Space-systems defense contractor Orbital ATK is seeking to diversify its fuel supplies, but has come under pressure from the Trump administration’s “Buy American” policies, the Wall Street Journal reports. Its current U.S. supplier of the fuel, ammonium perchlorate, is more expensive that its chosen overseas provider that includes Airbus.

While a seemingly simple supply chain decision the company’s involvement in government business shows how protectionist policies can greatly complicate procurement. The likely rise in new tariff and quota systems from the administration this year, as outlined in Panjiva research of January 2, will spread this challenge to other industries.

Panjiva data for seaborne imports – which include fuel and heavy systems but not electronics – shows Ariane Space is Orbital ATK’s biggest provider of supplies by weight, accounting for 69.6% of Orbital ATK’s imports by weight. There are also imports of chemicals from mainstream supplier DRT (likely part of the Ariane Space contract) as well as thermal tile materials from Hexcel.

Chart segments U.S. seaborne imports by Orbital ATK by supplier and HS code based on weight (kilograms). Source: Panjiva

The other major importer in the industry is SpaceX with 207 shipments in the past three years to Orbital ATK’s 187. SpaceX’s its imports are focussed on flight systems parts (including rocket motor components) as well as tile materials. The company also runs flights for the U.S. government, Wired reports, and so may also run into procurement issues if the “Buy American” principles are applied more strictly.

Chart segments U.S. seaborne imports by major space contractor by HS code by number of shipments. Source: Panjiva