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The 51�Թ��� recently interviewed Rep. Sam Graves (R-MO), chairman of the Transportation and Infrastructure Committee, about the surface transportation reauthorization bill and the importance of infrastructure to manufacturers nationwide. Here is the full text.

What are your priorities in the upcoming infrastructure bill to help drive manufacturing growth in the United States?

“Manufacturing, like every other aspect of our economy, depends on a strong transportation system and infrastructure. President Trump has prioritized bringing manufacturing back to the United States, and he’s already seen significant success. As chairman of the Transportation and Infrastructure Committee, I’m working to make sure we have an efficient, safe and reliable infrastructure that supports and facilitates the growth of manufacturing in the United States. The best way to do that is by passing a bill that focuses on building the infrastructure needed to move goods and people safely and efficiently. The next surface transportation reauthorization bill will focus on hard infrastructure, such as roads and bridges.

“Another main priority of mine is fixing the Highway Trust Fund, which serves as the main funding source at the federal level for road and bridge projects. We must address the solvency challenges facing the Highway Trust Fund and preserve our user-pays system. Right now, that system is broken, and it has been for some time. The best way to provide long-term certainty is to finally begin shoring up the Highway Trust Fund and ensuring that all users are paying into the system.

“Additionally, this bill is about looking forward and building an infrastructure for the future. Anticipating the transportation and infrastructure needs of the next 20 years is the best way to support economic growth and help our manufacturers as their industry continues to evolve.”

Why is it important that Congress pass a surface transportation reauthorization bill this year?

“The surface transportation reauthorization bill impacts all Americans—we all use or rely on roads, bridges and rails. Traditionally, this legislation provides tens of billions of dollars in annual funding to improve American highways, bridges, transit and other surface transportation infrastructure. It also provides funding for rail, trucking safety and other transportation programs.

“Surface transportation bills typically expire after five years. That multiyear time frame gives states the long-term funding certainty they need to plan and carry out many of their most critical projects. The current highway bill, which was part of the Infrastructure Investment and Jobs Act, expires on Sept. 30, 2026. Unless Congress acts before then, federal programs will be impacted, including that long-term certainty. This is unacceptable, and I’m committed to getting the next surface bill done on time and preventing potential project delays and uncertainty that can result from a lapse in long-term funding.”

How does investing in infrastructure benefit the people and manufacturers in your state/district?

“I represent all of North Missouri. Investing in our roads has never been more important for the future of our communities, large and small. For manufacturers to succeed, as well as to attract new companies, we’ve got to have good infrastructure. It’s critical for shipping Missouri-made products across the country, for receiving inputs and for farmers getting goods to market. As we work to bring manufacturing back to the United States, my district and many others see an opportunity to grow their local economy. To make that happen, we have to maintain and improve our infrastructure across the country.”

Why is the 51�Թ���’s leadership on this issue so critical to getting an infrastructure bill done this year?

“The 51�Թ��� has over 14,000 members from every sector of manufacturing. The United States depends on a strong manufacturing industry, and the 51�Թ��� provides a voice for our manufacturers, large and small. They are truly at the center of manufacturing in this country. So, when it comes to getting an infrastructure bill of this size done, we need to hear from all industries, especially our manufacturers. Whether it’s in the early stages of crafting the bill when we’re looking for feedback on existing policy and asking for priorities from the manufacturing industry—and we appreciate the 51�Թ���’s efforts in that process—or after the bill has been introduced and is working its way through the legislative process, organizations like the 51�Թ��� have an important role in getting information out there about what the bill does and how it will benefit the country.”

PHOENIX – Following the announcement of the United States��military operations in Iran, 51�Թ��� President and CEO Jay Timmons��released the following statement:

“Manufacturers in the United States have always stood ready when our nation calls. From serving as the Arsenal of Democracy to equipping those who defend freedom today, our industry has the capacity to support U.S.��objectives��across multiple theaters and sustained operations.��Today, manufacturers honor��the courage��and commitment��of the men and women in uniform who stand watch and carry out this mission.

