Press Releases

The NAM drives coverage and provides up-to-date information about the manufacturing industry across the United States. Find press releases here.

Press Releases

Manufacturers React to Recovery-Stunting Tax Hike Proposal

Newhouse: “There’s no getting past the fact that this tax plan adds up to fewer jobs for American workers.”

Washington, D.C. – Following the release of the House Ways and Means Committee’s plan to increase taxes on manufacturers through the budget reconciliation legislation, National Association of Manufacturers Senior Vice President of Policy and Government Relations Aric Newhouse made this statement:

“There’s no getting past the fact that this tax plan adds up to fewer jobs for American workers. We know from experience that competitive tax rates spur job creation, higher wages and investment in communities. That’s exactly what we saw after the 2017 Tax Cuts and Jobs Act as manufacturers kept their promises. 2018 was the best year for manufacturing job creation in more than two decades. We also know from rigorous economic analysis that reverting to archaic tax policies has the opposite effect. A study of proposed tax increases—including a 25% corporate rate—found that America would lose 1 million jobs in just the first two years.

“Building a strong economy takes more than wishful thinking; it requires a competitive business environment. Manufacturers are committed to rebuilding our economy and sustaining our recovery—even amid the surge of COVID-19 cases. If lawmakers share that commitment, then they would rethink tax proposals like this. Few policies would stall our recovery faster. Now is not the time to pursue policies in Washington that will hurt the families and communities of manufacturers in America.”

Study: Negative Consequences of 25% Tax Rate on Manufacturers:

(Source: Dynamic Estimates of The Macroeconomic Effects of Tax Rate Increases and Other Tax Policy Changes)

  • 1 million jobs and $107 billion in GDP lost in first two years
  • 500,000 jobs lost on average each year over the next decade

Manufacturers on Increasing the Tax Burden:

(Source: NAM’s Q3 Manufacturers’ Outlook Survey)

  • Nearly 94% of manufacturers said that higher taxes would be harmful to their businesses.
  • Roughly 90% of respondents said that their company would find it more difficult to expand their workforce, invest in new equipment or expand facilities if the tax burden on income from manufacturing activities increased.
  • Nearly 91% said that higher taxes would also make it more difficult to raise employee wages.

Manufacturing growth following the enactment of 2017 tax reform:

  • In 2018, manufacturers added 263,000 new jobs. That was the best year for job creation in manufacturing in 21 years. (U.S. Bureau of Labor Statistics)
  • In 2018, manufacturing wages increased 3% and continued going up—by 2.8% in 2019 and 3% in 2020. Those were the fastest rates of annual growth since 2003. (U.S. Bureau of Labor Statistics)
  • Manufacturing capital spending grew 4.5% and 5.7% in 2018 and 2019, respectively. (U.S. Census Bureau)
  • Overall, manufacturing production grew 2.7% in 2018, with December 2018 being the best month for manufacturing output since May 2008. (Federal Reserve Board)

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.3 million men and women, contributes $2.35 trillion to the U.S. economy annually and has the largest economic multiplier of any major sector and accounts for 58% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org

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Press Releases

Manufacturers Share Commitment to Vaccination

Requirements Must Be Structured in a Way That Does Not Negatively Impact the Operations of Manufacturers

Washington, D.C. – Following President Biden’s speech on new measures to combat COVID-19, National Association of Manufacturers President and CEO Jay Timmons released this statement:

“Americans can be grateful to President Trump for ‘Operation Warp Speed’ that enabled the United States to develop the lifesaving vaccines against COVID-19 and to President Biden for his continued focus on getting Americans vaccinated. We share their steadfast focus, and manufacturers have led the way in promoting the lifesaving COVID-19 vaccines. They are safe and effective vaccines made for us, by people like us—manufacturers in America.

“We look forward to working with the administration to ensure any vaccine requirements are structured in a way that does not negatively impact the operations of manufacturers that have been leading through the pandemic to keep Americans safe. It is important that undue compliance costs do not burden manufacturers, large and small alike.

