What is the state of the industry? How do manufacturers lead in an uncertain world? Where is the manufacturing economy headed? Dive deeper into manufacturers’s priorities for 2025 and beyond  – watch the 2025 NAM State of Manufacturing Address, delivered by Jay Timmons, President and CEO of the National Association of Manufacturers from Armstrong World Industries in Columbus, Ohio.

Special remarks by:

• Erin Streeter, National Association of Manufacturers Executive Vice President
• Austin So, Armstrong World Industries Senior Vice President, General Counsel and Secretary

We extend our gratitude to Franklin County, the Ohio Manufacturers’ Association and Armstrong World Industries for hosting this year’s address.

The 2025 #CompetingToWin Tour

This year’s NAM State of Manufacturing Address officially kicks off the 2025 leg of the Competing to Win Tour. This year, with expiring tax provisions in 2026 looming, the tour will focus on urging policymakers to help empower manufacturers to grow their operations, hire more workers, increase wages, expand facilities and invest for the future.

Other key themes on the agenda:

• Stopping the Regulatory Onslaught
• The Critical Need for Action to Bolster Our Workforce
• Driving Global Competitiveness

VISIT THE COMPETING TO WIN AGENDA

Remarks | #StateofMFG

Remarks for NAM President and CEO Jay Timmons
NAM State of Manufacturing Address
February 18, 2025
Armstrong World Industries
Hilliard, Ohio

Good morning … Good morning!

Thank you, Kathy [Wengel] – for your outstanding leadership on behalf of manufacturers across the United States and for joining us here in Ohio.

Thank you Ryan [Augsburger] and the Ohio Manufacturers’ Association for setting the highest bar for manufacturing advocacy. And thank you Austin [So] and Armstrong World Industries for always answering the call to help advance policies that make the U.S. more competitive.

It is good to be home.

I was born and raised in Chillicothe and Circleville, just a short drive from here. And let me tell you—growing up in Ohio teaches you something about manufacturing.

The manufacturing that happens right here in Ohio is at the core of this country. It’s in the steel that built our bridges, the cars that roll off our assembly lines, the glass, the paper, the chemicals, the semiconductors, the textiles, the machinery—everything that powers the American economy.

Today, Ohio continues to lead the way: from the advanced manufacturing projects taking shape in Jeffersonville by Honda and LG Energy Solution and Anduril in Pickaway County, … to the cutting-edge semiconductor fabs from Intel breaking ground in New Albany, … to other new facilities or headquarters coming online for Amgen, Sherwin Williams and more, … to the hardworking men and women right here at Armstrong World Industries who show up every day to build the future.

Manufacturing isn’t just what we do—it’s who we are.

If you ever need a reminder of why that matters, just listen to the people who make things in America—like the team right here in front of me on this shop floor.

A few weeks ago, we were talking to manufacturers about their futures and the stakes of the year ahead. Brendan Bryant, an electrician at RCO Engineering in Michigan, said it best:

“When manufacturing wins, America wins.”

That’s why we are here today. That’s why we can’t afford to fail—not on taxes, not on regulations, not on energy, not on trade, not on workforce policy.

Because when manufacturers win, we grow the economy. We create opportunities. We power America’s future.

Right now, we are at a defining moment.

A Defining Moment

A new administration is in the White House. A new Congress is seated. This government will define its success by whether it creates more jobs, strengthens manufacturing and unleashes growth.

That’s the expectation. But for manufacturers what happens next really matters—because uncertainty is the enemy of investment.

Manufacturing is a capital-intensive industry. We make decisions months and years in advance. We don’t just plan for the next quarter—we plan for the next 3, 10, even 50 years.

When we build a new facility, it is a generational investment.

When we place orders for inputs, our suppliers expect forecasts not for days—but for months and years.

A new production line isn’t something we install overnight. It takes years of planning, investment and training to bring it online.

And that’s why we need certainty.