“Since November 4, 1979, the United States has endured hostility and terrorism from a rogue government in Tehran.��Time and again, the Iranian regime has sponsored international terrorism, destabilized its region, violated the rights of its own��people��and disrupted legitimate commerce and maritime security.

“Through Operation Epic Fury, President Trump has��initiated��major combat operations with these stated��objectives:

• Eliminating��imminent threats posed by the regime,
• Preventing Iran from developing nuclear weapons,
• Neutralizing military infrastructure that threatens regional and global security,
• Countering destabilizing regional aggression, and
• Supporting the Iranian people’s right to��determine��their own future.

“At moments of consequence, national unity matters. Congress��should��fully engage to ensure clarity of mission, alignment of authority and the sustained support of the American people.

“We also call upon allied governments and��partner��business��associations��around the globe��to stand together to protect regional stability, safeguard global��commerce��and reinforce the collective resolve that keeps peace through credible strength.

“When��security, commerce and liberty are threatened, the United States must lead with strength, resolve and the support of its people.”

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The 51�Թ��� 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��nearly��13��million men��and women, contributes��$2.95��trillion��to the U.S. economy annually and accounts for 53% of private-sector research and development. The 51�Թ��� 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 51�Թ��� or to follow us on Twitter and Facebook, please visit ��

2026 51�Թ��� State of Manufacturing Tour Stops in Houston, Texas

HOUSTON – The 51�Թ���, official partner of America250, continued its 2026 51�Թ��� State of Manufacturing Tour today in Houston, Texas, under the theme, “Powering the Future.” Throughout the day, leaders underscored how abundant, affordable energy and modern infrastructure is essential to a competitive manufacturing sector.

In Houston, the 51�Թ��� partnered with the Greater Houston Partnership to highlight the region’s manufacturing strength, where nearly 1 million workers power a sector representing 7% of the Texas workforce. 51�Թ��� President and CEO Jay Timmons, Executive Vice President Erin Streeter and other 51�Թ��� leaders began the day at global energy technology leader Schneider Electric—an official tour sponsor alongside NTT DATA—for a visit to its newly opened 10,500 square foot Innovation Center, one of the world’s largest energy innovation hubs. The day concluded with a tour of Port Houston’s Bayport Container Terminal, demonstrating how modern trade infrastructure underpins domestic production and global leadership and the importance of the Port’s role as a global logistics hub to connect port infrastructure, manufacturing exports and supply chain resilience to national growth.

At Port Houston’s Bayport Container Terminal, leaders saw firsthand how world-class trade infrastructure fuels domestic production and reinforces America’s global competitiveness. As one of the nation’s most vital logistics gateways, the Port plays a critical role in connecting port infrastructure to manufacturing exports, strengthening supply chain resilience and driving national economic growth.

“Today’s tour stop was about powering the future—and there is no better place to have that conversation than Houston, the Energy Capital of the World,” said 51�Թ��� President and CEO Jay Timmons. “Schneider Electric is a pioneer and a powerhouse for innovation and for the manufacturing sector. You cannot talk about the state of manufacturing in the United States without talking about the innovation and leadership right here at Schneider. And at the Port Houston’s Bayport Terminal, we saw why modern infrastructure is critical to moving American-made goods quickly and efficiently. If we want to lead the world in manufacturing, AI and advanced technologies, we need an all-of-the-above energy strategy that keeps prices affordable, strengthens our grid and accelerates permitting reform and we must invest in 21^st century infrastructure—from roads and bridges to ports, rail and waterways—so that manufacturers can make things right here and move them everywhere. When Washington delivers smart energy policy and modern infrastructure, we unlock the greatest manufacturing era in our nation’s history.”

