Trump's executive order sent defence stocks down immediately after Trump blasted the industry's slow production on Truth Social hours before the order was published. Implications of the executive order were digested by the defence industry overnight with executives calling legal counsel with questions about enforceability and court challenges, according to industry executives and attorneys. For major defence companies, the restrictions could affect significant sums. Industry sources said that defence contractors face an uphill battle on public perception, regardless of the executive order's legal standing. The second senior defense industry executive said: "there's just no way for the defence companies to win on the optics of this."

Source: The Edge Markets January 09, 2026 16:54 UTC