Mapping the Impact of a Port Strike
Washington, D.C. – Following the Canada Industrial Relations Board’s decision ordering rail workers back to work and carriers back to operations, National Association of Manufacturers President and CEO Jay Timmons released the following statement: “Manufacturers in the U.S. and in Canada were rightly concerned about the serious impact of a work stoppage that would harm workers, the economy and the quality of life for the many millions who depend on our products. As I discussed with Prime Minister Trudeau in July, if rail traffic were to grind to a halt, workers, small businesses and communities on both sides of our border would be hardest hit. Thankfully, the prime minister and Minister of Labour and Seniors Stephen MacKinnon heard our concerns and took decisive action to avert a significant disruption. “The manufacturing industry is the engine of the North American economy. The conclusion of this stage of the negotiations means that this engine will continue humming. It is welcome news to manufacturers of all sizes, who count on tens of billions of dollars in cross-border trade between the U.S. and Canada—and the supply chains that make it possible to create life-saving products for hundreds of millions of people.” -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 nearly 13 million men and women, contributes $2.89 trillion to the U.S. economy annually and accounts for 53% 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 Washington, D.C. – As concerns mount about a potential work stoppage around Canada’s rail network that affects the entire North American manufacturing supply chain, National Association of Manufacturers President and CEO Jay Timmons released the following statement: “North American manufacturing supply chains depend on functioning rail links. If rail traffic grinds to a halt, businesses and families across the country will feel the impact. Manufacturing workers, their communities and consumers of all sorts of products will be left reeling from supply chain disruptions. Rail transport between Canada and the United States moves billions of dollars of goods every month, and according to the U.S. Department of Transportation, 14% of the total trade value between our two countries in June 2024. We’ve seen the impact of disruptions at the Canadian border before, and it’s imperative that we avoid another stoppage. “The flow of materials and products across the U.S.-Canada border is already slowing as preparations are made for a potential work stoppage. Policymakers in the U.S. and Canada must recognize that the stability and reliability of critical supply chains—which directly affects our quality of life—depends on efficient movement of goods across the border.” Additional data: Total trade flows between Canada and the U.S. via rail in June 2024 were $9.131 billion, representing roughly 14% of total trade flows between the two countries via all modes of transport. Imports totaled $5.319 billion, while exports totaled $3.812 billion. In the first six months of 2024, total trade flows via rail were $55.657 billion. In 2023, total trade flows via rail were $113.860 billion. -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 nearly 13 million men and women, contributes $2.89 trillion to the U.S. economy annually and accounts for 53% 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. Washington, D.C. – Following the bipartisan passage of the Energy Permitting Reform Act of 2024 markup in the Senate Energy and Natural Resources Committee, National Association of Manufacturers President and CEO Jay Timmons released the following statement: “Manufacturers have been calling attention to the consequences of America’s broken permitting process for years, while building a case for reform. Both sides of the aisle now realize that these critical updates will enable Congress to achieve its broader energy goals and the development of: “These developments are absolutely critical for us to be able to compete with China. As this legislation progresses, many of the commonsense policies outlined in the Energy Permitting Reform Act will help unlock the full potential of our industry, bolster our nation’s energy security and create American jobs. Streamlining permitting processes, cutting red tape, requiring that federal agencies make timely decisions and reducing the potential for baseless litigation will help prevent years-long delays for manufacturers—delays that give other countries a distinct advantage and put our own security at risk. America should never be content with a system that can take 10 or 15 years to approve urgently needed projects, when approval can take a fifth of that time in other countries that still adhere to high standards. “We thank Chairman Manchin and Ranking Member Barrasso for introducing this legislation and look forward to working with lawmakers to advance it.” -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 nearly 13 million men and women, contributes $2.89 trillion to the U.S. economy annually and accounts for 53% 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. A labor strike on the U.S. East and Gulf Coast strike would have dire consequences for the maritime supply chain, the NAM and partner organizations told the Biden administration this week—which is why it’s vital the administration intervene now to restart stalled labor negotiations between dockworkers and an alliance of port operators and ocean carriers. What’s going on: “Earlier this month, contract negotiations broke down between the International Longshoremen’s Association and the US Maritime Alliance,” Bloomberg Government (subscription) reports. “The current agreement, which covers about 45,000 dockworkers at facilities including six of the 10 busiest US ports, expires Sept. 30.” Why it’s important: Other global shipping-related setbacks and threats mean the U.S. cannot withstand another challenge, the groups said. Continued Houthi terrorist attacks on commercial ships in the Middle East have resulted in “congestion and lack of equipment at overseas ports, carrier capacity issues as they continue to divert vessels away from the Red Sea and increased freight rates.” Precedent set: Last September, after 14 months of negotiations and several work stoppages and walkouts, West Coast dockworkers reached a labor agreement with the Pacific Maritime Association—following NAM-urged intervention by the Biden administration. It’s not every day that an international company meets an ambitious sustainability goal two years early. But last May, that’s exactly what happened at 119-year-old transportation logistics provider C.H. Robinson. Simple but effective: “Most of it was looking at where we could find inefficiencies” and correcting them, said C.H. Robinson Vice President of Environment, Social and Governance Rachel