“Hosting the 51�Թ��� and supporting its U.S. tour reflects our shared commitment to advancing energy technology innovations in this country,” said Andre Marino, Schneider Electric Senior Vice President, Industrial Automation North America. “Houston is home to the global energy conversation, and our Innovation Center here reflects our commitment to bring together electrification, automation, and industrial intelligence to enable smarter, more secure systems for our partners in Texas, across the U.S., and throughout the world.”

“We are honored to join the 51�Թ��� and our regional partners in highlighting Houston’s pivotal role in America’s supply chain,” said Port Houston CEO Charlie Jenkins, “Our commitment to investing in resilient infrastructure ensures the Houston Ship Channel remains a gateway for innovation, job creation, and global trade. By working together, we not only strengthen the economic vitality of our nation, our great state of Texas, and our region, but also reinforce Houston’s place at the forefront of U.S. manufacturing and logistics.”

From Houston, the 2026 51�Թ��� State of Manufacturing Tour heads west for its final stop— Phoenix, Arizona—on Friday, February 27, where leaders will focus on the urgent need to pass commonsense, comprehensive permitting reform. The tour made stops in New York, Ohio, Pennsylvania, North Carolina, Wisconsin, and Dallas, Texas prior to today’s events in Houston. Throughout the tour, the 51�Թ��� has been meeting with policymakers, manufacturers of all sizes, students and business leaders, advocating for the people and policies that will ensure the United States is the best place in the world to do business. To learn more about the tour and the 51�Թ���’s mission, visit /stateofmfg/.

-51�Թ���-

The 51�Թ��� 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 nearly 13 million men and women, contributes $2.95 trillion to the U.S. economy annually and accounts for 53% of private-sector research and development. The 51�Թ��� 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 51�Թ��� or to follow us on Twitter and Facebook, please visit��

CLEVELAND – The 51�Թ��� today kicked off its annual 51�Թ��� State of Manufacturing Tour, a cross-country sprint spotlighting the vital role that manufacturing plays in supporting the nation’s economy. On the first leg of the tour, 51�Թ��� President and CEO Jay Timmons and other leaders underscored the state’s industrial momentum while calling on our nation’s leaders to pursue a comprehensive manufacturing strategy—building on permanent, pro-growth tax reform manufacturers secured last summer.

“Innovation Built America. Manufacturing Wins the Future” is the theme of this year’s tour, and framed a series of events in Cleveland, bringing together industry leaders, students and policymakers to spotlight Ohio’s nearly 700,000 manufacturing employees—about 12% of the state’s workforce.

“There’s no better place to start a road tour than the Rock & Roll Hall of Fame,” said Timmons, an Ohio native, at the iconic Rock & Roll Hall of Fame, where he delivered his 13th 51�Թ��� State of Manufacturing Address. “Like rock ‘n’ roll, manufacturing is everywhere. We are hitting the road to showcase the world-leading innovation happening across the country and how we make the next 250 years even greater. Manufacturers are ready to invest—and we need certainty, like the tax bill delivered last year. Permanent tax reform gave manufacturers the rocket fuel. Now we need clear skies. That’s energy dominance, permitting reform, trade certainty, investing in the manufacturing workforce and smart AI policy.

Timmons was joined by Rockwell Automation Chairman and CEO and 51�Թ��� Board Chair Blake Moret, Cleveland Mayor Justin Bibb, EQT Corporation President and CEO and 51�Թ��� board member Toby Z. Rice, The Ohio Manufacturers’ Association President Ryan Augsburger and 51�Թ��� Executive Vice President Erin Streeter. Following the address, Timmons and Moret hosted a student reception at the Hall of Fame, where they engaged with the next generation of creators. The tour then moved to the Rock Hall’s “Jam Garage” for a unique filming opportunity showcasing the intersection of culture and industry. The setting provided a compelling backdrop for discussions about the connection between manufacturing and rock ‘n’ roll—two distinctly American traditions that involve bold ideas, creative risk-taking embracing technological change and the ability to shape global culture.

