PUBLIC POLICY


Concerns vary by a firm’s size The concerns small and large


manufacturers have about the poli- cies Trump introduced differ. “Trump campaigned for tax


reform; small manufacturers will want the Trump administration to work for changes in the tax code that benefit S corps as well as C corps,” Gold said. “Trump also campaigned for a rewrite of NAFTA and a moratorium on free trade treaties; manufacturers with global markets want to ensure that they continue to have access to their overseas markets, and that foreign barriers are not erected for their exports.” Trump’s comments regarding


consequences for companies shift- ing operations outside the US are something manufacturers will be watching closely, he noted. Manufacturers open plants in


“If the United States wishes


Stephen Ezell, VP for global innovation policy at the Information Technology and Inovation Foundation, is encouraging policymakers to implement robust, proac- tive, and coordinated public policies that support America’s manufacturing sector. He spoke at an event ITIF held last year in the US Senate to release a report called A Policymaker’s Guide to US Manufacturing.


other countries for a variety of reasons, but the most com- mon is for the purpose of serving an overseas market, Gold said. The same occurs when foreign manufacturers open plants in the US in order to serve the American market. “If the new administration wants to encourage manu-


facturers to remain in the country, it should work with Congress to develop incentives to create a more competi- tive environment for manufacturing business in the US,” he said.


Some of the policies Trump spoke about would benefit the manufacturing sector, he said. Trump recognized the need for regulatory reform, to


encourage more innovation and job creation in the sector, Gold said. “Small manufacturers are disproportionately affected by bureaucratic red tape. [Trump] has also ex- pressed a real interest in modifying the tax code, including reduced rates for both C and S corps and simplification. Manufacturers would welcome both of these initiatives.”


‘Proactive’ public policies sought Stephen Ezell at ITIF noted many nations are implement- ing smart manufacturing strategies and making investments to ensure their manufacturing enterprises are positioned to take advantage of the smart-manufacturing revolution.


30


to remain a leading smart-manu- facturing economy, policymakers must implement robust, proactive, and coordinated public policies that support America’s manu- facturing sector and its ability to leverage smart-manufacturing techniques,” he said. Smart manufacturing could, the ITIF said, reduce the advan- tages low-wage nations have in the manufacturing industry in favor of higher-cost nations like the US, but only if policymakers act. Recognizing the importance of smart manufacturing to their industrial future, several countries have launched policies and pro- grams to support R&D, and de- ployment of related technologies, ITIF said, noting that those nations include China, Germany, Korea, Sweden and the UK.


“To ensure America’s continuing leadership in smart


manufacturing,” ITIF in December urged Congress to: đƫ Pass the Small Business R&D Act; đƫ Reform the Workforce Investment Act system; đƫ Pass the Energy Modernization Act; đƫ Pass the Manufacturing Universities Act; đƫ Pass the National Fab Lab Network Act; đƫ Allocate funding to build out the Manufacturing USA network;


đƫ Provide a stronger tax incentive for investment in ma- chinery and equipment;


đƫ Expand the development and use of standards-based, nationally portable, industry-recognized certifications designed for specific manufacturing sectors;


đƫ Boost support for vocational-education programs at community colleges;


đƫ Fund R&D into underlying technological challenges relevant to the Internet of Things;


đƫ Fund the National Strategic Computing Initiative and federal high-performance computing initiatives; and


đƫ Support trade agreements that preclude partner na- tions from imposing barriers to cross-border data flows.


đƫ Maintaining the Ex-Im Bank and increasing its funding authorizations.


March 2017


Photo courtesy of Ezel


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51  |  Page 52  |  Page 53  |  Page 54  |  Page 55  |  Page 56  |  Page 57  |  Page 58  |  Page 59  |  Page 60  |  Page 61  |  Page 62  |  Page 63  |  Page 64