The U.S. Government has invoked the Defense Production Act (DPA) to bolster domestic production of glyphosate, the active ingredient in the widely used herbicide Roundup, manufactured primarily by Bayer, the White House confirmed Wednesday evening. The move designates glyphosate production, and the mining of phosphate necessary for its creation, as critical to national security.
According to sources cited by the Handelsblatt, President Donald Trump signed an executive order enacting the measure. The White House stated that herbicides based on glyphosate “play a decisive role in maintaining the U.S. Agricultural advantage” and are a “cornerstone of agricultural productivity.” The order further asserts that a disruption to domestic production would “seriously jeopardize the national security of the United States.”
The DPA, originally enacted in 1950, allows the U.S. Government to prioritize resources during times of crisis. Even as the order does not explicitly name Bayer, it specifies that there is “only one domestic manufacturer of elemental phosphorus and herbicides based on glyphosate.” The availability of glyphosate is now considered essential not only for food security and industry but similarly for defense purposes, as white phosphorus—a byproduct of glyphosate production—has military applications.
Bayer has faced mounting legal challenges in the U.S. Related to glyphosate, with thousands of lawsuits alleging a link between the herbicide and non-Hodgkin’s lymphoma. The company acquired Monsanto, the original developer of Roundup, in 2018, inheriting the legal liabilities. As of 2020, Bayer had already allocated approximately $10 billion to settle claims, and the company has been seeking ways to mitigate future legal risks. The Süddeutsche Zeitung reported that Bayer hopes the DPA designation will facilitate contain the ongoing legal battles.
Recent developments suggest a shift in the legal landscape. Several law firms representing plaintiffs in the glyphosate lawsuits have reached a settlement agreement with Bayer, according to reporting from the taz. The agreement, which requires court approval in St. Louis, would see Bayer pay up to $7.25 billion over 21 years to U.S. Residents who can demonstrate exposure to Roundup and a subsequent diagnosis of non-Hodgkin’s lymphoma. This settlement comes as some legal teams reportedly fear a potential defeat before the Supreme Court, which is perceived as more conservative under the Trump administration.
The average payout under the proposed settlement is expected to range from $10,000 to $165,000, significantly lower than the multi-million dollar awards granted to some plaintiffs in earlier court rulings. The International Agency for Research on Cancer (IARC), part of the World Health Organization, classified glyphosate as “probably carcinogenic” in 2015, a finding that has fueled the litigation. Bayer maintains that glyphosate is safe, citing approvals from regulatory agencies.
The DPA invocation grants the Trump administration the authority to compel Bayer to prioritize domestic supply of glyphosate and potentially expand production. The long-term implications of this move, and whether it will ultimately resolve the legal challenges facing Bayer, remain to be seen. The Justice Department has not responded to requests for comment regarding the specifics of how the DPA will be implemented in this case.