“Getting all eligible Americans vaccinated will, first and foremost, reduce hospitalizations and save lives. But it is also an economic imperative in that our recovery and quality of life depend on our ability to end this pandemic. This is why the NAM and The Manufacturing Institute continue equipping manufacturers of all sizes with resources to promote vaccination through our ‘This Is Our Shot’ project.”

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.3 million men and women, contributes $2.35 trillion to the U.S. economy annually and has the largest economic multiplier of any major sector and accounts for 58% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org

Press Releases

Manufacturers: Tax Hikes Will Cost Manufacturing Jobs

9 in 10 Manufacturers say higher taxes would make it more difficult to raise employee wages, invest in new equipment and hire more workers

Washington, D.C. – National Association of Manufacturers President and CEO Jay Timmons released this statement following U.S. Department of Commerce Secretary Gina Raimondo’s address to the City Club of Cleveland:

“Secretary Raimondo correctly notes that ‘too many Americans feel like they’ve been left behind,’ but returning to archaic tax policies of the past would set Americans back even further. Manufacturers kept their promises to raise wages and invest in their communities after the 2017 tax reform law. Why would anyone want to undo that progress?

“The proposed tax increases would result in 1 million job losses in just the first two years. Manufacturers agree with Secretary Raimondo that we want to give ‘all American workers an opportunity to participate in our economy,’ and we believe in building an opportunity society. But we need continued strong job creation to make that possible—especially as we continue to battle COVID-19.

“The right approach is a bipartisan one—just as President Biden and senators from both parties achieved on infrastructure. Smart investments that don’t impose job-destroying tax increases is the path forward. Lawmakers who choose the more destructive path—the one that jeopardizes family-supporting American manufacturing jobs—will need to explain why they want to undo our historic progress. In 2020, President Biden called on U.S. manufacturing to be ‘part of the Arsenal of Prosperity today.’ We are committed to answering that call, but we need the tools—including competitive tax rates—to achieve that goal.”

Manufacturers on Increasing the Tax Burden:

(Source: NAM’s Q3 Manufacturers’ Outlook Survey)

  • Nearly 94% of manufacturers said that higher taxes would be harmful to their businesses.
  • Roughly 90% of respondents said that their company would find it more difficult to expand their workforce, invest in new equipment or expand facilities if the tax burden on income from manufacturing activities increased.
  • Nearly 91% said that higher taxes would also make it more difficult to raise employee wages.

Background on manufacturing growth following the enactment of 2017 tax reform:

  • In 2018, manufacturers added 263,000 new jobs. That was the best year for job creation in manufacturing in 21 years.
  • In 2018, manufacturing wages increased 3% and continued going up—by 2.8% in 2019 and 3% in 2020. Those were the fastest rates of annual growth since 2003.
  • Manufacturing capital spending grew 4.5% and 5.7% in 2018 and 2019, respectively.
  • Overall, manufacturing production grew 2.7% in 2018, with December 2018 being the best month for manufacturing output since May 2008.

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.3 million men and women, contributes $2.35 trillion to the U.S. economy annually and has the largest economic multiplier of any major sector and accounts for 58% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org

Press Releases

New NAM Report Highlights the Impact and Importance of Pharmaceutical Manufacturing

Timmons: Pharmaceutical manufacturers are essential to America’s health and well-being and to the success of our economy.

Washington, D.C. – After the publication today of the National Association of Manufacturers’ latest report, Ensuring a Healthy Future: The Impact and Importance of Pharmaceutical Manufacturing,” NAM President and CEO Jay Timmons released the following statement:

“Pharmaceutical manufacturers are essential to America’s health and well-being and to the success of our economy. They have helped lead our country through crisis, fight the pandemic and drive our recovery. The sector creates hundreds of thousands of jobs, and the work its quarter of a million employees perform is literally lifesaving, improving society in ways that are almost impossible to overstate.”

The report finds that not only have pharmaceutical manufacturers been pioneers in improving the human condition, but the industry also fuels other sectors of the economy.