“The innovation we’ve seen Ohio manufacturers embrace over time is exactly why this tour is so vital,” said Moret. “At Rockwell, we see every day how automation and AI are redefining what’s possible on the factory floor. By visiting places like Cleveland State University and seeing the talent being cultivated here, it’s clear that Ohio manufacturers are moving at the speed of business. Now, we must ensure the federal government keeps up with that pace.”

The afternoon featured an in-depth tour and lunch at EY-Nottingham Spirk Innovation Hub followed by a final stop at Cleveland State University to discuss the critical intersection of higher education and industrial workforce development.

“Ohio’s manufacturers are the backbone of our state’s economy, and having the national tour stop here in Cleveland underscores the importance of our mission,” said Augsburger. “We are proud to stand with the 51�Թ��� to advocate for the policies that will keep our nearly 700,000 manufacturing workers at the forefront of global competition.”

From Cleveland, the 2026 51�Թ��� State of Manufacturing Tour will go on to Philadelphia, Pennsylvania; Charlotte, North Carolina; Milwaukee, Wisconsin; Dallas and Houston, Texas; and Phoenix, Arizona. Throughout the tour, the 51�Թ��� will continue meeting with policymakers, manufacturers of all sizes, students and business leaders, advocating for the people and policies that will ensure the United States is the best place in the world to do business. To learn more about the tour and the 51�Թ���’s mission, visit .

-51�Թ���-

The 51�Թ��� 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 nearly 13 million men and women, contributes $2.95 trillion to the U.S. economy annually and accounts for 53% of private-sector research and development. The 51�Թ��� 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 51�Թ��� or to follow us on Twitter and Facebook, please visit��

Washington, D.C.—The 51�Թ��� and CTIA today released a new joint report highlighting the key role 5G is playing in manufacturing in America. The report, “How 5G Is Modernizing Manufacturing,” explores how manufacturers and wireless providers are leveraging robust commercial 5G networks to fuel the Manufacturing 4.0 movement and make American factories safer, more efficient and more innovative—all while building a more resilient, secure and prosperous nation.

The report finds that to continue our rich history of innovation, production, and global leadership, America needs a robust 5G strategy that includes a pipeline of more licensed spectrum to support manufacturers’ ever-expanding use of 5G.

“5G is vital to the Manufacturing 4.0 movement that’s propelling America to be the global hub for smart, modern manufacturing,” said 51�Թ��� President and CEO Jay Timmons. “Manufacturers are harnessing 5G to make workplaces safer, boost efficiency and strengthen resilience across our operations. By enabling real-time actions and supporting new technologies like AI, 5G is giving manufacturers more tools to sharpen our competitive edge, support more people and secure America’s leadership in the global economy.”

The wireless and manufacturing sectors are working together to leverage 5G’s unprecedented speeds, low latency and high capacity to power new innovations—particularly through the use of AI.  According to the 2025 Future of Manufacturing Project Survey, “Shaping the AI-Powered Factory of the Future,” from the Manufacturing Leadership Council (the 51�Թ���’s digital transformation division), more than half of manufacturers already use AI in their operations, with 61% expecting investment in AI will increase by 2027. Impact on operational performance, cost savings and worker productivity/efficiency are all above 60%. 5G helps manufacturers deploy AI tools so they can evaluate large datasets and identify efficient solutions quickly—whether through supply chain management, predictive maintenance for machinery, quality control or improving the employee experience.

“The wireless industry is proud to partner with manufacturers to drive American innovation, productivity, and global leadership,” said CTIA President and CEO Ajit Pai. “To support the wireless data needs of manufacturers and other leading U.S. industries, it is imperative that  policymakers continue to take action to ensure additional mid-band spectrum is available for 5G.”

