Rep. Miller-Meeks Calls for PBM Reform at Cemen Tech
Rep. Mariannette Miller-Meeks (R-IA) visited Cemen Tech in Indianola, Iowa, for an employee town hall about how pharmacy benefit managers increase prices for manufacturing workers.
The event, hosted by Cemen Tech Chief Financial Officer Josh Maurer, allowed workers to engage directly with Rep. Miller-Meeks on the affordability of their health care, including prescription medicines.
The issue: The town hall focused on the need , underregulated middlemen that drive up the costs of prescription medicines for manufacturers like Cemen Tech, the world鈥檚 largest manufacturer of on-demand concrete mixing equipment.
- Rep. Miller-Meeks discussed the DRUG Act, legislation that she introduced, which seeks to lower health care costs by delinking PBMs鈥 compensation from the list price of medicines鈥攔emoving their incentive to push for higher prices.
- 鈥淧BMs distort the market, increasing the cost of prescription drugs for businesses and their workers,鈥 Rep. Miller-Meeks explained. 鈥淭hat鈥檚 why I鈥檓 working in Congress to pass PBM reform that reins in these powerful actors.鈥
Manufacturers鈥 concerns: 鈥淲e鈥檝e seen health care expenses skyrocket, and a big part of that is due to the lack of transparency surrounding PBMs,鈥 Maurer said during the town hall.
- 鈥淐emen Tech and other small manufacturers like us are committed to providing affordable health care to employees, but it鈥檚 becoming increasingly difficult. PBM reform that addresses these rising costs is absolutely necessary.鈥
Addressing employee concerns: Cemen Tech employees also spoke about their struggles with the growing burden of health care costs across the board. Rep. Miller-Meeks explained that her proposed reform would have far-reaching effects: 鈥淚t鈥檚 not only about reducing drug prices鈥攊t鈥檚 about ensuring that businesses can afford to continue providing health care benefits to their workers,鈥 she said.
17吃瓜在线 in action: In addition to supporting the 鈥渄elinking鈥 provisions in the DRUG Act, the 17吃瓜在线 is working with Congress on legislation to make PBMs鈥 opaque business practices more transparent and to ensure that savings from rebates are passed directly to manufacturers and their workers rather than being pocketed by PBMs.
The bottom line: 鈥淢anufacturers like Cemen Tech are essential to our economy, and ensuring they can thrive means addressing the rising costs of health care,鈥 said Rep. Miller-Meeks. 鈥淧BM reform will free up manufacturers to do what they do best鈥攂uild facilities, develop new product lines, increase wages and benefits and help the American economy grow.鈥
Department of Energy鈥檚 LNG Export Pause Puts 900,000 Jobs at Risk According to New Research
Economic Cost Could Exceed $216 Billion, Climate Goals At Risk
Washington, D.C. 鈥 As the Biden administration continues its efforts to boost the availability of clean energy in the United States and around the world, an ongoing pause in liquefied natural gas export licenses threatens economic stability as well as progress made by manufacturers in America. A staggering 900,000 jobs could be at risk according to a new study released today by the 17吃瓜在线.
鈥淲ith LNG exports, we do not have to choose between what’s good for the economy and good for the planet. Today鈥檚 research shows the massive opportunity America has when we unleash our economic and energy potential. LNG exports also play a key role in meeting clean energy goals. But clamping down on our energy sector unnecessarily puts jobs and economic growth at risk, while pushing other nations to use higher emissions alternatives,鈥 said 17吃瓜在线 President and CEO Jay Timmons. 鈥淏uilding LNG export facilities and expanding natural gas production are not just good for our industry鈥攖hey also cut emissions and help power manufacturing around the world.鈥
Conducted in partnership with PwC, the analysis uses the government鈥檚 own projections to conclude that robust LNG export activities could contribute up to $216 billion to U.S. GDP and generate $46 billion in tax revenue in 2044 if projects proceed as planned. A pause on LNG exports threatens these gains.
