without needing government intervention.

That message is consistent with Trump’s broader America First approach: reward domestic investment, secure supply chains, and hold contractors accountable while stepping in only when necessary.

Still, for smaller subcontractors, especially those producing rare components, materials, or weapons systems, Trump’s equity strategy could be a lifeline to strengthen the defense base and eliminate reliance on adversarial nations like China.

And the message from the administration remains clear: if you’re critical to America’s security and vulnerable to foreign manipulation we’ll back you, but we’ll own a piece of it.

“President Trump understands that national security isn’t just about weapons it’s about supply chains, materials, and independence,” said one administration official earlier this year. “Equity is leverage, and we’re not going to let China control our future.”

As the defense industry gears up for expanded production and rising global threats, the Trump administration is making sure America’s arsenal is built, owned, and controlled by Americans starting at the foundation.

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