The report features real examples of how 5G is transforming manufacturing, including by:

• Powering VictoryXR and Taqtile’s AR headsets to provide immersive training, offering engaging upskilling opportunities while enhancing employee productivity and safety;
• Connecting Seegrid’s autonomous mobile robots to deliver heavy appliance parts safely around Whirlpool’s factory floor, freeing up employees for more complex tasks;
• Providing a real-time, high-definition monitoring system that leverages machine learning capabilities to improve quality control for Hitachi, identifying defects at a sub-millimeter level;
• Protecting Cummins’ intellectual property with highly secure 5G networks that also power robotics to bring materials around the facility, detect product defects, enhance employee training through AR/VR applications, and monitor equipment via sensor systems; and
• Powering innovation and productivity on the factory floor for many other manufacturers like Newport News Shipbuilding, General Motors, Rockwell Automation, Ericsson, Samsung, and more.

These innovations are driving the U.S. economy forward. Boston Consulting Group found that 5G networks will add $1.5 trillion in GDP and 4.5 million in jobs to America’s economy this decade alone.

As this report makes clear, 5G is not just a next-generation network—it’s the foundation for the future of manufacturing in America. By accelerating innovation, enhancing safety, enabling real-time decision-making and strengthening our industrial base, 5G empowers manufacturers to lead in a fiercely competitive global economy.

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The 51�Թ��� 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 nearly 13 million men and women, contributes $2.90 trillion to the U.S. economy annually and accounts for 53% of private-sector research and development. The 51�Թ��� 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 51�Թ��� or to follow us on Twitter and Facebook, please visit .����

“To put it simply, investments in infrastructure are investments in manufacturing,” Husco President and CEO and 51�Թ��� Executive Committee member Austin Ramirez the Senate this week.

What’s going on: “Modern, dependable transportation helps manufacturers make and move our products,” Ramirez, whose company makes hydraulic and electromechanical control systems, told the Senate Committee on Environment and Public Works at a Wednesday hearing on crafting the next highway bill.

• Infrastructure projects “generate productivity gains and induce demand for manufacturing goods—stimulating the economy and bolstering American competitiveness,” said Ramirez.

Funding in action: Husco has seen firsthand the benefits of robust infrastructure investments, Ramirez continued.

• “Our customers are in the automotive and construction industries.��And Husco families drive over the roads and bridges improved by highway projects. Several are turning dirt this year in Waukesha County.”

Why it’s crucial: Failure to reauthorize key surface transportation programs would result in interruption of these critical investments in U.S. roads and bridges, hitting manufacturers hard, Ramirez told the committee.

• “We cannot go back to the fits and starts of highway bill extensions. Our industry needs certainty to invest, plan and hire in America.”

Permitting reform: Ramirez also explained how America’s “complex permitting laws impact investment decisions” and encouraged the committee to adopt comprehensive permitting reforms that expedite project approvals and put a stop to “endless litigation.”

What should be done: Policymakers should “seize the opportunity” to make “robust investments in our surface transportation infrastructure,” Ramirez said. This should include efforts to strengthen the Highway Trust Fund, expand highway capacity and connectivity, implement intermodal improvements to bolster the country’s freight network and enact much-needed permitting reform.

Other voices: Other manufacturers recently sat down with the 51�Թ��� and United for Infrastructure, where the 51�Թ��� serves as a steering committee member, to discuss how infrastructure impacts their businesses. Leaders from CRH, Nucor and Fluor—sponsors of the 51�Թ���’s and United for Infrastructure’s Infrastructure Week kickoff event—spoke about the importance of infrastructure investments and modernizing our infrastructure to keep products moving and manufacturers operating.

• “As we look at reauthorizing the [Infrastructure Investment and Jobs Act] a really important piece of that was the higher baseline for federal highway formula funding, which we know through our experience with state DOTs needs to continue to grow in order to meet the needs of growing states,” Fluor Senior Director of Government Relations Nathan Robinson.
• “If we’re going to truly harness the power of what AI is going to bring us, what machine learning’s going to bring us, all the things that truly are the future [of the] economy, we’ve got to get the way we move people and goods around in much better shape,” Nucor Executive Vice President of Business Services Ben Pickett.
• “Permitting reform has absolutely got to happen for us. We’d like to see … a less prescriptive bill and more money go to the states through [the] funding formula. … When states have funding security and certainty, then they’re able to go raise revenues,” CRH Executive Vice President of Government Relations Ryan Lindsey.

