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Former Transportation Security Administration Assistant Administrator for Strategic Communications and Public Affairs Alexa Lopez has joined the NAM’s communications team.
 
What’s going on: Lopez, a native of Dayton, Ohio, is the NAM’s vice president of communications and public affairs, a newly created position.

• “Alexa knows how to navigate complex challenges, craft compelling narratives and drive real impact,” NAM President and CEO Jay Timmons said. “She has built a career on delivering results, and manufacturers will benefit from her ability to elevate our industry’s voice at a time when manufacturers’ influence on the future has never been more important.”
• Lopez holds a Master of Public Affairs and a Master of Arts in Arts Administration from the Indiana University O’Neill School of Public and Environmental Affairs.

Proven track record: At the TSA, Lopez led all media operations, strategic communications, marketing and branding and multimedia efforts and served as adviser to the TSA administrator. She was at the agency for four years.

• Prior to that, Lopez worked in public affairs at the Federal Emergency Management Agency, the American Society of Civil Engineers, Ogilvy Public Relations and the City of Bloomington, Indiana.

“$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 NAM’s partner for its Incentives Locator, 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 NAM 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 NAM Incentives Locator is a service for NAM 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.”

Lucid has already made one of the most energy-efficient cars on the market. Now the company is on a mission to strengthen supply chains for the critical materials powering its award-winning vehicles.

Supply chain warrior: The California-based electric vehicle manufacturer—whose 2025 Air Pure sedan is the first EV to achieve a milestone 5 miles of range per kilowatt of energy—recently reached an agreement with Alaskan mining exploration company Graphite One to purchase synthetic graphite for its vehicles’ battery packs.

• The deal, which goes into effect in 2028, is a crucial first step toward cementing a domestic supply chain of graphite, a mineral that makes up about half of every EV’s battery composition. EV batteries require both synthetic and natural graphite.
• “Today 100% of the graphite for batteries assembled in the U.S. comes from overseas,” said Lucid Motors Supply Chain Group Manager of Battery Raw Materials Michael Parton. “Building a robust domestic supply chain ensures the United States and Lucid will maintain technology leadership in this global race.”

Pandemic lesson: The global pandemic revealed the downside of depending on other nations for critical materials, and the importance of cultivating domestic sources instead.

• In 2020, “every company experienced major challenges when it came to shutdowns and global trade,” Parton said. “Having a domestic supply reduces production risk, accelerates response time and agility and lowers the need to carry higher levels of inventory.”

A midstream gap: When it comes to EV batteries and their supply chains, “much of the discussion is on localizing the bookends of the supply chain, the downstream battery production and the upstream mineral extraction,” Parton told us.

• Less discussed is the “midstream environment,” which comprises the precursor cathode active materials (P-CAM) and cathode active materials (CAM) stages. Materials used during these phases in the battery production process include critical minerals such as lithium, nickel and cobalt.
• The P-CAM market has been a difficult one to navigate, Parton added. For years, the P-CAM stage has been outsourced to countries with more cost-effective production. The problem: These countries also have less stringent environmental regulations than the U.S.
• “There’s limited investment announced [in the U.S.] in the refining and chemical conversion process at these stages, but it’s where the real need is,” Parton continued. “To promote localized sources of supply for mined and recycled minerals, there needs to be a domestic option for both P-CAM and CAM.” 

A bipartisan issue: Lucid’s advocacy for a strong domestic supply chain has won bipartisan support in Congress.

• “There’s something in it for everyone when it comes to efficiency,” said Lucid Motors Senior Manager of International and Trade Policy Emily Patt, citing the environmental and self-sufficiency benefits of a resilient domestic supply chain.

What’s next: Lucid is expanding its vehicle lineup beyond the Air and the vehicle’s four trim levels.

• By the end of 2024, the company is scheduled to start production of the seven-passenger Lucid Gravity. The company has also teased an upcoming midsize platform, which is expected to start production in late 2026.

The grand vision: “The pursuit of efficiency drives Lucid as a company,” Patt said. “We’re not just making zero-emission cars; we’re committed to making the best use of the world’s resources to maximize the benefits for electrification and the planet.”

Negotiations between the U.S. Maritime Alliance and the International Longshoremen’s Association have stalled again, “raising the possibility of renewed strikes at U.S. East and Gulf Coast ports in January” (gCaptain).

What’s going on: Talks between the dockworkers and their employers broke down this week over proposed language regarding the use of automation, according to the ILA.

• “This impasse follows a tentative agreement reached in early October, which ended a three-day strike across Atlantic and Gulf Coast ports” and extended the workers’ labor contract until Jan. 15, 2025.
• If the parties are unable to reach a long-term agreement by that date, the union could strike again.

Why it’s problematic: Even a brief work stoppage could have major economic consequences, according to widely cited NAM estimates.

• A strike at East and Gulf Coast ports would jeopardize $2.1 billion in trade every day and could reduce gross domestic product by up to $5 billion a day.

What must be done: “These ports are critical components of the manufacturing supply chain and move products on which Americans depend,” said NAM Director of Transportation, Infrastructure and Labor Policy Max Hyman. “Both sides should return to negotiations as soon as possible and reach a lasting resolution that prevents needless economic destruction.”