We need a clear, actionable, multi-step strategy from our government—one that says: “We want you to invest here, hire here and succeed here.”

Tax Reform

All of that starts with renewing the 2017 tax reforms … NOW.

We all saw what happened when President Trump signed the 2017 tax cuts into law. It was rocket fuel for manufacturing in America and a win for every American worker. New manufacturing jobs—2018 was the best year for manufacturing job creation in the previous 21 years. Higher wages, enhanced benefits. Record-breaking investments in new plants and new technologies.

But now? Key provisions have expired, and others are set to lapse. The rocket is about to run out of fuel. Every day Congress delays because of process and politics, manufacturers face rising uncertainty, delayed investments and fewer jobs.

Here is what we must do.

In today’s economy, manufacturers need tax policies that support investment, innovation and jobs. That means maintaining the 21% corporate rate, the 20% pass-through deduction and the reduced individual rates. We also need tax incentives that help businesses expand—like immediate R&D expensing to drive innovation, enhanced interest deductions so manufacturers can finance growth and full expensing for new equipment and machinery.

As tax reform discussions continue—and they need to move fast—Congress must focus on making the U.S. the best place to manufacture. That means giving businesses long-term certainty so we can plan, invest and grow.

Because the stakes are clear: Failing to renew the 2017 tax reforms, according to a recent NAM and EY study, will cost America 6 million jobs and more than 1.1 million manufacturing jobs. We would suffer a $1.1 trillion hit to our economy. And those numbers don’t even consider the new price pressures from tariffs.

Here in Ohio, the effects would be devasting: 208,000 jobs lost and $18.9 billion in wages wiped out.

Look, that’s not just economic data. That’s the difference between a worker getting a raise or losing a job, between a family affording a home or struggling to get by, between a school getting new resources or facing budget cuts, … between a community thriving or watching entire blocks emptied and in disrepair.

For manufacturers like Armstrong World Industries, tax reform has enabled investment in energy-efficient innovations like their Templok ceiling panels, which help businesses cut energy costs and reduce strain on the grid. Without tax policies that reduce the cost of doing business, companies like Armstrong can’t create jobs here in Ohio.

For small and medium-sized manufacturers, in particular, the stakes are extremely high. Courtney Silver runs Ketchie, a precision machining company in North Carolina. Tax reform meant she could invest in new equipment, expand her opportunities and give her workers raises.

Family-owned Husco, a hydraulic and electromechanical control system manufacturer in Waukesha, Wisconsin, saw tax reform spur reinvestment in innovation, strengthen operations and bolster its workforce. But now, with R&D incentives reduced, the cost of designing customized, proprietary products is rising, making it harder to compete with global competitors and grow here at home.

As those tax provisions expire, it’s not just a business problem. It’s a family problem, a community problem, an American problem.

That’s why Speaker Mike Johnson, Majority Leader Steve Scalise, Ways and Means Chairman Jason Smith and Senate Finance Committee Chairman Mike Crapo stood shoulder-to-shoulder with the NAM last month in the U.S. Capitol to say clearly: the time to act is now.

Regulatory Certainty: Let Manufacturers Build, Grow and Compete

But taxes aren’t the only fight ahead. Next, we must restore regulatory certainty. Right now, manufacturers are spending $350 billion each and every year just to comply with regulations—money that could be spent on expanding factories and production lines, hiring new workers or raising wages.

What manufacturers need is regulatory clarity and consistency. In the first Trump Administration, the NAM worked to streamline regulations. This administration has already hit the brakes on costly, burdensome rules. But we need to move faster—to deliver on our industry’s potential.

That’s especially true when it comes to America’s energy dominance and permitting reform.

Energy Dominance

When we flip a switch, fire up a plant or fuel up a truck, most Americans don’t stop to think about where that power comes from—we just expect it to be there.

And you know what? That’s because the manufacturers who are energy producers make it happen every day.