Schwalbach. Some changes came from suggestions “our own employees brought forward: LED lighting, responsible use” of electricity. Not an either/or proposition: The Eden Prairie, Minnesota–based company—which solves logistics challenges for clients through freight forwarding and other innovative transportation solutions—is proof positive that businesses don’t have to choose between good environmental stewardship and profitability. A competitive advantage: Reducing the footprint of operations can be a competitive advantage for manufacturers, too. No business is an island: Businesses must keep in mind that sustainability is a shared interest, and the environment’s health is best served by teamwork, not isolated efforts, according to Schwalbach. Supporting climate-friendly practices: The right moves by policymakers can also help support the private sector’s sustainability efforts. In for the long haul: So what’s next for C.H. Robinson? A continued focus on conservation, for one thing. In recent years, an American household company name has been helping keep Ukraine’s nuclear reactors running (The Wall Street Journal, subscription). What’s going on: After Russia’s invasion in 2022, Ukraine stopped buying nuclear fuel from Moscow, formerly its top supplier. That’s when Westinghouse Electric stepped in. Why it’s important: The change is a victory for the West, “which has long sought to erode Russia’s dominance in the industry and the political influence that comes with it.” A decade in the making: After Russia seized Crimea in 2014, Ukrainian state nuclear company “Energoatom ramped up purchases of Westinghouse’s fuel assemblies and, by the beginning of 2022, six of Ukraine’s 15 reactors had been loaded with fuel from the company.” A critical moment: As part of its full-scale invasion of Ukraine two years ago, Russia occupied the country’s largest nuclear power station, Zaporizhzhia, and attacked other energy infrastructure. How it succeeded: The company set up a 60-person task force to meet and identify potential bottlenecks in production and launched talks with other European utilities. A nuclear future: To produce the fuel, Westinghouse purchased new manufacturing equipment, repurposed older equipment and 3-D printed some detailed components. The NAM Legal Center and ACC File Suit to Block the Rule Washington, D.C. – Today, the National Association of Manufacturers, joined by the American Chemistry Council, filed a petition in the D.C. Circuit Court of Appeals challenging the Environmental Protection Agency’s final rule setting individual standards for six per- and polyfluoroalkyl substances, also known as PFAS, in municipal water systems. “Manufacturers support commonsense regulations on PFAS that recognize the criticality of these substances across several industrial sectors—for many of these critical applications, there are no viable alternatives,” said NAM Chief Legal Officer Linda Kelly. “What the EPA did, however, was to bulldoze ahead with standards that set an acceptable level for PFAS at near zero—which is wholly infeasible and threatens these vital substances’ continued application in manufacturing processes. In doing so, the EPA relied on a deeply flawed cost-benefit analysis and failed to follow the clear-cut statutory procedures required by the Safe Drinking Water Act, among other substantive and procedural deficiencies. The NAM Legal Center is filing suit to overturn this unachievable standard and protect manufacturing operations and jobs across the country.” PFAS are a diverse group of chemicals essential to modern life, including in the transformers used to power electric grids; in the semiconductors and solar components needed for clean energy transition; and in the aircraft, munitions, fire suppression systems and communication devices required for national security. -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 nearly 13 million men and women, contributes $2.89 trillion to the U.S. economy annually and accounts for 53% 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. The demand for copper is skyrocketing—and global mining company Rio Tinto is powering forward full throttle to meet it (CNBC). What’s going on: “The red metal, considered a barometer for economic health, is a vital component for the construction and defense industries as well as a key component in electric cars, wind turbines and the power grid.” The challenges: Copper mining is difficult and expensive—and it takes 10 to 15 years to build each mine, Rio Tinto CEO Bold Baatar told CNBC. A beneficial metal: Copper is the most economical conductor available, and directly and indirectly, it supports more than 395,000 U.S. jobs and more than $160 billion in economic output. Behind the scenes: CNBC went behind the scenes at Rio Tinto’s Kennecott operations in Utah, where “about 200,000 metric tons of copper are produced annually.” Permitting challenges: Another of Rio Tinto’s projects, the Resolution Copper mine in Arizona, has the potential to power up to 25% of U.S. copper demand—but it has been mired in a regulatory morass for the better part of two decades. Independence is possible: “Theoretically, there are enough reserves in the U.S. that we could become independent for our copper needs,” Walker continued. “It’s just, how do we do that? How do we get the permits?” What the NAM is doing: The NAM has been engaging directly with the Biden administration and members of Congress through meetings and briefings at NAM headquarters to push for comprehensive permitting reform. Federal tax credits that have long been available for solar and wind energy projects may soon also be available for other renewables initiatives, such as nuclear fission and fusion (Reuters, subscription). What’s going on: On Wednesday, “[t]he Treasury Department announced its guidance for Clean Electricity Production Credits and Clean Electricity Investment Credits, created under the 2022 Inflation Reduction Act, that will be available in 2025 as the previously available wind and solar production and investment tax credits sunset.” The NAM says: “Expanded eligibility for these tax credits is a key to getting more industries involved,” said NAM Director of Energy and Resources Policy Michael Davin.Manufacturers: Resolution in Canadian Rail Dispute Avoids Critical Disruption to Supply Chains
Manufacturers Warn of Supply Chain Disruptions from Canadian Rail Shutdown
Energy Permitting Reform Act Will Help Unlock the Full Potential of Manufacturing Industry, Is Critical for Competing with China
NAM, Allies to Biden: Intervene in Port Talks Now
In It for the Long Haul: C.H. Robinson Takes on Sustainability
Westinghouse Helps Keep Ukraine’s Nuclear Reactors Running
Manufacturers Challenge Infeasible, Costly Water Standard
Rio Tinto Seeks to Meet Growing Copper Appetite
Energy Tax Credits to Be Expanded