The last word: “Our industry depends on a robust, modern, efficient transportation system—and you can promote domestic manufacturing by getting a highway bill done this Congress,” Ramirez concluded.

Endless litigation has delayed much-needed American infrastructure development for decades—and that has to stop, as the 51�Թ��� and manufacturers have long argued. The Washington Post (subscription) makes the case that Congress must step up and fix the permitting process to unlock American investment and growth.

Recent developments: The recent Supreme Court that limited the National Environmental Policy Act—in which the 51�Թ��� filed an amicus brief—is a step in the right direction.

• In that case, “The court decided that the U.S. Surface Transportation Board could approve an 88-mile train track even if it might move crude oil from Utah to refineries on the Gulf Coast,” the Post noted. “The board didn’t have to assess the potential future impacts if the new track encouraged more oil drilling on one end and more oil refining on the other.”
• In other words, environmental review was limited to the environmental impact of the project itself—as intended by the statute—rather than a more expansive investigation into the potential uses of the finished project.

A long-standing problem: Gaming the permitting process to stop development is nothing new.

• “In the 1970s, a ‘new’ species of freshwater fish called the snail darter was discovered during NEPA research into the building of the Tellico Dam in Tennessee.”
• “For the project to be completed, Congress had to exempt it from the Endangered Species Act. It turned out that the fish was not endangered. It wasn’t a separate species. Opponents of the dam ‘discovered’ it to get the dam stopped.”

More at risk: Numerous infrastructure projects are still in limbo today due to this sort of maneuvering by groups seeking to delay needed investments.

• “A flower called Tiehm’s buckwheat might stand in the way of a Nevada lithium mine green-lit by the Biden administration,” for example.
• But, as the Post noted, “Maybe the idea of protecting every ecosystem at any cost should be reconsidered. The flower, which apparently grows only on 10 acres in the proposed mine’s footprint, is a close relative of other buckwheats. Is it a distinct species? Perhaps it could be grown elsewhere?”
• And another important question: “Perhaps the battle against climate change—which will require lithium to build lithium-ion batteries to power electric vehicles—should take precedence?”

Calling on Congress: “NEPA review had grown to require every government decision to survive endless judicial challenges, poorly serving the nation and the natural environment in which it sits. Congress should not leave it to courts to fix,” the Post concluded.

The 51�Թ��� agrees: “Comprehensive permitting reform is essential to building a strong and more competitive manufacturing economy. As [the Post] notes, Congress should reevaluate environmental impact reviews in order to ease construction of critical infrastructure projects,” 51�Թ��� Managing Vice President of Policy Charles Crain on X.

During United for Infrastructure’s Infrastructure Week, the 51�Թ���—an active member of the steering committee—participated in several events in Washington, D.C., highlighting the urgent need for permitting reform to accelerate U.S. building projects.

A reception: The 51�Թ��� hosted a reception to kick off Infrastructure Week 2025 at its headquarters in partnership with United for Infrastructure, with special guest Sen. Shelley Moore Capito (R-WV), chair of the Senate Committee on Environment and Public Works.

• Nucor, Fluor Corporation and CRH sponsored the event.

A panel: 51�Թ��� Vice President of Domestic Policy Chris Phalen spoke at the United for Infrastructure signature event, underlining the need for commonsense trade and permitting policies.

