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Washington, D.C. – Following the 51�Թ���’ submission of comments opposing the Biden administration’s proposal that would allow the government to march in and seize the rights to groundbreaking innovations developed by manufacturers, 51�Թ��� Vice President of Domestic Policy Charles Crain released the following statement:

“Undermining America’s world-leading patent system is a recipe for reduced innovation and significant economic damage, with a disproportionate impact on small manufacturers. The administration’s march-in proposal would raise the spectre of government price controls on a wide range of technologies—fundamentally reshaping how life-changing innovation is developed, financed and commercialized in the United States. The administration must affirmatively and unequivocally withdraw this radical and flawed proposal.”

The 51�Թ���’s comments on the proposal are available . Key excerpts from the comments are below:

• The proposal contemplates an expansion of the Bayh-Dole Act’s march-in provision, which has never previously been used during the 44 years since the law’s enactment. This unlawful expansion of a 44-year-old statutory provision would prompt the government to exercise march-in rights to force patent licenses to private-sector inventions that are derived at least in part from federal funding. This price control measure would impact innovative companies of all kinds across the manufacturing sector.
• Undermining manufacturers’ IP rights would have sweeping ramifications for innovation in the United States and America’s world-leading innovation economy. In particular, start-ups and small businesses would bear the brunt of the drastic changes proposed by the administration, as the spectre of government march-in would disincentivize early-stage entrepreneurship and dissuade much-needed capital formation from outside investors.
• If the administration moves forward with the proposal, the unprecedented expansion and use of the Bayh-Dole Act’s march-in provision would impede R&D, investment and the commercialization of innovative technologies. It would cause significant market uncertainty as to current and future patent licenses that are derived in any part from federal funds—directly contradicting the intent and purpose of Bayh-Dole. And it would hinder industry collaborations with research universities and laboratories across the country, stymieing manufacturers’ efforts to develop the products and technologies of the future and bring them to the public.
• Courts have found that an agency violates the major questions doctrine on matters of significant economic importance when the agency cannot “point to clear congressional authorization for the power it claims.” The government’s ability to seize private-sector IP is undoubtedly a topic of vast economic and political significance; as discussed, America’s robust patent system lies at the heart of the innovation economy in the United States—and the proposal would threaten the financing of that innovation ecosystem and the economic viability of many of its key participants (including start-ups, entrepreneurs, small and medium-sized businesses, universities and more). The effects of the proposal would be felt in every state and every congressional district. Yet, the proposal cannot point to “clear congressional authorization” for including a price consideration in the government’s march-in analysis because it does not exist; as explained above, price is wholly absent from the Bayh-Dole Act’s text. More broadly, the act was enacted to support public–private partnerships and bolster the innovation economy in the United States—yet, the proposal would undermine and endanger American innovation. It is unlikely that Congress, in passing the Bayh-Dole Act, “could reasonably be understood to have granted” the administration the power to vitiate the primary goal of the act itself.
• The 51�Թ��� respectfully encourages the administration to provide certainty to manufacturers and other stakeholders in the innovation economy by affirmatively and unequivocally withdrawing the proposal and making clear that the administration will not implement any of its recommendations. Abandoning and disclaiming the proposal’s attempts to impose price controls and undermine the Bayh-Dole Act will ensure that manufacturers in the United States can continue to lead the world in R&D and innovation—and continue to create and support well-paying jobs vital to the success of the U.S. economy.

-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 $2.85 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��

The Biden administration is nearing the end of a lengthy review on whether to adjust or extend tariffs on a variety of goods and materials from China—and the 51�Թ��� is working to make sure manufacturers’ voices are heard.

The background: Following a 2017 investigation into China’s trade practices, the Trump administration put in place a set of levies on imported goods from China—called Section 301 tariffs—intended to incentivize change in practices by China that were found by the Office of the U.S. Trade Representative to be “unreasonable or discriminatory.”

• These included policies and practices related to technology transfer, intellectual property and innovation.

The review: In May 2022, USTR initiated a legally required four-year review of the Section 301 tariffs that focused on tariff efficacy in changing Chinese discriminatory practices and the impact of the tariffs on the U.S. economy, workers and consumers, among other considerations.

• More than 18 months later, the review remains unfinished. The 51�Թ��� is urging USTR to finish and publish it—and to take actions that reduce the burdens on manufacturers while maintaining appropriate leverage to incentivize China to adhere to bilateral and multilateral commitments.
• “Ideally, USTR will conclude the four-year review in the next few weeks and make the results public,” said 51�Թ��� Senior Director of International Policy Ali Aafedt. “We would like to see the results reflect the 1,498 public submissions USTR received during the process and the reduction or removal of some of the tariffs that are harming manufacturers in the U.S. more than they’re creating leverage on China.”