We build, we innovate and we power the greatest economy the world has ever seen.
Manufacturing doesn’t just use energy—we build the equipment that produces it and create the technologies that make it cleaner, more efficient, more reliable and more affordable.

America should be the undisputed leader in energy production and innovation.

But we will not reach our full potential without permitting reform. For years, manufacturers have been calling attention to America’s broken permitting process. From pipelines to renewable energy; from critical mineral mines to hydroelectric and nuclear power plants; from interstate transmission lines to semiconductor and battery manufacturing fabs, we are seeing opportunities for energy dominance fade in the face of a permitting process that takes 80 percent longer than other major, developed nations.

Eighty percent.

America should never be content taking 10 or 15 years to approve projects that other countries approve in one-fifth of the time. What are we waiting for?

Cutting red tape, requiring federal agencies to make faster decisions and reducing baseless litigation will unleash America’s energy future. We are already working with the administration and Congress and we are confident now is the time to get it done.

In fact, we already made progress when President Trump lifted the liquefied natural gas export ban. But this is just the beginning.

Workforce

Now, … you can have the best policies in the world. But none of it matters without the people who make it all happen.

Over the last year, we have averaged 500,000 open manufacturing jobs in America—good-paying, life-changing careers. And by 2033, we face a shortfall of 1.9 million manufacturing workers.

That’s why we need a real workforce strategy—one that ensures that we have the talent to grow, compete and lead.

We know what works: apprenticeships, hands-on training, private-public partnerships—and making sure people can see the reality of manufacturing careers that make a difference for your family, for your community and for our country—with dignity, ingenuity and pride. That’s how we built the greatest manufacturing workforce in the world and how we’ll build the next generation of creators.

We’ve seen it firsthand. We’ve seen it from people like Joseph Fields – a U.S. Navy vet who found a role at MGX Equipment Services in Houston, Texas, through a career fair sponsored by Heroes MAKE America. Heroes MAKE America is an initiative of the Manufacturing Institute, the NAM’s workforce development and education affiliate, to support military-to-manufacturing opportunities.
Today, Joseph works in Human Resources, encouraging other veterans to try out our programs and find their next career in our industry.

We’ve seen it from people like Bertha Ostiguin, who had come to work in production at H-E-B after being a stay-at-home mom, and had always wanted to go back to school. She took the plunge by enrolling in the FAME apprenticeship program—the manufacturing training program founded by Toyota and operated today by the Manufacturing Institute. She became the first woman from H-E-B to complete the program—and did so at the top of her class.

And right here in Ohio you have a best-in-class workforce champion. The Ohio Manufacturers Association is working to connect businesses with skilled talent, ensuring manufacturers across the Buckeye State can grow and thrive. Ryan and his team’s dedication is helping to strengthen Ohio’s manufacturing workforce for the future.
But there’s a challenge we’re not talking about enough: manufacturers are struggling to fill critical jobs, yet our broken immigration system creates unnecessary barriers to hiring.

We must modernize our immigration policies to meet the demands of a nation that wants to make more in the United States. Because uncertainty in workforce planning is just as damaging as uncertainty in tax, regulatory, energy or permitting policy.

When manufacturers can find and retain the right talent, they can invest more, produce more and compete more effectively.

Trade

A strong manufacturing workforce must be matched with strong trade policies. Building things here only works if we can sell them around the world.

President Trump has made it clear he intends to aggressively use the tariff tool that is in his toolbox.

At the same time, it is important to recognize the reality that manufacturers in the United States have made long-term investments based on the rules that exist today.

Just look at the USMCA—one of President Trump’s signature achievements. It prioritized manufacturers in the United States, secured supply chains and strengthened our industry. It reduced our reliance on China. Today, one-third of critical U.S. manufacturing inputs now come from Canada or Mexico, rather than China. That is a major shift in the right direction, and we need to build on that progress.

