Trading to Win
The Promise of the USMCA
President Trump’s USMCA succeeded in shifting manufacturing imports away from China to North America. In this new phase of U.S. trade policy, strengthening the United States–Mexico–Canada Agreement will be critical in helping North America restore balance and combat disruptive, problematic trade practices coming out of other countries, specifically China.
USMCA By The Numbers
The Most Pro-Manufacturing
Trade Agreement in History
North America accounts for one-third of global GDP—nearly double China’s share. The USMCA is the foundation that keeps it that way.
U.S. Manufacturing Investment Accelerator Program
To give manufacturers a runway of predictable access to critical materials and leading technologies from reliable suppliers that will accelerate the long-term investments needed to maintain America’s global edge, the NAM is proposing a U.S. Manufacturing Investment Accelerator Program.
Imported critical inputs are necessary for manufacturers to make things in America. If operating at full capacity, the industry could produce 84% of the inputs manufacturers need for production. That means that, at an absolute minimum, 16% of manufacturing inputs must be imported. Tariffs on critical manufacturing inputs dramatically increase the cost of these inputs, which include raw materials as well as equipment and machinery on factory floors across the country.
The accelerator program has two key components:
- First, the administration should utilize existing authorities to issue licenses that act as a manufacturing
tariff speed pass. This will allow manufacturers to import critical inputs without the added cost of tariffs,
accelerating the industry’s efforts to invest and grow here at home. - Second, when manufacturers do pay tariffs on must-use, must-import critical inputs, the administration
should provide investment accelerator rebates to offset tariff costs for dollars spent to sustain or expand
manufacturing investments in the U.S.
1. A Manufacturing Tariff Speed Pass
The administration should implement a general licensing system that grants preapprovals for duty-free imports of inputs and materials necessary for manufacturing activities in the U.S.
How It Works: Self-Certification Under a “General License”
- General licenses would provide preexisting approval for any company meeting the criteria to import qualifying items free of duty.
- Use would be self-determined by eligible parties, subject to U.S. Customs and Border Protection verification.
- The president can direct the Treasury to implement the program under existing authorities.
What Qualifies for a General License?
- Materials transferred intercompany and used for further processing in the U.S.
- Materials, equipment, machinery, and parts used in manufacturing or maintenance.
- Essential raw materials, chemicals, and other inputs in limited supply but needed for U.S. manufacturing.
- Materials for R&D in the U.S.
2. A Manufacturing Investment Accelerator Rebate
The administration should provide a rebate to offset tariff costs when dollars are spent to expand or maintain manufacturing investments in the U.S. The rebate should be available on a rolling basis for actual dollars spent after April 5, 2025.
What Qualifies for a Rebate?
- Dollars spent on new greenfield or brownfield investments.
- Dollars spent on expanding or upgrading existing capacity, including capital improvements and maintenance.
- Dollars spent to add full-time manufacturing employment.
- Dollars spent on R&D in the U.S.
A Comprehensive Critical Minerals Strategy for Manufacturers in America
In a letter to the U.S. Trade Representative, the NAM has put forward a comprehensive critical minerals strategy to expand access to essential inputs, strengthen supply chain resilience and help manufacturers compete and grow. That strategy has two key components:
- First, policymakers should strengthen domestic critical minerals capacity by enacting comprehensive permitting reform, restoring strategic incentives for extraction and processing, investing in recycling, recovery and substitution technologies and expanding workforce development programs. This will help manufacturers access the critical inputs they need, reduce supply chain vulnerabilities and support more investment here at home.
- Second, the U.S. should advance an international critical minerals strategy that leverages partnerships with allies, unlocks project financing, secures stronger protections and offtake opportunities for U.S. investors, reduces tariff barriers on critical inputs and machinery and counters nonmarket distortions such as export restrictions and unfair state-backed advantages. This will help diversify supply chains, rebalance the global critical minerals market and ensure manufacturers can access the minerals they need to make more in America.
Trade Intelligence Center
Manufacturers across America depend on critical inputs imported from around the world. Increasing the cost of inputs will lead to shrinkage, not growth for American manufacturing.
United States
| Increase in effective tariff rate on manufacturing inputs | +15% | ||||||
| Imports of manufacturing inputs | $1.1T | ||||||
| Manufacturing output per dollar of inputs imported | $1.40 | ||||||
Top 3 Input Imports
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Domestic Supply of Manufacturers’ Input and Capital Goods Needs
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| Manufacturing GDP | $2.94T |
| Manufacturing employment | 12.7M+ |
Key Facts
Data sourced from the Bureau of Economic Analysis and the Census Bureau.
Manufacturing inputs are classified as all goods that fall under the capital goods, industrial supplies, and auto parts end use categories.
Key Policy Actions
2026 Special 301 Review Comments on Intellectual Property Protections
The NAM encourages the administration to leverage ongoing negotiations to achieve bilateral agreements with stronger IP protections that resolve longstanding regulatory and enforcement gaps.
Read our letter to the U.S. Trade Representative (USTR) on the operation of the USMCA
On behalf of the National Association of Manufacturers, I respectfully submit the attached comments regarding the operation of the Agreement between the United States, Mexico and Canada (USMCA).
Section 232 Medical Technologies Submission Final October 17 2025
NAM cautions that Section 232 tariffs on medical technologies would raise costs and disrupt care, urging transparent, targeted policies that strengthen U.S. manufacturing and safeguard access to essential supplies.
Section 232 Robotics and Industrial Machinery Submission Final October 17 2025
NAM warns that Section 232 tariffs on robotics and industrial machinery would raise costs, disrupt manufacturing growth, and limit innovation, urging transparent, targeted policies that strengthen U.S. competitiveness through trade partnerships and domestic investment.