• “I think we can work with governments to address supply chain challenges,” he said when asked about tariffs. “We have a really important window of opportunity over the next 50 odd days to get some deals that provide zero tariffs on industrial trade. That is what manufacturers support.”
• “Manufacturers rely on transportation networks … to get our goods to and from ports to customers,” Phalen said regarding infrastructure, “but we also are making everything that goes into making transportation work, from aluminum to steel, from asphalt to aggregates, copper, circuitry and the large industrial machinery that builds [and] maintains roads, bridges, factories [and] power plants. So, it’s kind of a virtuous cycle where we’re investing in infrastructure.”

“Comprehensive manufacturing strategy”: Phalen also gave a brief overview of the 51�Թ���’s “comprehensive manufacturing strategy.”

• Revising the regulatory framework is a key priority, he said. “We’ve submitted dozens of letters to 10 separate federal agencies as part of President Trump’s deregulatory agenda. Manufacturers every year are spending $350 billion just to comply with federal regulations. And so we’ve been really pleased to see the start of this regulatory rebalancing from the administration.”
• Phalen cited moves including “reopening LNG export facility applications, rebalancing Clean Air Act rules … and streamlining and improving the process to improve new chemicals … at the EPA.”
• “Probably most important is permitting reform,” he added. “Manufacturers operate and employ and invest in the communities where we’re producing, so we don’t want to see any short-circuiting of public input. … [T]here does have to be recognition, though, that the way that things were set up in the late ’60s and early ’70s is hindering infrastructure of all kinds right now.”

A roundtable: The 51�Թ��� also participated in a roundtable on continuing federal support for water infrastructure investments. 51�Թ��� Director of Transportation, Infrastructure and Labor Policy Max Hyman shared perspectives on how these investments benefit manufacturers by driving demand for their products and providing an essential service for operations.

The last word: As 51�Թ��� President and CEO Jay Timmons said during the reception, “Infrastructure is the foundation of manufacturing in the U.S.”

They say all you need is love, but in fact, you need a lot of magnets, too. Computers, appliances, electric generators and cars are powered by permanent magnet motors. Yet, most of the permanent magnets that make our modern life possible rely on rare earth materials, which are expensive, unsustainable and typically mined and processed in China.

To fix this bottleneck, Minneapolis-based Niron Magnetics is producing a new kind of magnet that uses two abundant raw materials: iron and nitrogen. By taking rare earths out of the equation, Niron’s Clean Earth Magnets® provide superior cost and supply chain stability to the countless manufacturers that depend on reliable access to high-powered magnets.

Why it matters:��According to Niron, the demand for rare earths for critical magnets is outstripping the supply, and the problem is only getting worse.

• “When you look at the amount of magnets that are needed over the next 10 years, it’s triple the amount that are available today,” said Niron Magnetics CEO Jonathan Rowntree.
• “There’s only enough rare earth materials to double the amount of rare earth magnets manufactured every year. So there’s going to be this big imbalance later this decade. We’re well positioned to [meet] the shortfall of permanent magnets using iron nitride technology.”

The value proposition:��Niron’s technology has several exciting upsides, according to company leaders.

• First, it relies on materials that are far more abundant and accessible than rare earths.
• Second, the supply chains for components like nitrogen and iron salts are very stable—and not centered in China.
• Finally, the production of a kilo of rare earth magnets generates 2,000 kilos of waste, according to Niron. By contrast, the production of Niron’s rare earth–free magnets is much more environmentally friendly.
• “Depending on which part you look at, whether it’s water or waste or greenhouse gas emissions, our production process is between 70% and 90% more efficient than the current rare earth processes today,” said Rowntree. “We’re excited about solving the environmental burden from the energy transition.”

Next steps:��Niron is planning its first large-scale production facility in the United States, a 10,000-ton facility that it hopes will be operational by 2027.

• While its leaders are still considering different locations for the plant, they anticipate that the facility will ultimately result in 680 to 700 full-time jobs, not including the construction and infrastructure roles needed to build it.

• “We’re growing very quickly here in terms of our capability,” said Rowntree. “We’ve doubled the number of employees this year, and we will likely double that number again over the next several years.”