If President Trump continues to use tariffs, we need a commonsense policy for manufacturers. A policy that provides manufacturers with the certainty to plan and invest. A policy that respects the investments we’ve made under the rules we were given. And a policy that starts low, ramps up over time and, as a part of a comprehensive strategy, gives manufacturers a clear runway to adjust, invest and expand domestic production and create more jobs here in the United States.

In addition, critical minerals and other inputs that simply cannot be sourced in the U.S. must be tariff-free—so supply chains are not disrupted and manufacturers are not penalized for global dependencies that exist today.

We need more trade agreements that expand market access, protect intellectual property and ensure fair competition—so manufacturers in the U.S. can compete on a level playing field.

Bottom line, that commonsense, comprehensive manufacturing strategy must align our trade policy with tax, regulatory, energy and workforce initiatives—so that manufacturers can plan, grow and succeed. To do otherwise, creates a piecemeal approach that generates uncertainty … and uncertainty kills investment.

If we want to make more in America, manufacturers excel when given the runway to plan and to build.

And when manufacturers have the right policies in place, they don’t make just products—they make progress.

Catch-All

Manufacturers in the United States are building the future—not just in what we make, but in how we make it and the impact we have on the world.

In health care, we’re pioneering life-saving treatments, medicines and breakthrough therapies that are extending and improving lives.

In food and agriculture, we’re developing sustainable ways to nourish the world—from precision farming that reduces waste and conserves water to advanced food production that enhances nutrition and safety.

In energy, we’re making America stronger and more self-reliant—leading innovations in next-generation technologies to keep energy affordable, abundant and cleaner for the future.

In technology, we’re shaping the circular economy, creating smarter, more sustainable materials, and making it easier for everyday consumers to reduce waste, recycle and do their part for the environment.

And as we revolutionize transportation, we’re making the modes of travel more efficient and more connected—ensuring that America leads in mobility, logistics and infrastructure.

At the NAM, we know that change isn’t a far-off vision of the future—it’s already here. And manufacturers have always been at the forefront of innovation.

Artificial intelligence isn’t new to manufacturing. For years, manufacturers have been developing and deploying AI-driven technologies—machine learning, digital twins, predictive maintenance, robotics and more—to make shop floors smarter, supply chains stronger and workplaces safer.

But the conversation around AI is shifting. Helping the public and policymakers understand what the AI-manufacturing future means will define how we harness its full potential.

Because the world isn’t slowing down, and neither can we.

That’s why the NAM is on the ground with manufacturers every day—anticipating challenges, seizing opportunities and making sure our industry speaks with one powerful voice.

Closing: The State of Manufacturing

So, let me conclude where I began.

If you want to know the state of manufacturing in America, I’ll tell you.

Manufacturing in the United States is moving forward.

Like a press at full speed, like a production line firing on all cylinders, like the workers who show up before dawn and leave long after the job is done—manufacturing in the United States is driving us forward.

We have momentum, and we have a government that is moving fast—faster than we’ve seen in years—to make American industry stronger, more competitive and more dominant.

But here’s the thing about momentum: You don’t coast forward—you push.

Here in Ohio, in a place defined by American invention, industry and grit—we know that success doesn’t just happen. It is built.

This is the state that gave us Wilbur and Orville Wright, who didn’t just dream of human flight—they built the machine to make it possible with their own hands.

It’s the state that produced John Glenn, who climbed into a capsule built by American manufacturers and became the first American to orbit the Earth.

It’s the home of Thomas Edison, whose inventions lit up the world—because he never accepted failure as an ending, or “good enough” as an answer.

Just like them, manufacturers don’t wait for permission to make history. We don’t need an invitation to change the world. We go out and make it happen.

And that’s exactly what we will do again—committed to the values of free enterprise, competitiveness, individual liberty and equal opportunity—to compete, to thrive and to win … to Make America Great for Manufacturing Again.

Because when manufacturing succeeds here at home, there is no stopping America.

Thank you for joining us today.