17吃瓜在线, GOP: Manufacturers and Families Need Pro-Growth Tax Measures听
More than just the manufacturing sector depends on the preservation of key provisions from the 2017 Tax Cuts and Jobs Act. In fact, the health of the entire U.S. economy relies on it.
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What鈥檚 going on: The 17吃瓜在线, members of congressional leadership, the chairs of the House Ways and Means and Senate Finance Committees and manufacturing leaders came together at a Capitol Hill yesterday to announce the release of a new 17吃瓜在线 , which found that the American economy will face significant headwinds if Congress does not preserve pro-manufacturing tax policies. Specifically:
- Almost 6 million jobs will be put at risk;
- Approximately $540 billion in employee wages will be lost; and
- U.S. GDP will be reduced by $1.1 trillion.
A record of success: 鈥淲e鈥檙e here today because we know what happens when policies empower manufacturers and their workers, and we know what happens when they don鈥檛,鈥 said 17吃瓜在线 President and CEO Jay Timmons, who was joined at the event by Johnson & Johnson Executive Vice President and Chief Technical Operations & Risk Officer and 17吃瓜在线 Board Chair Kathy Wengel, as well as leadership from Miles Fiberglass & Composites, Ketchie, Armstrong Industries, Smurfit Westrock, RCO Engineering and RCO Aerospace and Winton Machine Company. 鈥淲hen Congress passed and President Trump signed the Tax Cuts and Jobs Act law in 2017, it really wasn鈥檛 a victory just for manufacturers; it was a victory for the entire country.鈥
- Timmons mentioned the record job, wage and investment growth that followed tax reform鈥檚 passage, as well as the economic security achieved by families across the country.听听
Too much at stake: 鈥淣ow, as we know, the progress we鈥檝e made is at stake,鈥 Timmons continued. 鈥淎nd that鈥檚 why today we鈥檙e launching a landmark new study by the 17吃瓜在线, together with EY, and rolling out a major ad campaign that quantifies what鈥檚 at stake for the American economy 鈥 if pro-manufacturing provisions 鈥 are allowed to expire.鈥 听
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People first: Courtney Silver, president and owner of North Carolina鈥揵ased precision machining company Ketchie and immediate past chair of the 17吃瓜在线鈥檚 Small and Medium Manufacturers Group, knows firsthand the devastation that can be wrought on a family-owned business when pro-growth tax provisions start expiring.
- 鈥淲hen the Tax Cuts and Jobs Act delivered for us, we invested in equipment, we invested in technology and most importantly, we invested in our people,鈥 she told those at the press conference, adding that because of the reforms, Ketchie was able to give its entire workforce pay raises and quarterly bonuses in the years following tax reform鈥檚 enactment.
- 鈥淲hen [pro-growth policies] started expiring, it impacted Ketchie in a big way,鈥 Silver went on. 鈥淭hese losses made it harder for us to do the work that matters to us. I have an empty spot on my shop floor held for a significant investment that the expiration of full expensing has made too costly to purchase.鈥
鈥淐ongress cannot delay鈥: 鈥淔ailing to extend the pro-manufacturing tax policies Congress and President Trump provided in 2017 will destroy America鈥檚 competitive edge,鈥 House Ways and Means Committee Chairman Jason Smith (R-MO) said.听鈥淭his study underscores the need to extend the Trump tax cuts this year as quickly as possible. Congress cannot delay.鈥
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Competitive edge: Tax reform gave the U.S. back its competitive edge, and to ensure we keep it, we need to reinstate expired provisions and prevent the expiration of measures due to end this year, House Majority Leader Steve Scalise (R-LA) said.
- Before tax reform, 鈥渨e were getting our clocks cleaned by foreign countries because we had a 35% corporate [tax] rate, and the world average was 23%,鈥 he said. 鈥淲hen you [asked], 鈥楬ow do we make America competitive again?鈥 everybody that works, everybody that creates jobs in America, said, 鈥楬ow about we get competitive in the tax code so we don鈥檛 lose jobs to foreign countries?鈥欌
- Scalise added that congressional Republicans have a 鈥渧ery aggressive鈥 timeline for restoring these tax provisions.
Strong economy, strong country: Senate Finance Committee Chairman (R-ID), whose remarks closed out the press conference, said 鈥減iling taxes upon taxes upon taxes鈥 is no way to build a resilient, successful economy.
- 鈥淭he way to make us strong is to build a strong, powerful economy, which we get with sensible, pro-growth tax reforms,鈥 he concluded.