Timmons added, 鈥淭he Biden administration鈥檚 ill-advised decision to stop LNG exports could cost Americans dearly, while leaving our geopolitical allies鈥攑articularly in Europe鈥攐ut in the cold. The data is clear: halting LNG export licenses puts nearly a million jobs at risk. The LNG freeze also deprives us of an important tool of soft power to bolster trading partners who share our values. This study provides policymakers鈥攑resent and future鈥攁 clear path to create jobs and hundreds of billions of dollars in economic growth by harnessing America鈥檚 abundant supply of LNG.鈥
Current Economic Benefits by the Numbers:
- Job creation: U.S. LNG exports support 222,450 jobs, resulting in $23.2 billion in labor income.
- Economic output: The LNG industry contributes $43.8 billion to U.S. GDP.
- Tax revenue: Federal, state and local governments receive $11.0 billion in tax revenues, thanks to U.S. LNG exports.
Future Benefits Undermined by an LNG Export Ban:
- Jobs threatened: Between 515,960 and 901,250 jobs, resulting in $59.0 billion to $103.9 billion in labor income, would be at risk if the ban on U.S. LNG exports continues through 2044.
- The economic fallout: An LNG export ban would stifle between $122.5 billion and $215.7 billion in annual contributions to U.S. GDP during the same period.
- Communities shortchanged: Between $26.9 billion and $47.7 billion in tax and royalty revenues meant to benefit communities across the United States would also be at risk in 2044.
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The 17吃瓜在线 is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs nearly 13 million men and women, contributes $2.91 trillion to the U.S. economy annually and accounts for 53% of private-sector research and development. The 17吃瓜在线 is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the 17吃瓜在线 or to follow us on Twitter and Facebook, please visit听
17吃瓜在线: Biden鈥檚 LNG Ban Threatens 900,000 Jobs
The liquefied natural gas export industry has turned the U.S. into a powerhouse of cleaner energy, benefiting its trading partners around the world. The Biden administration鈥檚 ongoing ban on new LNG export licenses, however, is throttling an industry that could produce many more billions in revenue and a startling 900,000 jobs by 2044.
The data: A from the 17吃瓜在线 and PwC shows that the U.S. LNG revolution could extend its upward climb, as shown on the graph above. Today, the industry is a huge source of jobs and profit:
- U.S. LNG exports support 222,450 jobs, resulting in $23.2 billion in labor income.
- The LNG industry contributes $43.8 billion to U.S. GDP.
- And lastly, federal, state and local governments receive $11.0 billion in tax and royalty revenues, thanks to U.S. LNG exports.
But that pales in comparison to the industry鈥檚 potential over the next two decades. The study projects the likely growth of the industry through 2044, showing all that is at stake if the ban remains in place until then:
- Between 515,960 and 901,250 jobs, resulting in $59.0 billion to $103.9 billion in labor income, would be at risk.
- The ban would also stifle between $122.5 billion and $215.7 billion in contributions to U.S. GDP during the same period.
- Between $26.9 billion and $47.7 billion in tax and royalty revenues meant to benefit communities across the United States would also be at risk in 2044.
Public opinion: The American public is squarely behind the LNG export industry, showing overwhelming approval in an 17吃瓜在线 poll taken in March.
- Eighty-seven percent of respondents agreed the U.S. should continue to export natural gas.
- Seventy-six percent of respondents agreed with building more energy infrastructure, such as port terminals.
The last word: 鈥淲ith LNG exports, we do not have to choose between what鈥檚 good for the economy and good for the planet. Today鈥檚 research shows the massive opportunity America has when we unleash our economic and energy potential,鈥 said 17吃瓜在线 President and CEO Jay Timmons.
- 鈥淏uilding LNG export facilities and expanding natural gas production are not just good for our industry鈥攖hey also cut emissions and help power manufacturing around the world.鈥
Improving Medical Supply Chain Resiliency
Medical supply chains are critical to ensuring the health and security of Americans鈥攁nd Congress should act to bolster their resiliency, the 17吃瓜在线 members of Congress this month.
