President Barack Obama signed legislation into law on Friday that was based on a bill introduced by U.S. Sen. Rob Portman (R-OH) to boost the competitiveness of U.S. manufacturing.
The American Manufacturing Competitiveness Act, S. 998, amends the Miscellaneous Tariff Bill (MTB) to make the tariff relief process simpler and more accessible to manufacturers that need to import product inputs.
Under the reformed process, manufacturers can apply directly for consideration of tariff relief. The purpose is to retain transparency while making tariff relief more available and eliminating an MTB logjam caused by an earmark moratorium.
“My priority in the Senate is creating more Ohio jobs with better wages and benefits,” Portman said. “This new law achieves these goals by cutting unnecessary and anticompetitive taxes for Ohio manufacturers and their workers, helping them to do their jobs and grow our economy.”
Products that qualify for miscellaneous tariff relief are often specialized chemicals or fibers required to produce high-tech finished goods. Allowing manufacturers to access these inputs tariff free avoids them from relocating jobs overseas.
“This law is a victory for American manufacturers, consumers and workers,” U.S. Rep. Kevin Brady (R-TX), the chairman of the House Ways and Means Committee, said. “When the new process is in place soon, it will be easier for our companies to compete in the global market and create new jobs at home. The Ways and Means Committee will continue to propose more pro-growth legislation that will grow our economy and help the American people.”