According to the report:

  • Pharmaceutical and medicine manufacturing directly employs an estimated 267,000 workers in the United States and supports nearly 1.9 million more jobs across the country.
  • One job in the industry helps support six other jobs in the overall workforce.
  • Pharmaceutical and medicine manufacturing generates nearly $339 billion in output. Further, $1.00 in pharmaceutical and medicine manufacturing output generates $1.09 in output elsewhere in the economy.
  • For every $1.00 earned by an employee within the industry, $2.42 is earned by others elsewhere in the economy.

“The American public and policymakers too often overlook these accomplishments,” Timmons added. “Traditional economic analysis ignores the way this industry extends and enriches lives, and the public is not fully aware of pharmaceutical manufacturers’ constant focus on innovation and improving the quality of life for everyone. Pharmaceutical manufacturers are always researching, discovering and developing new medicines and treatments, operating at the core of our modern health care system. Their products make it possible for medical professionals to introduce and manage innovative new therapies, and of course, these manufacturers helped create lifesaving COVID-19 vaccines. Moreover, the industry has high economic multipliers that drive production and job creation in other industries.”

Additional Key Findings:

  • A successful pharmaceutical ecosystem requires strong private-sector investment. 
    • In 2019, American pharmaceutical companies invested more than $83 billion in research and development, topping off nearly $1 trillion in R&D investment over the past 20 years. A recent study from the National Science Foundation’s National Center for Science and Engineering Statistics estimates that the pharmaceutical and medicine manufacturing sector alone accounts for roughly 17% of total R&D investment in the United States.
    • The pharmaceutical industry invests nearly 11.4% of its sales back into R&D. Indeed, the U.S. pharmaceutical industry invests on average roughly three times more in R&D as a percentage of sales than all other manufacturing industries.
  • The industry creates valuable STEM jobs.
    • While roughly 6.7% of the U.S. workforce has a STEM occupation, 29.9% of all jobs in pharmaceutical and medicine manufacturing are STEM related. The pharmaceutical manufacturing sector employs more than four times the percentage of STEM workers employed in the overall workforce.
  • Industry employees are highly productive.
    • Industry employees produce $1.3 million in output per employee. This is nearly seven times greater than the U.S. economy’s average output per employee ($188,000).

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.4 million men and women, contributes $2.44 trillion to the U.S. economy annually and has the largest economic multiplier of any major sector and accounts for 58% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org.

Press Releases

Tax Hikes, Workforce Challenges Top of Mind for Manufacturers

NAM Launches Campaign to Oppose Tax Hikes

Washington, D.C. – The National Association of Manufacturers released its Manufacturers’ Outlook Survey for the third quarter of 2021, showing manufacturers remain mostly optimistic in their economic outlook (87.5%, down from 90.1% in Q2). Consistent with Wednesday’s Bureau of Labor Statistics report showing a record 889,000 job openings in manufacturing, respondents named workforce shortages (81.5%) as their top downside risk. Manufacturers also indicated the many ways that proposed tax increases threaten jobs, investment and growth in the sector.

The NAM is also launching a six-figure ad campaign calling on Congress to protect manufacturing jobs by opposing tax increases in the budget resolution. The print, radio and digital ads will run in Washington, D.C., and in key states across the country.

“This survey delivers an urgent warning for lawmakers: if you raise taxes on manufacturers, there will be no avoiding widespread job losses, slower growth and wage stagnation,” said NAM President and CEO Jay Timmons. “At a time when paychecks for manufacturing families are growing at the highest rate in nearly 40 years, the tax increases under consideration by Congress will directly harm the men and women who make things in America. Like the New York manufacturer that hired 50 new workers, doubled the size of their manufacturing facilities and increased employee wages by nearly 5%, manufacturers across the country are keeping our promises after the 2017 tax reforms, investing in our people and our communities. To protect our recovery, we should all want to protect these reforms.

“The worsening workforce crisis, demonstrated in this and many previous surveys, is the driving motivation behind the NAM and Manufacturing Institute’s Creators Wanted campaign, which we will be ramping up even further in the coming months to tackle this challenge. With a record 889,000 open jobs in manufacturing and 4 million to fill by 2030, this is the largest campaign ever to build the workforce of tomorrow and inspire, educate and empower a new generation of manufacturers in America.”

