Invoking the Sept. 8, 1950 Defense Production Act [DPA], 73-year-old President Donald Trump essentially declared war on the coronavirus AKA SARS CoV-2 or Covid-19, the deadly virus that spread from Wuhan, China, now infecting 163 countries around the globe. Rapid escalation in the United State and around the world has prompted an international fight to stop what looks like the deadliest plague since the 1918 H1N1 Spanish flue that infected 500 million, killing between 20-50 million people. With 209,130 cases and 8.965 deaths worldwide, the virus has spread like wildfire now engulfing countries like Italy, Spain and the United States. With 9,413 cases in the U.S. and 154 deaths, viral outbreaks have quintupled in the last week, prompting a nationwide shutdown of small-and-large businesses, including sporting events, schools, entertainment venues and neighborhood bars and restaurants.
Trump invoked the DPA to essentially declare war, just like President Harry Truman when he declared war on North Korea June 25, 1950 for invading South Korea. After WW II, the U.S. military was depleted and it need of rebuilding, prompting Truman to sign the DPA. Trump’s move today recognizes how U.S. hospitals could be stretched to the breaking point, depleted of necessary medical equipment like masks and ventilators to save victims of SARS CoV-2. “We will be invoking the Defense Production Act,” Trump said today at the White House. “We have targets for certain pieces of equipment,” Trump said, asking various medical device makers to ramp up production much like Truman did for the Korean War. “We ordered millions of masks, but we need millions more,” Trump said. “We need ventilators . . . It’s a complicated piece of equipment.”
Watching Italy and Spain countries on the other side of the planet from China, in complete lockdown, Trump realized that if the Covid-19 pandemic gets much worse, the U.S. could run out of life-saving medical equipment. ”We hope we don’t need it. It’s a big step,” said the president, recognizing the potential shortfall. With 179 new cases, the White House hopes to slow the spread of the virus like they’ve done in China and South Korea. Hard hit states like Washington State and New York have aggressively cordoned off areas in Kirkland, Wash. and New Rochelle, N.Y., where most of the new cases originated. Shutting down gathering of more that 10 has been the nationwide plan designed to stifle the virus spread, while Big Pharma works feverishly on drug treatments and eventual vaccine. While the first human trials began Monday, March 16, no vaccine is expected for at least a year or more.
Invoking the DPA helps accelerate the manufacture of essential medical equipment to save lives during the coronavirus crisis. Trump’s been taking flack for calling SARS CoV-2 a “Chinese” virus, something China vigorously denies, despite knowing it originated in Wuhan, capital of Hubei Province. Trump didn’t know what to make of the virus when it first hit the headlines Dec. 31, 2019, a kind of nightmarish scenario watching a slow motion train wreck. “It snuck up on us,” Trump said at today’s news conference. While Democrats politicize the White House response, there’s zero evidence that anyone could have done more is so little time. Trump Signed and $8.3 billion Covid-19 relief bill into law March 5, providing urgent funds to battle the growing health emergency. Appointing Vice President Mike Pence Feb. 26 to head the Coronavirus task force, Trump pulled out all the stops.
Trump fights a two-front war, one to slow the spread of the virus as soon as possible and the other to stop the hemorrhage to the U.S. economy. Most analysts think the Covid-19 infectious disease emergency will send the U.S. economy into negative economic growth for at least two quarters, sending the U.S. into recession. Federal Reserve Board Chairman Jerome Power acted swiftly March 15, slashing the Federal Funds Rate to zero, instituting a new round of Quantitative Easing [QE-4], buying $700 billion worth of U.S. treasuries. Powell told the White House and Congress to add more stimulus to the economy, including cutting taxes and issuing rebates to American taxpayers. Shutting down small-and-large businesses to stop the spread of Covid-19, Trump’s well-aware of damage to the U.S. economy. JPMorgan Chase told investors today that the U.S. was headed into recession in 2020.
Anticipating for Covid-19 cases stretching the U.S. hospital system to the breaking point, Trump invoked the DPA to ramp up production of necessary medical equipment. Infectious disease experts warn about overwhelming demand to the nation’s hospital system as the crisis gets worse. Whatever happens to Wall Street, Americans infected with coronavirus need the best medical equipment to deal with the crisis. Invoking the DPA will accelerate the pace to allocate the medical equipment needed to deal with what looks like intolerable hospitalizations from the virus. With Covid-19 now in all 50 states, it’s a matter of time before the U.S. hospital system implodes from too many admissions. “We’re behind the eight ball, because we’ve been reactive. Here’s an opportunity to be proactive,” said Dov Zakeim, the Pentagon’s comptroller under former President George W. Bush.