The exclusions: There are 429 existing exclusions from the tariffs—including 77 COVID-19-related products and 352 reinstated exclusions—which are in effect through May 31.

• The 51�Թ��� has also been pushing for a new process that allows manufacturers to ask the government to exclude specific products they need from the tariffs.
• “The 51�Թ��� has been calling for a new, fair and transparent Section 301 tariff exclusion process that would allow all U.S. stakeholders an opportunity to seek relief or weigh in on the existing tariffs,” said Aafedt. “The last opportunity to petition USTR for relief from Section 301 tariffs was in 2020, and a new exclusion process will help to better align the tariffs with U.S. economic goals.”

The outlook: Reports such as from The Wall Street Journal indicate that the Biden administration will look to rebalance the tariffs, potentially reducing those that are not in the U.S. interest and raising tariffs on other items, including, potentially, on imports from China in the electric vehicle and battery sectors.

• “The 51�Թ��� will continue to push for a more strategic approach,” said Aafedt.

If your company has interest in a specific existing exclusion, USTR is seeking feedback by Feb. 21.

Washington, D.C. – Following the Senate introduction of the Border Act of 2024, 51�Թ��� President and CEO Jay Timmons released the following statement:

“For years, manufacturers have called on Congress to fix our broken immigration system, and the need for a solution at the border has only grown more urgent. This bill is neither perfect nor comprehensive, but it is important to take steps to address immigration reform and border security consistent with our plan, ‘.’

“Manufacturers believe the Senate’s legislation clears some critical tests: Does it make us more secure than we are today by tackling the border crisis? Yes. Does it address our ongoing worker shortage through strengthening the visa program? Yes. And does it protect democracy by supporting our allies overseas? Yes.

“Anytime Congress shows progress on sensible policy, it is a positive development for our country. The bipartisan group of Senate leaders deserves great credit for forging a plan on one of the most complicated issues facing our nation, and we appreciate the leadership’s support for this critical work.

“The 51�Թ��� will work with both chambers and the administration to enact meaningful change on the critical issues of immigration and border security.”

-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 $2.85 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. – Following House passage of the Tax Relief for American Families and Workers Act of 2024, 51�Թ��� President and CEO Jay Timmons and Ketchie President and Owner and 51�Թ��� Small and Medium Manufacturers Group Chair Courtney Silver released the following statement:

“Manufacturers thank Speaker Johnson and Chairman Smith for their leadership in passing the Tax Relief for American Families and Workers Act—and the bipartisan work in the House and Senate to secure progress for America’s manufacturing workers,” said Timmons.

“Manufacturers are now counting on the Senate to act quickly to restore these provisions that are absolutely critical to strengthening America’s competitiveness and growth of manufacturing in America,” Timmons added. “We cannot afford to wait. The cost of delay or inaction will be measured in lost jobs and slower wage growth, along with investment ceded to other countries. Passing this legislation, however, will ensure that small manufacturers, who are the backbone of communities and foundation of America’s supply chain, can continue driving our nation forward.”

“When key tax provisions expired, it wasn’t just businesses like Ketchie that felt the pinch—it was our ability to support and create jobs that took a hit,” said Silver. “I thank Speaker Johnson and Chairman Smith for their efforts to ensure passage of the Tax Relief for American Families and Workers Act. This isn’t just about numbers on financial statements; it’s about taking care of people who make things in America and work at small manufacturing companies across our country.”

-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 $2.85 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. – Ketchie President and Owner and 51�Թ��� Small and Medium Manufacturers Group Chair Courtney Silver released the following statement calling on Congress to advance key tax priorities included in the Tax Relief for American Families and Workers Act of 2024.

“There is so much at stake for small and medium-sized manufacturers as Congress debates pro-growth tax policy, which is why I strongly support the Tax Relief for American Families and Workers Act,” said Silver. “When Congress allowed immediate R&D expensing, interest deductibility and full expensing to expire, it created a higher tax bill and tremendous uncertainty for businesses like mine. The loss of these provisions directly impacts our ability to invest in new technology, to purchase equipment and to create jobs. Nearly 90% of manufacturers share similar concerns about their higher tax burden, and if left unaddressed, our companies and our teams will have a harder time securing an edge over our global competitors.

“This legislation restores those commonsense provisions, which would be a big jolt for manufacturers of all sizes. Passing this law would give companies like ours the certainty needed to plan for growth and more investments in our future.”

