Is supplier diversity still required under the Trump administration?
The 2025 administration changes have meaningfully altered the diversity-policy landscape for federal procurement, but the statutory federal small-business set-aside programs continue to operate as written.
**What's unchanged:**
- **The Small Business Act** (15 USC §631 et seq.) authorizes the federal small-business contracting goals: 23% of all federal prime contract dollars to small businesses, with sub-goals of 5% to small disadvantaged businesses (SDB), 5% to women-owned small businesses (WOSB), 3% to HUBZone small businesses, and 3% to service-disabled veteran-owned small businesses (SDVOSB). These are statutory and remain in force.
- **8(a) Business Development Program** (13 CFR Part 124). Continues to operate. Sole-source authority continues. 9-year program duration continues.
- **HUBZone, WOSB, SDVOSB programs.** All operate through SBA Certify (certify.sba.gov). Annual recertification continues. Set-aside contracts continue.
- **DBE program** (49 CFR Part 26). Federally-funded transportation set-aside program. Continues in force; administered by state DOTs.
- **VA's Veterans First Contracting Program.** SDVOSB and VOSB continue to receive priority at the VA.
**What has changed:**
- **Several DEI-branded executive orders** issued by prior administrations have been rescinded. The headline EO on diversity, equity, and inclusion in federal contracting was rescinded in early 2025 along with related agency-level guidance.
- **Some agency-level supplier diversity reporting requirements** have been pared back. Federal agency Diversity, Equity, Inclusion, and Accessibility (DEIA) reports are no longer required at prior frequency.
- **Federal contractor diversity reporting requirements** have changed. Some affirmative action and EEO compliance frameworks for federal contractors have been modified or rescinded.
**What's unclear:**
- **Court challenges to federal small-business set-aside programs** continue to work through the courts. The Ultima Services Corp. v. USDA case (2023) ruled the SBA's racial presumption of social disadvantage in 8(a) unconstitutional under the Fifth Amendment. SBA responded by requiring narrative evidence of social disadvantage from all 8(a) applicants and applicants for continuing eligibility. The 8(a) program continues to operate but the eligibility process has changed materially.
- **Future agency-level supplier diversity disclosure requirements** are being reconsidered.
**For diverse business owners:** the federal certifications you can pursue today remain the same as a year ago — 8(a) (with the post-Ultima narrative eligibility requirement), HUBZone, WOSB / EDWOSB, SDVOSB. Federal set-aside contract dollars continue to be obligated under all four programs. Corporate supplier diversity programs (NMSDC, WBENC, etc.) operate independently of federal policy and are unchanged.
**This page reflects publicly-known policy as of mid-2026.** Federal contracting policy is a moving target; verify specifics through SBA, USASpending.gov, and the Federal Acquisition Regulation (FAR) before making business decisions based on it.
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