NAM Section 232 Metal Inclusion Information Collection Process Submission September 26 2025
NAM comments on stakeholder input and improvements the BIS Section 232 inclusion process, emphasizing the need for transparency and a legally sound review of requests, while safeguarding manufacturers’ access to essential inputs.
Comments on Section 232 National Security Investigation of Imports of Commercial Aircraft and Jet Engines and Parts
The NAM urges the administration to reject proposed tariffs on aerospace imports, warning they would raise costs, disrupt supply chains, and hurt U.S. competitiveness. Instead, it advocates for tax, regulatory, and workforce reforms to strengthen domestic manufacturing and maintain America’s aerospace leadership.
Section 232 National Security Investigation of Imports of Processed Critical Minerals
NAM submitted comments to the U.S. Department of Commerce on the Section 232 investigation into critical mineral imports, emphasizing their role in U.S. manufacturing, energy, and defense. NAM urged against tariffs, citing risks to supply chains and competitiveness.
Comments on Section 232 National Security Investigation of Imports of Pharmaceuticals
NAM submitted comments to the U.S. Department of Commerce on the Section 232 investigation into pharmaceutical imports, urging against broad tariffs. NAM emphasized the industry's vital role in U.S. innovation, economic strength, and national security.
Comments on Section 232 National Security Investigation of Imports of Semiconductors
NAM submitted comments to the U.S. Department of Commerce on the Section 232 investigation into semiconductor imports, emphasizing the chips’ essential role in U.S. manufacturing, innovation, and national security. NAM urged against tariffs, advocating instead for policies that promote domestic investment, support global market access, and strengthen alliances to secure semiconductor supply chains.
Comments on Section 232 National Security Investigation of Imports of Timber and Lumber
NAM emphasized the industry's importance to U.S. manufacturing and warned that new tariffs could raise costs and disrupt supply chains.
Comments on Section 232 National Security Investigation of Imports of Copper
NAM submitted comments to the U.S. Department of Commerce on the Section 232 copper import investigation, highlighting copper’s essential role in manufacturing and energy—from transformers to data centers—and urging tariff-free access amid supply gaps.
Investigation of China’s Targeting of Maritime, Logistics, and Shipbuilding Sectors for Dominance
The NAM submitted comments to USTR opposing proposed port fees that would raise costs for U.S. manufacturers. While supporting efforts to counter China’s unfair shipbuilding practices, NAM urges targeted solutions that don’t disrupt supply chains or burden American industry.
NAM Submission to USTR Reciprocal Tariff FRN March 11 2025
The NAM submitted comments to the USTR offering approaches to new trade negotiations to strengthen America’s economic might in the world, while preserving manufacturers’ ability to access inputs critical to expanding manufacturing at home.
June 2026
Where U.S. trade policy stands now
Trade policy reached a pivot point in 2026 — and manufacturers are at the table for every piece of it: tariff refunds, the USMCA Joint Review and a new generation of agreements that open markets for products made in America.
Tariff refunds
~$85B flowing back
After the Supreme Court’s February 2026 ruling that IEEPA does not authorize tariffs, CBP is refunding duties through its CAPE system — and the NAM is guiding members through declarations, protests and deadlines.
The interim surcharge
10% until July 24, 2026
A Section 122 surcharge replaced the IEEPA tariffs — USMCA-compliant goods are exempt — while Section 301 actions are proposed to follow it. The NAM is filing exclusion comments on manufacturers’ critical inputs.
USMCA Joint Review
Negotiations underway
With the July 1, 2026 review milestone here, the NAM’s Built to Spec report and Task Force are making manufacturers’ case directly to U.S., Mexican and Canadian negotiators.
Opening markets
Zero-for-zero momentum
The European Parliament approved an agreement putting zero tariffs on U.S. industrial exports in reach, and the U.K. deal delivers a 0% tariff lane for American pharmaceuticals — outcomes the NAM has pressed for since 2025.
Critical minerals
$20B Quad initiative
The Quad’s critical minerals initiative and the $11.7B Project Vault strategic reserve align with the NAM’s two-pronged minerals strategy: build capacity at home, partner with allies abroad.
Deals in force
Taiwan, India, Japan, U.K.
New agreements cap industrial tariffs at 15% or below for key partners — with the NAM tracking implementation and pressing to extend zero-for-zero treatment to manufacturing inputs.
“Today’s decision underscores the importance of clarity and durability in U.S. trade policy. Manufacturers rely on stability to plan investments, grow operations and create jobs…. If tariffs are utilized as a tool, they should be targeted to countries engaged in specific unfair trade practices, particularly by nonmarket economies.” — Jay Timmons, NAM President & CEO, and Blake Moret, Rockwell Automation Chairman & CEO and NAM Board Chair, on the Supreme Court’s IEEPA ruling, February 20, 2026
Sources: Supreme Court ruling, Feb. 20, 2026; CBP CAPE refund filings and status reports (Mar.–Jun. 2026); Section 122 executive order (effective Feb. 24, 2026; expires July 24, 2026); USTR Section 301 notices (June 2026); NAM, Built to Spec (May 2026); Quad Critical Minerals Initiative announcement (May 2026).
Built to Spec: The USMCA Delivers
With the USMCA Joint Review underway, the NAM’s May 2026 report Built to Spec: USMCA Supports Millions of American Jobs and Drives U.S. Manufacturing Dominance makes the manufacturers’ case to negotiators in all three capitals: strengthen the most pro-manufacturing trade agreement in history — and use it to take on market-distorting practices from countries outside North America, specifically China.
View and download the NAM’s one-pager assessing the impact and value of U.S. imports of manufacturing inputs from North America — or read the full report.