-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 $2.85 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. – Following the Department of Energy’s announced freeze on export permits for new liquified natural gas projects, 51�Թ��� President and CEO Jay Timmons released the following statement:

“Once again the Biden administration’s agencies are undercutting President Biden’s own stated goals. The president has said the following:

• ‘Where is it written that America can’t lead the world in manufacturing again? … Now, thanks to all we’ve done, we’re exporting American products and creating American jobs.’[1]
• ‘This nation used to lead the world in manufacturing, and we’re going to do it again.’[2]
• ‘We just have to remember who we are. We’re the United States of America…There’s not a single thing we can’t do when we put our minds to it.��And we can strengthen our energy security now, and we can build a clean energy economy for the future at the same time. This is totally within our capacity.’’[3]
• ‘[W]e’re working closely with Europe and our partners to develop a long-term strategy to reduce their dependence on Russian energy.’[4]
• ‘[W]e’re a great nation. We’re the greatest nation on the face of the earth. We really are. That’s the America I see in our future.”[5]

“Manufacturers call on the president to direct his agencies to support his agenda and to end their political war on the manufacturers who power American jobs, our economy and our national security. Today’s decision weakens our country, while giving Russia an upper hand as Europe and Asia look to transition their energy needs.”

��1���� , Feb. 7, 2023.

��2���� June 17, 2023.

��3���� , Oct. 19, 2022.

��4���� , March 8, 2022.

[5] , Jan. 5, 2024.

-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 $2.85 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 .

The Securities and Exchange Commission’s pending climate disclosure rule would place an enormous, untenable burden on manufacturers—and impose a disproportionate hardship on small businesses, 51�Թ��� Vice President of Domestic Policy Charles Crain lawmakers Thursday.

What’s going on: Crain gave before the House Financial Services Subcommittee on Oversight and Investigations on the damaging effects of the SEC’s proposed climate rule, which would require businesses to reveal large amounts of convoluted (and often sensitive) climate-related data.

• The plan would force disclosure of so-called “Scope 3” emissions—those that come from companies’ supply chains—and institute new climate-related accounting requirements, among other mandates.

Why it’s a problem: If finalized, the rule would divert funds from manufacturing growth, including at small manufacturers.

• “Manufacturing pioneers groundbreaking technologies, including the innovations necessary to combat climate change,” Crain said. “The rule would impose tremendous costs on manufacturers of all sizes—while overwhelming investors with immaterial information. And the SEC hasn’t done the work to show that the rule’s benefits outweigh its costs, or that the rule is even within the SEC’s legal authority.”
• The proposed regulation would, by the agency’s own accounting, “raise the cost to businesses of complying with its overall disclosure rules to $10.2 billion from $3.9 billion, an additional cost of about $530,000 a year for a bigger business,” according to (subscription).

Costs to manufacturers: Crain told lawmakers that the SEC’s analysis likely understates the true costs of the rule, in part because the agency did not consider the impacts on private businesses.

• “For the larger companies subject to [the Scope 3] requirement, the SEC has admitted that it cannot ‘fully and accurately quantify’ the costs,” Crain said. “But for the small businesses that are swept into large companies’ Scope 3 efforts, the SEC hasn’t even tried. The SEC’s proposal does not include any discussion of the Scope 3 costs that will fall on small and private businesses.”
• Crain warned lawmakers that these compliance costs would represent a “huge resource diversion” for small manufacturers.

Regulatory onslaught: Crain shared the 51�Թ���’s landmark Cost of Federal Regulations study with lawmakers, explaining that the SEC’s proposal would add to the $50,000-per-employee-per-year regulatory burden small manufacturers face.

• “The SEC’s climate rule is at the center of this regulatory onslaught,” Crain said.

51�Թ��� in the news: (subscription), and all covered the 51�Թ���’s testimony.��

Washington, D.C. – Yesterday, the 51�Թ���, American Chemistry Council and CropLife America, along with representatives from 16 manufacturing companies and other business and agriculture groups, joined together to meet with 17 congressional offices, including 15 lawmakers and staff on the House Ways and Means Committee, urging immediate action to renew the Miscellaneous Tariff Bill.

“Manufacturers in the U.S. cannot afford this direct economic hit and need action to be taken as soon as possible. Passing MTB legislation will increase competitiveness, spur growth and support the success of manufacturers, farmers, businesses, workers, consumers and communities throughout the U.S., said the 51�Թ���.

“The American Chemistry Council and our members support the renewal of the Miscellaneous Tariff Bill. The MTB would support advanced manufacturing in the United States and domestic chemical production used to make products in key agriculture and food production and industrial sectors, including information technology, renewable energy and automotive goods.”

