US President Barack Obama has signed a massive $662 billion defence spending bill into law.
The defence authorisation bill for the year 2012 also seeks to suspend 60 percent of $1.1 billion military aid to Pakistan, under the category Pakistan Counter-insurgency Fund.
The suspension will continue till Secretaries of State and Defence report to the Congress that Islamabad is making progress in the war on terror, particularly progress in strategies to counter manufacturing of improvised explosive devices (IEDs).
President Obama signed the bill despite what he called serious reservations about provisions regulating detention and prosecution of suspected terrorists.
IEDs, which are mostly manufactured in Pakistan in its illicit factories, are one of the largest factors responsible for the death of American troops in Afghanistan.