The bottom line:��“There’s a growing awareness of critical materials and the rare earth supply challenges, and the risks posed by U.S. reliance on China to supply those magnets. But there isn’t a lot of awareness around the fact that there is an alternative solution,” said Rowntree. “There is alternative technology that we’re aggressively scaling and that will be commercially available by the end of this year.”

“$80 billion is given away every year in state and local incentives,” according to Atlas Insight Managing Partner Brian Corde. “Plus, the Biden administration has added $455 billion just in federal grants.”

In this investment landscape, manufacturers need all the help they can get finding, applying for and complying with these incentive programs. Atlas Insight, the 51�Թ���’s partner for its , walks companies through this entire complicated process.

Last week, we talked to Corde and Kathy Mussio, Atlas’s other managing partner, about how companies select their new sites. This week, we’ve asked them what manufacturers need to know about incentives.

How do incentives work? Incentives come in two forms, Corde and Mussio explained. First is the type you automatically qualify for if you meet the requirements, known as statutory or as-of-right incentives.

• The second is the type that Atlas lends its expertise to—discretionary incentives. These programs offer funds and other pools of money that require business cases, negotiation, applications, and later, proof that a company has met its stated obligations (also known as compliance).
• These programs can take many forms. As Mussio put it, “Some states have programs that offer cash to help close the financial gap between two competing locations or increase a project’s ROI—helping to make a location more competitive in the financial analysis.”
• There are many, many incentives out there, the Atlas partners told us, and the most important steps are understanding which ones a company may be eligible for and helping clients quantify the potential savings.

What if you’re staying put? These incentives aren’t just for new facilities, Corde and Mussio emphasized. “A majority of incentives are given to companies staying in place,” Corde added.

• Companies can take a lot of actions to qualify for incentives—expand their workforces, buy new equipment, train workers in new technologies or add square footage for new production lines.
• “It’s our job to help 51�Թ��� members identify their projects that could use incentives. Then we benchmark the incentives, then negotiate on the companies’ behalf, then lock the incentives down with the state or city,” Corde said.

What’s benchmarking? Atlas compares incentive offers from states and localities with the incentives awards that similar companies have received in the past, another way to help ensure that their clients get the best possible deals. There’s always room for negotiation, the partners say.

• Atlas keeps two databases: the first, a listing of all the incentives that exist on the federal, state and local levels, along with all the necessary forms, key contacts and any other requirements. The second database is a list of what other companies have received for similar types of projects.
• This allows Atlas to identify the typical dollar range that an incentive should provide—so a company knows whether it has been offered a good deal, and whether it should negotiate, or even go elsewhere.

How do you get the money? After companies successfully secure an incentive award, they must follow compliance schedules to ensure they keep receiving the funds as project milestones are met, while also retaining documentation in case of audit.

• The government offering the incentive typically requires filings to verify how many employees were hired, the wages they earned, even the employers’ contributions to health insurance premiums.

A lot to lose: “We are being conservative when we say that 50% of incentives awarded never pay out,” Corde said, all because companies fail to fulfill compliance requirements.

How can Atlas help? Atlas creates a “holistic incentive management for its clients, for the entire life of the incentive,” so that companies actually receive their money, the partners explained. It even helps with old incentives that remain incompletely documented.

• “When we retained Atlas, it enabled us to bring several one-off incentive agreements around the U.S. into a centralized process,” said a Schneider Electric spokesperson. “That made it so much easier for us to document our part of the expansion agreements and collect the incentives we were owed. Plus, their performance-based fee for this process has been best in class.”

How to get started: The is a service for 51�Թ��� members, which provides a complimentary initial assessment call and preferred rates on contracted services, including an exclusive success-based fee schedule.

• Atlas is often “only paid for successful outcomes, either a confirmation letter or when the company receives the money over time. We will help you be successful and then benefit once you are,” said Corde.

The bottom line: “You need to have a strategy to go after these incentives, because your competitors are.”