Input Stories

Strategic energy and manufacturing incentives—such as the 45X Advanced Manufacturing Production Tax Credit—are “key tools” in America’s competition with China and should be preserved, the NAM told event attendees and speakers at a recent panel discussion on Capitol Hill for congressional staff, hosted by the Citizens for Responsible Energy Solutions. 
 
What’s going on: The Section 45X credit, guidance for which was finalized in October 2024, is a tax credit designed to incentivize the U.S. production of certain energy components and critical minerals.  

• “China’s dominance in the manufacturing of key components of the future, such as batteries and critical minerals, must stop,” said NAM Director of Energy and Resources Policy Michael Davin, a panelist at the event. “45X helps reduce the cost of private-sector investments in these important items, putting America and American workers back in charge of manufacturing.”  

Revitalizing communities: The credit is also creating well-paying, permanent jobs, helping to bring economic prosperity back to “areas that [have seen] stagnant industrial and manufacturing growth,” Davin continued. “Revitalizing these towns and areas is important not just for our economy but for our nation as a whole.” 
 
Domestic supply chains: The NAM has long advocated for creating stronger domestic supply chains for critical minerals, and the 45X credit is an important part of that goal.  

• “Without investing in our domestic minerals industry, we would be beholden to China for the resources that are needed for our modern lives—electronics, vehicles, computing and more,” Davin said.  

What we’re doing: The NAM has maintained pressure on the tax credit issue, meeting with Republican House leadership on the incentives and sharing information with the House Ways and Means Committee about which credits manufacturers are using. 

• The NAM will continue to monitor and advocate for the matter with committee members as they work through the provisions that could end up in the tax title of the GOP reconciliation bill later this spring.