Nominations for the Manufacturing Leadership Council’s flagship awards are now open.

What’s going on: The Manufacturing Leadership Awards—given annually by the MLC, the NAM’s digital transformation arm—honor manufacturing companies and leaders for the groundbreaking use of digital manufacturing. Those interested in submitting company and/or individual names for consideration for the 2025 awards can do so through Jan. 17, 2025.

• Awards will be given in nine project categories and three individual categories. New for 2025 are Business Model Transformation (for projects) and Women in Manufacturing 4.0 (for individuals).

How they’re evaluated: For the individual categories, the judges—a panel of established digital manufacturing experts from outside the MLC—assess whether nominees have advanced digital transformation at their companies and whether they meet the criteria for being role models to other manufacturing leaders.

• For the project categories, judges evaluate how each undertaking improved manufacturing processes, furthered business goals and advanced company strategy.

What happens next: Finalists will be notified in March 2025 and announced shortly afterward. Winners will be announced at the Manufacturing Leadership Awards Gala next June.

• “The Manufacturing Leadership Awards give the MLC the chance each year to honor some of the remarkable people and endeavors in manufacturing today,” said MLC Senior Content Director Penelope Brown. “We look forward to reviewing the nominations and learning more about the incredible innovation taking place in our industry.”

Get involved: Have a person or project in mind for the 2025 Manufacturing Leadership Awards? Submit their names here.

• MLC members receive one complimentary project entry and one complimentary individual entry.

Inflation rose again last month (The Wall Street Journal, subscription).

What’s going on: The consumer price index increased 0.2% in October, the fourth consecutive increase (Bureau of Labor Statistics).

• “[P]rices were up 2.6% from a year earlier, in line with economists’ expectations. Core inflation, at 3.3%, also matched forecasts,” according to the Journal.

The details: Shelter prices rose 0.4% in October, accounting for more than half the increases overall (BLS).

• Food prices inched up 0.2%, while energy prices were unchanged after having declined 1.9% in September.

What it means: The news strengthened investor confidence that the Federal Reserve will cut rates in December for the third time this year in an effort to hit its 2% inflation goal, the Journal reports.

• “The October CPI report will likely support the notion that the last mile of inflation’s journey back to target will be the hardest,” Wells Fargo economists wrote in a memo to clients (USA Today).

Manufacturer sentiment fell in the third quarter of this year, according to the NAM’s Q3 2024 Manufacturers’ Outlook Survey, out Wednesday.

What’s going on: Results of the survey, which was conducted Sept. 5–20, reflect “preelection uncertainty,” NAM President and CEO Jay Timmons said—but also larger economic concerns.

• “The good news is that there is something we can do about it,” said Timmons. “We will work with lawmakers from both parties to halt the looming tax increases in 2025; address the risk of higher tariffs; restore balance to regulations; achieve permitting and energy security; and ease labor shortages and supply chain disruptions.”

Key findings: Notable data points from the survey include the following:

• Some 62.9% of respondents reported feeling either somewhat or very positive about their business’s outlook, a decline from 71.9% in Q2.
• A weaker domestic economy was the top business challenge for those surveyed, with 68.4% of respondents citing it.
• Nearly nine out of 10 manufacturers surveyed agreed that Congress should act before the end of 2025 to prevent scheduled tax increases on manufacturers.
• The overwhelming majority—92.3%—said the corporate tax rate should remain at or below 21%, with more than 71% saying a higher rate would have a negative impact on their businesses.
• More than 72% said they support congressional action to lower health care costs through the reform of pharmacy benefit managers.

The last word: “When policymakers take action to create a more competitive business climate for manufacturers, we can sustain America’s manufacturing resurgence—and strengthen our can-do spirit,” Timmons said.

• “This administration and Congress—and the next administration and Congress—should take this to heart, put aside politics, personality and process and focus on the right policies to strengthen the foundation of the American economy.”

More than 300 leaders and experts gathered in Minneapolis last week to discuss the industry’s talent challenges, from hiring to training and retaining. The Manufacturing Institute’s annual Workforce Summit convened manufacturers, partners from education and training groups, philanthropy leaders and representatives from community-based organizations to share insights and brainstorm solutions.

The backdrop: With more than 500,000 open jobs in the industry, manufacturing leaders are intent on solving the talent equation.

• MI Chief Program Officer Gardner Carrick provided context for attendees. “For the last 7+ years, manufacturers have told the MI that the single biggest challenge they face is finding the right people to employ,” he said. “It is the crisis right in front of us.”
• Carrick urged attendees to “act now, because the system needs help.” However, he also noted that this crisis will take time to fix, saying that manufacturers should “be patient, but be committed.”

