DOD Announces $1.1 Million Defense Production Act Title III Agreement With American Apparel, Inc. to Strengthen the Domestic Clothing and Textile Industrial Base

 Feb. 1, 2021

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As part of the national response to COVID-19, the Department of Defense entered into a $1.1 million agreement with American Apparel, Inc. to sustain critical industrial base production of U.S. military uniforms.

American Apparel, Inc. intends to purchase and install equipment to increase manufacturing automation. The new equipment will increase the company’s production capacity to meet all current contract requirements, as well as any surge requirements up to 25 percent.  The increased production capacity will ensure the U.S. government continues to have access to this domestic supplier of Berry Amendment compliant uniforms.

Using funds authorized and appropriated under the CARES Act, this DPA Title III investment will offset financial distress brought about by the COVID-19 pandemic and enable American Apparel, Inc. to retain current staff and potentially create 75 new jobs.

American Apparel Inc.’s headquarters is located in Selma, Ala. The principle place of performance for the contract will be the company’s four manufacturing facilities in Alabama.