Trump’s Executive Orders: Security industry insiders weigh in

“We expect significant new funding for border security in what they call the reconciliation package,” Parker explains. “I think we can expect to see some technology-specific funding in there.”

Trade Policy and Tariffs: A Double-Edged Sword

The “America First” trade policy and associated tariffs are a significant concern for the security industry. McCarthy warns that President Trump’s threats of imposing punitive tariffs on non-domestically manufactured products could complicate supply chains and increase costs for security equipment.

“The President’s threats of imposing punitive tariffs on non-domestically manufactured products may be part of a negotiating strategy with foreign leaders,” he says.

De Seve adds that while bipartisan support exists for increasing the required content for items made in the U.S., meeting these content levels remains a challenge.

“It is a challenge for certain commodity items that are important security components working to meet the content levels proposed now,” she notes. She also highlights concerns over tariffs, which have caused uncertainty within the industry.

Parker elaborates on the potential impact of tariffs, explaining that the executive order calls for a review of trade agreements and potential tariff adjustments. “The most anticipated issue right now is tariffs,” he says. “If new tariffs are imposed on Mexico, that could have a much bigger impact than even higher China tariffs.”

Many security products have shifted manufacturing from China to Mexico and other East Asian countries. Therefore, he explains, new tariffs on Mexican imports could disrupt these newly established supply chains and substantially affect the industry.

AI Policy Shifts and Federal Tech Modernization

The new AI executive order aims to keep the U.S. as a leader in AI innovation, which is encouraging for the security industry. Parker notes that the Government Efficiency executive order prioritizes modernizing federal technology, including physical and electronic security systems. “The federal definition of IT systems includes physical access control systems, video surveillance systems and alarm systems,” he says. “Some agencies are in dire need of upgrades, and this policy could open up investment opportunities.”

Similarly, Parker adds that Trump’s return to in-person work directive, which aims to bring more federal employees back to office spaces, may accelerate investment in building security systems.

Emerging Opportunities and Industry Priorities

McCarthy and Parker both highlight emerging opportunities for the security industry. McCarthy points to the Federal Building Security Act of 2024, which requires modern security measures in federal buildings. As federal workers return to offices, there will be a significant push to upgrade security systems. “Security industry professionals should focus on leveraging this opportunity offered by President Trump’s executive order and the federal building security law enacted under President Biden,” McCarthy advises.

A lesser-known but potentially significant initiative is a new AI-focused data center project involving OpenAI, Oracle and other companies, which could see substantial investment in security technology. “These data centers require extensive security infrastructure, presenting major opportunities for the industry,” Parker says.

The first facility, planned for Texas, could see investments reaching up to $500 billion. “I’ve learned from talking to SIA members that there’s anticipated to be a very significant investment in security technology as part of that project,” admits Parker.  “These data centers require extensive security infrastructure, so that could be an area where the industry sees major opportunities.”

The security industry should prioritize collective advocacy and engagement with the federal government. McCarthy emphasizes the importance of bipartisan collaboration and staying informed to identify emerging opportunities.

“Security industry professionals looking to engage with policymakers should prioritize collaboration with industry associations and stay informed to identify emerging opportunities,” he suggests. Companies should connect with elected officials representing areas with significant corporate presence to advance industry goals.