Other survey highlights:

  • Nearly 94% of manufacturers said that higher taxes would be harmful to their businesses.
  • Roughly 90% of respondents said that their company would find it more difficult to expand their workforce, invest in new equipment or expand facilities if the tax burden on income from manufacturing activities increased.
  • Nearly 91% said that higher taxes would also make it more difficult to raise employee wages.
  • The top three challenges facing manufacturers are increased raw material costs (86.4%), attracting and retaining a quality workforce (80.0%) and supply chain challenges (79.8%).
  • Respondents predicted employment and wage growth to rise at the fastest rates in the survey’s 24-year history.

Read the full Q3 2021 Manufacturers’ Outlook Survey results here.

Background on manufacturing growth following the enactment of 2017 tax reform:

  • In 2018, manufacturers added 263,000 new jobs. That was the best year for job creation in manufacturing in 21 years.
  • In 2018, manufacturing wages increased 3% and continued going up—by 2.8% in 2019 and 3% in 2020. Those were the fastest rates of annual growth since 2003.
  • Manufacturing capital spending grew by 4.5% and 5.7% in 2018 and 2019, respectively.
  • Overall, manufacturing production grew 2.7% in 2018, with December 2018 being the best month for manufacturing output since May 2008.

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.3 million men and women, contributes $2.35 trillion to the U.S. economy annually and has the largest economic multiplier of any major sector and accounts for 58% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org

Press Releases

ICYMI: NAM’s Jay Timmons Discusses Creators Wanted, COVID-19 Vaccines and Reconciliation on CNBC

Watch Jay Timmons on CNBC

Timmons on Labor Shortages, Creators Wanted Campaign

“Let’s be upfront about it. We have a very severe worker shortage in our country right now. It’s why the NAM has been so focused on our Creators Wanted campaign, to attract that next generation of manufacturing workers, and we are in competition now all across every sector for workers.

“So, if you think about supply chain shortages, why is that happening? Part of it certainly is the pandemic and the ability for trade to move freely, but you also have issues of not enough people at factories producing the component parts that go into finished products. What does that lead to? That leads to higher prices. So, it’s a supply and demand issue. Jim Cramer earlier today talked about a focus on getting this worker shortage under control. He mentioned, for instance, one possibility of helping to deal with this is immigration reform and that he thinks that there is a potential bipartisan solution to that. I believe there is as well. We have been pushing that through our program called A Way Forward at the NAM for a number of years. We think that’s one thing that will help get the economy back and deal with some of these issues.”

Timmons on Separating Infrastructure Investment from the Budget Resolution

“I think it was an extraordinary achievement by the Senate, a bipartisan achievement by Republicans and Democrats to get that bill across the line. We said at the NAM from the start that we would see probably about $1.2 trillion without punishing and archaic tax increases that would take us back to a time when we weren’t able to invest and hire and grow wages like we have for the last three years…We think that this bipartisan solution needs to get across the finish line. This is a very big priority not only for the president, but also for the American people. We know that can get done.

“…the reconciliation package that may be being developed…we have some serious concerns. We will certainly oppose any of the archaic tax increases that have been discussed. We are hearing somewhere between $1.8 and $3.5 trillion on job creators in America. That would take us to where we were before the 2017 tax reforms, where, afterwards, as I said, we were able to have record investment, record job creation, record wage growth. Why would we ever want to undo that? We are watching that very closely. We will oppose the bill with any of those factors in there. We will oppose the pharmaceutical issues that are in those bills that will stop us from being able to deal with the next pandemic. And we are going to oppose the labor provisions that would drive a wedge between management and our workers. There are a lot of things in that bill we don’t like. But infrastructure, BIF as it’s called in Washington speak, needs to get across the line right away. It’s an accomplishment we can all be proud of.”

Timmons on the NAM’s Vaccine Mandates

“I am so proud of the NAM team…We had a…94% vaccine acceptance rate before we imposed the mandate, and since then…we have achieved 100%. And I am thrilled because our team cares about not only themselves and their families, but also the people that we interact with every day—our 14,000 member manufacturers across the country. It’s the responsible thing to do, and I am happy that team NAM came through.

