- Army launches first tranche of SCI projects focused on critical minerals and advanced manufacturing
- Initiative includes public-private partnerships to modernize Army depots and strengthen the industrial base
- The 2026 Army Summit on June 18 will discuss AI, air defense, the tactical edge and more
The U.S. Army has unveiled the initial wave of projects under the Strategic Capital Initiative, or SCI, a program that aims to modernize the service’s industrial base and strengthen national security by harnessing private investments and innovation.
As the Army advances its Strategic Capital Initiative, defense and industry leaders will gather to discuss the future of Army modernization at the 2026 Army Summit on June 18. The event will bring together government officials, military leaders and industry executives to discuss reconfigurable air defense and cost-effective fires, AI, the hyperconnected battlefield, the future of the tactical edge and more. Secure your spot now!
In March, the service launched SCI and issued a request for information on industry partners to accelerate enterprisewide modernization efforts.
What Are the SCI Tranche 1 Initiatives?
The Army said Monday the first tranche of SCI projects will focus on critical mineral development and advanced manufacturing initiatives designed to integrate commercial capabilities into Army depots and ammunition plants.
The service issued a request for proposals for critical mineral development on Friday, May 15.
Under Pillar 6: Critical Mineral Development, the Army said it plans to establish Enhanced Use Leases at several installations to support domestic processing of critical minerals. The projects include neodymium processing at Tobyhanna Army Depot, lithium processing at Red River Army Depot and rare earth element processing at Tooele Army Depot.
Under Pillar 5: Advanced Manufacturing and Technology Adoption, the service is launching four co-production initiatives with industry partners to modernize sustainment, aviation and munitions capabilities.
The initiatives will support operations at Corpus Christi Army Depot, McAlester Army Ammunition Plant, Pine Bluff Arsenal and Red River Army Depot.
What Are the Details of the Advanced Manufacturing CSO?
The Army said it will release a commercial solutions opening, or CSO, during the first weeks of June to seek proposals focused on Industry 4.0 and 5.0 integration across the organic industrial base.
According to the military branch, the CSO will invite industry to propose privately funded capital improvement projects and commercial technologies to modernize repair, overhaul and manufacturing operations at key Army depots.
The solicitation will target the following facilities and production lines:
- Anniston Army Depot for M88 and M1 Abrams engine and transmission repair and overhaul
- Red River Army Depot for manufacturing of track shoes, road wheels and tire assemblies for tactical and combat vehicles
- Corpus Christi Army Depot for repair, overhaul and manufacturing of rotary-wing components, including engines, transmissions, rotor blades and bearings
- Tobyhanna Army Depot for manufacturing of wiring harness connectors and raw printed circuit boards
The Army said industry partners selected under the initiative will fund all capital expenditures for modernization projects. In exchange, the partners will receive access to a portion of production capacity for commercial use while military production requirements maintain priority.
What Is the Strategic Focus of the SCI Tranche 2?
The Army said the second tranche of SCI will focus on Pillar 1: Energy Resilience and Dominance.
According to the service, the effort will seek partnerships with industry to develop independent power grids and energy storage solutions at Army installations to support mission readiness and reduce reliance on the civilian power grid.
