Moolenaar, Long introduce bill to eliminate Superfund excise taxes on battery components

U.S. Reps. John Moolenaar (R-MI) and Billy Long (R-MO) on Dec. 9 introduced legislation that would eliminate lead oxide, antimony, and sulfuric acid as taxable chemicals under the Superfund excise taxes established under a newly signed law. 

The Superfund fee established in the Infrastructure Investment and Jobs Act makes American manufacturing less competitive by imposing a tax on chemicals used in domestic battery production that is not levied on imported batteries, according to the text of the USA Batteries Act, H.R. 6230, which is sponsored by U.S. Rep. Dan Meuser (R-PA).

“Whenever Washington raises taxes such as this, our competitors rejoice, while Americans suffer,” Rep. Long said. “I am co-sponsoring the USA Batteries Act because the Superfund chemical tax hurts small businesses and negatively impacts a wide range of industries. We should not be handing our competitors a victory at the expense of American citizens.”

Lead batteries are used in vehicles, telecommunications, defense, and energy generation and as a sustainable energy source, according to the bill’s text, which adds that the nation’s lead battery industry employs 25,000 Americans across 38 states with an annual economic impact of $23.6 billion.

“Repealing this tax on battery manufacturing will foster innovation and help American manufacturers compete around the world,” said Rep. Moolenaar, also an original cosponsor of the bill. “I hope Congress will quickly pass this legislation and repeal this tax on American battery manufacturing, especially at a time when our country needs more secure supply chains and more American manufacturing.”

H.R. 6230 received endorsement from the Battery Council International and is under consideration in the U.S. House Ways and Means Committee.

“At a time when small businesses are reeling from supply chain disruptions, labor shortages and higher prices, this new and unnecessary tax would be detrimental to the industry,” said Rep. Meuser. “Repealing this tax ensures this industry can continue to thrive without facing stiffened competition from foreign producers who have a competitive advantage because they aren’t subject to the tax.”