Manufacturers Agree: Enforceable Trade Agreements Are the Answer
Washington, D.C. – Following President Trump’s proclamation adjusting imports of processed critical minerals and semiconductors—two foundational inputs for manufacturing—National Association of Manufacturers President and CEO Jay Timmons issued the following statement:
“Yesterday’s moves build on the president’s long-standing commitment to expanding manufacturing capacity in the United States and represent a meaningful step toward strengthening the critical mineral supply chains that underpin our economic and national security. We appreciate the administration for clearly recognizing that the United States’ lack of domestic processing capacity is a central vulnerability. Outdated permitting laws and procedures are constraining our ability to mine and process domestic resources, modernize infrastructure, advance research and development, shore up supply chains and enhance American competitiveness.
“Manufacturers depend on secure, sustainable supply chains for critical minerals to make everything from defense technology and energy transmission to transportation systems, automotive parts and vehicles and a wide array of advanced industrial and consumer products made here in America.
“Beyond their ubiquity in defense technology, industrial and consumer vehicles and electronics, semiconductors are also critical components in manufacturing machinery and equipment. The decision to work to secure access to critical semiconductor inputs used to build out U.S. supply chains—such as semiconductors used in automotive applications, factory robotics and industrial machinery—sends a clear signal to manufacturers and will encourage further domestic manufacturing investment.
“Last year, the NAM asked Secretary of Commerce Howard Lutnick and U.S. Trade Representative Jamieson Greer to pursue new, enforceable agreements that lock in preferential access to critical mineral inputs as we work to reduce overreliance on China and rebalance critical input sourcing. We are encouraged by the administration’s commitment to pursue these trade deals aggressively.
“Manufacturers believe that innovative critical mineral trade agreements present a powerful opportunity to secure preferential access with trusted allied partners that have complementary assets, production capabilities and expertise. These agreements can also be used to unlock beneficial investment terms to leverage co-financing and pooled capital arrangements as well as support long-term offtake agreements that strengthen supply chain certainty. By deepening strategic partnerships with our allies, the U.S. can reduce vulnerability to geopolitical risks and address unfair trading practices.
“We will continue to work with Congress and the administration to support a robust and competitive U.S. critical minerals industry—durable trade deals coupled with permitting reform to unlock domestic resources and processing—so manufacturers of all sizes have reliable access to the materials needed to produce innovative, next-generation products and to grow, compete and create jobs.”
-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 $2.90 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.
733 10th St. NW, Suite 700 • Washington, DC 20001 • (202) 637-3000