US Defense Secretary sets up “Deal Team Six”

Key information

• Defense Secretary Hegseth created “Deal Team Six” to secure better contracts with defense contractors and save taxpayers’ money.
• Hegseth aims to replace outdated contracting practices by awarding larger, longer-term contracts.
• This new system promises shorter production times.

Defense Secretary Pete Hegseth plans to revolutionize negotiations with defense contractors by creating a new team called “Deal Team Six.” This elite group, made up of experienced businesspeople from the private sector, will manage all aspects of relations with defense contractors with the goal of obtaining better terms for American taxpayers.

Criticisms regarding previous operation

Hegseth criticizes the old Pentagon bureaucracy that allowed contractors to exploit the system. He claims subcontractors billed taxpayers twice: once for the initial construction of the factory and again for the final delivery of the product. According to him, this practice led to constant delays and cost overruns, while the CEOs of the subcontractors profited greatly.

Deal Team Six operates within the Pentagon’s Economic Defense Unit, established in early April 2026. Hegseth first proposed the creation of this unit in a November 2025 memorandum presenting plans to modernize procurement practices. The new system, called “Freedom Arsenal,” replaces the old Defense Acquisition System with a Combat Asset Acquisition System designed to accelerate project deadlines and increase production.

Financial aid

The Deal Team Six initiative received significant financial support. The National Defense Authorization Act of 2026 allocated more than $266 million for research, development, testing and evaluation of the unit. President Donald Trump’s proposed 2027 defense budget additionally allocates more than $593 million to support Deal Team Six operations.

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