We’re Number One—But It’s Nothing to Brag About. On Sunday, April 1, the United States achieved a dubious distinction. Our nation now has the highest statutory corporate tax rate among developed nations. At the beginning of the month, Japan cut its corporate tax rate, leaving the United States in the top spot. Other countries have been regularly lowering their tax rates to encourage economic growth. The NAM believes that a lower corporate tax rate would go a long way to improving the global competitiveness of U.S. manufacturers, stimulating economic growth and job creation and making the United States a more attractive location for business investment. It is critical that a lower corporate tax rate be part of the current debate on comprehensive tax reform. One of the most important things policymakers can do to create a competitive U.S. tax climate is to reduce the corporate tax rate to 25 percent or lower.
NAM President and CEO Jay Timmons published an op-ed in the Daily Caller outlining how our nation’s high corporate tax rate is hurting the competitiveness of manufacturers. outlining how our nation’s high corporate tax rate is hurting the competitiveness of manufacturers.“As other nations take steps to improve their competitiveness and attract investment, the United States has stood still. As a result, we’ve placed ourselves at a significant disadvantage in the global economy,” he wrote. “Manufacturers in particular feel the brunt of our policies. It is 20 percent more expensive to manufacture in the United States than it is among our major trading partners—excluding the cost of labor—according to a recent study by the Manufacturing Institute and MAPI. Corporate taxes are the primary driver of this cost differential.” To get the message out to lawmakers, the NAM also launched a national online ad campaign to highlight how instead of lowering our corporate tax rate, our nation has stood still. In addition, the NAM’s Manufacturing Works website allows members—and the general public—to send a letter to lawmakers urging them to support reducing the U.S. corporate tax rate to 25 percent or lower without increasing the tax burden on manufacturers. Manufacturers in America operate in a fiercely competitive global marketplace—and a pro-growth, pro-manufacturing tax system is critical to their ability to compete. Details: Dorothy Coleman, (202) 637-3077. {Back to top}
 Ex-Im Bank Chairman Talks Exports and Jobs with NAM Members. On Thursday, April 5, the NAM hosted a members-only briefing with U.S. Export-Import Bank President and Chairman Fred Hochberg. Hochberg gave NAM members his perspective on the bank’s reauthorization and its future. Ex-Im Bank is a vital tool to help grow U.S. exports and boost American jobs. The bank’s authorization expired at the end of September, and the bank is currently operating under a short-term extension that ends on May 31. It is vital that Congress swiftly pass a long-term reauthorization of Ex-Im Bank to level the playing field for U.S. exporters against competitors overseas and to ensure our nation’s manufacturers can compete. Ex-Im Bank also enables small and medium-sized manufacturers to capture new markets in emerging economies abroad. In fact, more than 85 percent of Ex-Im Bank’s transactions are with small and medium-sized manufacturers—the engines of our economy—impacting jobs, competiveness and the manufacturing supply chain. Click here to contact your members of Congress and urge their support for Ex-Im reauthorization. Click here to view the NAM’s latest print ad. Numerous resources, facts and testimonials about the importance of Ex-Im Bank and its support of small business and jobs are available at www.nam.org/exim. to contact your members of Congress and urge their support for Ex-Im reauthorization. to view the NAM’s latest print ad. Numerous resources, facts and testimonials about the importance of Ex-Im Bank and its support of small business and jobs are available at . Details: Lauren Airey, (202) 637-3141. {Back to top}
 Support Senate Resolution Disapproving the EPA’s Harmful Utility Air Rule. The NAM strongly supports Sen. James Inhofe’s (R-OK) Resolution of Disapproval (S.J. Res. 37) that would repeal the Environmental Protection Agency’s (EPA) Utility Mercury and Air Toxics Standards (MATS) for power plants (also known as Utility MACT). The rule is one of the most expensive the EPA has ever finalized and will increase energy costs for manufacturers. This resolution would send the EPA back to the drawing board to develop a more achievable regulation. Manufacturers expect a vote on this resolution in June, and we encourage companies and associations to sign on to a coalition letter urging support for the resolution. The deadline for signatures is May 1. urging support for the resolution. The deadline for signatures is May 1. Details: Chip Yost, (202) 637-3175 and Alicia Meads, (202) 637-3174. {Back to top}
 NAM-Led Push for MTB Process Pays Off. Last week, the House and Senate initiated the Miscellaneous Tariff Bill (MTB) process, which allows companies to request that members of Congress submit bills to suspend import duties on manufactured goods inputs that are unavailable in the United States, and therefore must be imported. The NAM led the lobbying and advocacy on this effort, working with relevant congressional committees and leadership. As there is no domestic production of such goods, the import duties protect no one and are simply a tax on manufacturing. There is no limit to the number of bills members of Congress can submit on behalf of their constituents, and each bill can suspend duties up to $500,000. Duties are suspended for a three-year period. The process is rigorous and transparent, and companies should begin immediately because the window closes on April 30. Earlier this week, NAM staff sent out step-by-step guidance on how to apply for tariff suspensions. on how to apply for tariff suspensions. Details: Frank Vargo, (202) 637-3144. {Back to top}
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