• US government has announced $27.7 billion in direct ownership or equity-like stakes since January 2025.
• Investments span critical minerals, semiconductors, manufacturing, and infrastructure.
• Government equity plays should follow a disciplined assessment of alternative support mechanisms.
• Clear exit strategies and governance protections are crucial for government investments.

The US government's increasing involvement in direct ownership and equity-like stakes may indicate a shift towards a more active role in industrial policy, which could have significant implications for the aerospace and defense industries. This trend suggests that the government may be willing to take on more risk to support strategic sectors, which could lead to increased investment in critical areas such as critical minerals and semiconductors.