“What I hear from every single CEO that we represent is that their number-one concern is their employees, the health of their employees, the health of their employees’ families and their communities…It’s become political at times, but it doesn’t need to be. The last administration through Operation Warp Speed helped develop a vaccine in just record time with all the safety protocols in place. This administration is executing the vaccinations across the country. It’s a bipartisan effort, a nonpartisan effort, I would say, to make sure that our communities are safe, that our country is safe and the world can return to normal. It’s the only way it’s going to happen—we know that.”

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.4 million men and women, contributes $2.44 trillion to the U.S. economy annually, has the largest economic multiplier of any major sector and accounts for 58% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org.

Press Releases

Manufacturers Secure Duty Drawback Victory in Federal Court

Washington, D.C. – Following the U.S. Court of Appeals for the Federal Circuit decision in National Association of Manufacturers v. Department of the Treasury, NAM Senior Vice President and General Counsel Linda Kelly released this statement:

“The NAM is very gratified to see the court agreed in full with the trial court’s decision holding that Congress spoke clearly when it created and expanded the duty drawback program to support U.S. exports. Put simply, this program helps manufacturers in America level the playing field when they sell to overseas markets. We look forward to working with our members as they expand their operations and add jobs in the United States in light of today’s decision.”

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.4 million men and women, contributes $2.44 trillion to the U.S. economy annually, has the largest economic multiplier of any major sector and accounts for 58% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org.

Press Releases

Proposed Tax Changes to Cost Up to 1 Million U.S. Jobs

Tens of billions in American economic investment at risk with GILTI changes

Washington, D.C. – The National Association of Manufacturers released a study on the damaging effects of proposed changes by the administration to the Global Intangible Low-Taxed Income regime under consideration. The analysis, prepared by EY’s Quantitative Economics and Statistics (QUEST) group, finds that the proposed rate increase, expansion of amounts subject to tax and changes to the method of calculation would have a destructive effect on U.S. employment and economic growth.

“Policymakers should want the next manufacturing dollar spent right here in America. But these proposed tax changes would reduce investment and lead to job losses in the United States, harming manufacturers and manufacturing workers,” said NAM President and CEO Jay Timmons. “In a global economy, U.S. and foreign business activity is interconnected, and we should be doing everything we can to level the playing field, not tilt it against manufacturers in America who are leading our post-pandemic recovery.”

Key findings on the reduction in U.S. jobs and investment:

  • The proposed changes to GILTI would reduce domestic employment of globally engaged U.S. firms by between 500,000 and 1 million lost jobs.
  • The proposed changes to GILTI would reduce domestic investment of globally engaged U.S. firms by between $10 billion and $20 billion.

Read “Estimated impacts of proposed changes to GILTI provision on US domestic economic activity” here.

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.3 million men and women, contributes $2.35 trillion to the U.S. economy annually and has the largest economic multiplier of any major sector and accounts for 58% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org.

Press Releases

America Is Closer Than Ever to Historic Infrastructure Investment

Timmons: We now urge members of the House to follow the Senate’s example, pass this bipartisan bill and send it to the president’s desk

Washington, D.C. – Following U.S. Senate passage of the Infrastructure Investment and Jobs Act, National Association of Manufacturers President and CEO Jay Timmons released this statement:

“The Senate’s passage of this historic, bipartisan legislation is a tremendous achievement and a credit to President Biden and the group of senators who met across the aisle to address our country’s longstanding infrastructure needs. This is the type of infrastructure investment manufacturers have long championed, and the bipartisan approach shows that our legislators can indeed still come together to accomplish transformational change. We now urge members of the House to follow the Senate’s example, pass this bipartisan bill and send it to the president’s desk for his signature without delay.

“The more than 12 million men and women of manufacturing are counting on Congress to get this done—because it will renew and revitalize our nation’s physical infrastructure, improving productivity and quality of life for everybody, without erasing the tax reforms that helped manufacturers keep our promises to innovate, hire more employees, raise wages and benefits and reinvest in communities.