“The passage of a Miscellaneous Tariff Bill that is fully retroactive would help maintain farmers’ access to the essential pesticide products they need to grow food for the U.S. and the world. A renewed MTB would mean lower input prices resulting in decreased price pressures for U.S. farmers, ranchers and consumers,” said CropLife America.

The previous MTB expired in December 2020, and since then, manufacturers and other businesses continue to pay $1.3 million per day in tariffs—that amounts to $1.5 billion over three years that should and can be invested in job creation and innovation.

-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 $2.85 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 www.nam.org.

-CropLife America-

Established in 1933, CropLife America () represents the developers, manufacturers, formulators, and distributors of plant science solutions for agriculture and pest management in the United States. CropLife America’s member companies produce, sell, and distribute virtually all the necessary and vital pesticide and biotechnology products used by American farmers. CLA can be found on Twitter at @CropLifeAmerica.

-American Chemistry Council-

The American Chemistry Council’s mission is to advocate for the people, policy, and products of chemistry that make the United States the global leader in innovation and manufacturing. To achieve this, we: Champion science-based policy solutions across all levels of government; Drive continuous performance improvement to protect employees and communities through Responsible Care®; Foster the development of sustainability practices throughout ACC member companies; and Communicate authentically with communities about challenges and solutions for a safer, healthier and more sustainable way of life.��Our vision is a world made better by chemistry, where people live happier, healthier, and more prosperous lives, safely and sustainably—for generations to come.

So-called “march-in” rights that would enable the federal government to seize manufacturers’ intellectual property are “a major threat to manufacturers in America,” according to a new seven-figure launched by the 51�Թ���.

What’s going on: Last month, the Biden administration issued a proposal that would allow the government to take over privately held patents if those patents had been developed in part with federal research dollars.

The problem: Undermining companies’ IP rights would roll back the progress made under the Bayh-Dole Act, which allowed for commercialization of federally funded research and “unlocked all the inventions and discoveries that had been made in laboratories throughout the United States with the help of taxpayers’ money,” according to a recent op-ed in .

• Because the government is “inviting march-in petitions on every patented technology that benefited from even modest federal grants,” the proposal could “decimate American innovation [and] … stifle investment in climate change, sustainable agriculture, advanced computing, energy, medicines” and more, according to the op-ed writers, two former undersecretaries of commerce for intellectual property.
• In addition, the proposal is “putting American jobs at risk,” according to the 51�Թ���’s .

The 51�Թ��� says: “This radical new proposal is a major threat to manufacturers in America and counter to the president’s goals of growing the sector,” 51�Թ��� President and CEO Jay Timmons said.

• “Empowering the government to march in and seize the rights to private-sector patents and technologies threatens American innovation and R&D, putting millions of well-paying manufacturing jobs at risk. Policymakers must protect manufacturers’ intellectual property rights and stop this government overreach.”

On Tuesday, Congress took an important step toward restoring three of manufacturers’ top tax priorities, as key congressional leaders unveiled a bipartisan tax agreement by the 51�Թ���.

What’s going on: The $78 billion Tax Relief for American Families and Workers Act—a compromise between House Ways and Means Committee Chairman Jason Smith (R-MO) and Senate Finance Committee Chairman Ron Wyden (D-OR)—would restore immediate R&D expensing, return to a pro-growth interest deductibility standard and reinstate full expensing (also known as 100% accelerated depreciation) for businesses’ capital investments.

• The framework also includes disaster tax relief and $33 billion to partially extend a child tax credit expansion from 2021.

The background: For nearly seven decades, the tax code allowed businesses to deduct R&D costs immediately. But starting in 2022, a change required companies to amortize the costs over a period of years.

• Also in 2022, a stricter interest limitation—which acts as a tax on investment—went into effect. And last year, full expensing began to phase down.

The 51�Թ���’s role: The 51�Թ��� was instrumental in the deal, having case for the tax provisions’ reinstatement to lawmakers for many months, including via an ad campaign, “.”

What’s next: The 51�Թ��� is congressional leadership to schedule a vote on the tax deal. Manufacturers can add their voices at the 51�Թ���’s .

Our take: “Manufacturers appreciate Chairman Smith and Chairman Wyden’s work to reach a bipartisan tax deal with key provisions to advance U.S. economic competitiveness and support manufacturing job creation,” 51�Թ��� Managing Vice President of Policy Chris Netram in a social post Tuesday.

• “Congress must move this legislation forward immediately. The time to act is now.”

51�Թ��� in the news: Bloomberg��Tax (subscription) ��the 51�Թ���’s support of the legislation, while Punchbowl News ��on the 51�Թ���’s ads in multiple Kentucky papers and Louisiana’s Shreveport Times urging support of the legislation.