Quick insights: The participants brought many new ideas and fresh perspectives to the gathering. Here are some of the highlights:

• Recruitment and hiring: NTT DATA led a session on artificial intelligence technologies that can help with talent attraction, while other sessions focused on changing Americans’ perceptions of the industry and demonstrating that manufacturing is a “cool” field to work in.
• Retention: Mark Rayfield, CEO of Saint-Gobain North America and CertainTeed, highlighted the importance of culture as a retention tool, saying, “Culture is everything. Employees want to work for a place where they are respected.” In a separate session, Jill Wyant, president and CEO of Madison Air, shared why their cultural value of frontline obsession guides how they attract and retain their frontline employees.
• Training: One session focused on training frontline supervisors in methods that boost retention of frontline workers. Other sessions focused on using the FAME USA model (of combined accreditation and training) to cultivate talent for manufacturing facilities.
• Preparing the next generation: Ketchie Inc.’s Andy Silver spoke about the company’s Opportunity Knocks program, an unpaid internship program for high school students that offers real-world learning experience and mentorship. Programs like these can transform young people’s perceptions of the manufacturing industry and set them on rewarding career paths, as Silver noted.

Did you miss it? Don’t worry! There are plenty of ways to get involved in the solutions being driven by the MI, the NAM’s 501(c)3 workforce development and education affiliate.

• Check out the MI’s Solutions Center, a new initiative that will provide manufacturers innovative resources and opportunities to access solutions and best practices on how to tackle the challenges of recruiting, training and retaining talent in today’s competitive landscape. Attendees got a first look, but now we’re sharing it with everyone.
• Get updates directly from the MI on the latest workforce insights and receive information about registering for next year’s Workforce Summit in Charlotte, North Carolina, taking place Oct. 20–22, 2025.
• Want more labor data and insights? Sign up for the MI’s comprehensive Workforce in Focus newsletter to stay up to date on the latest workforce trends.

The last word: “The MI and manufacturers across the country are changing the narrative, raising awareness and finding new ways to get people in the door and retain them,” said MI President and Executive Director Carolyn Lee. “As we face workforce shortages and retention challenges, events like the MI’s Workforce Summit are necessary to help the industry share important insights and ensure the readiness of the future manufacturing workforce.”

The Defense Department’s Office of Strategic Capital is now accepting applications for flexible direct loans to build, expand and/or modernize “critical technologies” facilities (Federal Register).

• It’s also seeking input from companies and trade associations on the Defense Department’s loan program, via a Request for Information open through Oct. 22 (Federal Register).

What’s going on: The OSC’s credit program, launched Sept. 30, aims “to attract and scale private capital in industries and technologies that are critical to America’s national and economic security,” according to the Defense Department. This is part one of the application process.

• The financing is geared toward manufacturers that must spend significantly on industrial or specialty equipment to create new assembly lines in existing facilities.
• The money is also intended to help them cover “soft” expenses, such as factory preparation and installation, associated with critical technology projects.

Why it’s important: “The funding from this program could benefit manufacturers of all sizes that are working to expand their businesses and product lines in critical areas of the economy,” said NAM Director of Energy and Natural Resources Policy Mike Davin.

• The OSC loans offer flexible terms, a U.S. Treasury-comparable interest rate, long repayment periods and deferred payments.

Who’s eligible: Manufacturers within the 31 “Covered Technology Categories”— which include advanced manufacturing, cybersecurity, battery storage and spacecraft—are encouraged to apply.

• There is no company-size or employee-number threshold or limit, and manufacturers with existing federal grants are eligible.

Within days of Hurricane Helene’s landfall, manufacturers were reaching out to help those who had been affected.

What’s going on: Companies from an array of industries are volunteering their resources, time and energy to getting storm victims essential items. Helene, which made landfall in Florida last Thursday, has killed at least 189 people and left more than 1.2 million customers without power (ABC News).

• Toyota is matching donation contributions made by its U.S.-based employees to the American Red Cross, disaster relief organization SBP and other nonprofits. The auto manufacturer is also offering payment relief options to those affected.
• Norfolk Southern Corp. has donated $100,000 to the American Red Cross, which is undertaking relief work across multiple states, including North Carolina, Florida, Georgia and Tennessee. The company’s Employee Disaster Relief Program is also giving employees affected by the storm grants for qualified expenses and losses.
• DENSO North America Foundation, the philanthropic group of global automotive components manufacturer DENSO, is donating $200,000 to the American Red Cross in support of disaster relief across southeastern states.
• Procter & Gamble’s Disaster Relief is partnering with Walmart and Matthew 25: Ministries, an international aid organization, in their recovery efforts in the hard-hit Florida cities of Perry and St. Petersburg. P&G resources will go toward a Tide Loads of Hope Mobile Laundry Unit, powered by Matthew 25: Ministries, to offer free, full-service laundry to responders and affected residents. Shower trailers with hot water will also be provided.

Additional resources: SBP and Good360 offer manufacturers disaster preparedness resources and training when natural disasters hit.

• “Hurricane Helene has been devastating, leaving many without access to power and vital resources,” NAM President and CEO Jay Timmons wrote in a social post Wednesday. “Manufacturers looking for recovery resources or looking to provide supplies can connect with SBP via sbpusa.org and Good360 via good360.org.”

Share your stories: Are you helping those affected by Helene? Tell us how by emailing [email protected].