“The NAM has led the charge for historic investments in infrastructure for years, as outlined in our infrastructure blueprint, ‘Building to Win,’ and many of its recommendations are in the final Senate bill. The bill also includes a range of actions that the NAM calls for in our climate policy plan, ‘The Promise Ahead,’ along with many of the NAM’s supply chain and permitting goals, which are laid out in ‘Strengthening the Manufacturing Supply Chain.’

“With world-class infrastructure enhancing our competitiveness, manufacturers will be better prepared to help build an economy that lifts up all Americans and enables us to lead through this century and into the next.”

Find a list of key NAM priorities in the Infrastructure Investment and Jobs Act here.

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.3 million men and women, contributes $2.35 trillion to the U.S. economy annually and has the largest economic multiplier of any major sector and accounts for 63% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org

Press Releases

Manufacturers: Rolling Back Tax Reform Will Stifle Economy

“The primary goal here should be building an opportunity society, in which all Americans can pursue their dreams.”

Washington, D.C. – Following the announcement of the budget resolution introduced today, National Association of Manufacturers President and CEO Jay Timmons issued this statement.

“Budget resolutions are a statement of principles from the majority party and the beginning of a lengthy process. And while leaders may seek to achieve many laudable goals through this process, manufacturers have serious concerns that some of the proposals—chiefly, the possibility of rolling back job-creating tax reforms to meet the tax increase revenue projections—would be devastating for America’s manufacturing workers.

“The primary goal here should be building an opportunity society, in which all Americans can pursue their dreams. It needs to create good jobs and maintain a strong social safety net. That means upholding the values that have long made America exceptional—free enterprise, competitiveness, individual liberty and equal opportunity.

“Returning to the archaic tax policies of the past, however, does not foster an opportunity society. It will stifle job creation in America. It would restrain America’s job creators from continuing to lead our economic recovery—including the manufacturers who have worked tirelessly to support our country through the pandemic. As many as 1 million American jobs would be lost in just the first two years if these kinds of tax policies were adopted, depriving Americans of rewarding career opportunities. The goal of our nation’s leaders should be to make the tax code more competitive, not less. Manufacturers kept their promises after the 2017 tax reform law. 2018 was the best year for manufacturing job creation in more than two decades. Wages soared, and manufacturers invested in their people and communities. Why would anyone want to undo that progress?

“Manufacturers are also concerned by indications there will be efforts and proposals that would restrict the ability of lifesaving pharmaceutical manufacturers to drive innovation in the United States. And we would also oppose attempts that have been mentioned to impose the anti-worker PRO Act because such actions would harm the productive relationship that so many manufacturing workers and employers have cultivated. They would rob many of their right to work, deny them the ability to communicate freely, invade their privacy and even force them to pay union dues.

“This is not how we build an economy that works for everyone. This is how we short-circuit an economic recovery and give other countries a competitive edge. The bipartisan infrastructure bill would be a giant step forward for our country, but a successful effort to roll back tax reforms would be a bigger step backward.

“Many Americans feel left behind today. Some feel left behind amid the pandemic-induced economic turmoil, others because they sensed the system didn’t work for them even before the pandemic. Lawmakers must continue working to lift up all Americans and build a true opportunity society. In the judgment of manufacturers in America, this resolution and the stated intentions of those who are drafting it do not achieve that worthy objective.”

Background on the manufacturing sector under the Tax Cuts and Jobs Act:

  • Between the enactment of tax reform and the start of COVID-19, the manufacturing industry saw jobs, wages and investments surge.
    • In 2018, manufacturers added 263,000 new jobs. That was the best year for job creation in manufacturing in 21 years.
    • In 2018, manufacturing wages increased 3% and continued going up by 2.8% in 2019 and by 3% in 2020. Those were the fastest rates of annual growth since 2003.
    • Manufacturing capital spending grew by 4.5% and 5.7% in 2018 and 2019, respectively.
    • Overall, manufacturing production grew 2.7% in 2018, with December 2018 being the best month for manufacturing output since May 2008.

Earlier this year, the NAM released a major tax study on the effects of proposed tax increases. That study found that 1 million jobs would be lost in just the first two years if those increases were to be implemented.

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12.3 million men and women, contributes $2.35 trillion to the U.S. economy annually and has the largest economic multiplier of any major sector and accounts for 63% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org

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