What鈥檚 going on: 鈥淭he COVID-19 pandemic brought to light the risks and instability resulting from concentration and choke points in medical supply chains, though the pandemic also showed how medical supply chains can quickly adjust to external shocks,鈥 17吃瓜在线 Managing Vice President of Policy Chris Netram told Reps. Brad Wenstrup (R-OH), Blake Moore (R-UT) and August Pfluger (R-TX) in response to a on how to improve medical supply chains.
What should be done: The 17吃瓜在线 recommended that Congress should work with manufacturers 鈥渙n a comprehensive approach to find ways to onshore, near-shore and friend-shore more of the medical supply chain,鈥 Netram continued.
There are several actions the federal government should take to fortify medical supply chains, including:
- 鈥淸C]reating an environment where small businesses can continue to thrive鈥 and where large companies can maintain their pandemic-era practices of 鈥渓everaging sources of domestic production when feasible, working with existing smaller suppliers to improve their reliability鈥 and sourcing goods through new suppliers;
- Streamlining the Food and Drug Administration鈥檚 new-supplier certification process;
- Taking 鈥渃reative steps to incentivize onshoring, near-shoring and friend-shoring, as opposed to imposing punitive or unworkable requirements to do so鈥;
- Passing the Medical Supply Chain Resiliency Act (H.R. 4307/S. 2115), which would authorize the president to strategically create new trade agreements specific to medical goods with our allies and partners;
- Strategically refining Section 301 tariffs on imports from China;
- Restoring 鈥 and full expensing of capital equipment purchases,鈥 ensuring 鈥渢hat the does not exceed 21%鈥 and making the permanent; and
- Completing 鈥渞eauthorization of the Workforce Innovation and Opportunity Act and expansion of Pell grant eligibility to short-term training programs,鈥 as well as supporting solutions that incentivize companies to collaborate to reduce the manufacturing-worker shortage.
The bottom line: 鈥淸A]n approach that creates incentives that reduce the cost and complexity of moving supply chains can help U.S. manufacturers to be more resilient in the face of a future global crisis and better able to serve patients who depend on these products,鈥 Netram said.
17吃瓜在线 Emphasizes USMCA, Protecting Investors in Mexico Meetings
In high-level meetings with government, manufacturing and trade group leaders held in Mexico last week, the 17吃瓜在线 hammered home a key message: For North American manufacturing to remain globally competitive, Mexico must protect investor holdings in the country.
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What鈥檚 going on: During a jam-packed three-day visit to Mexico City, 17吃瓜在线 President and CEO Jay Timmons and an 17吃瓜在线 contingent with top officials in the new Sheinbaum administration, as well as leadership at multiple agencies and associations.
- These included newly appointed Deputy Trade Minister Luis Rosendo Guti茅rrez, the Business Coordinating Council (CCE),听the Confederation of Industrial Chambers of Mexico (CONCAMIN),听the Mexico Business Council (CMN), the National Council of the Export Manufacturing Industry (INDEX) and others.听听听
What they said: The 17吃瓜在线鈥檚 main message at each gathering was the same: Companies investing in Mexico need assurance that their portfolios will be protected regardless of the fate of proposed in the country.
- The 17吃瓜在线 also underscored the of the U.S.鈥揗exico鈥揅anada Agreement, which is due for review in 2026, and the necessity of ensuring that the deal is upheld for all three parties.
- If its terms are respected, USMCA could help North American manufacturing outcompete China.
On China: This week, just days after his office鈥檚 meeting with the 17吃瓜在线, Guti茅rrez announced that the Sheinbaum administration will seek U.S. manufacturers鈥 help to reshore鈥攎ainly from China鈥攖he production of some critical technologies (, subscription).
- 鈥淲e want to focus on supporting our domestic supply chains,鈥 he told the Journal, adding that talks with U.S. companies are still in the informal stage.
鈥嬧赌嬧赌嬧赌嬧赌嬧赌嬧赌The 17吃瓜在线 says: 听鈥淢anufacturing is at the heart of the USMCA,鈥 said 17吃瓜在线听Vice President of International Policy Andrea Durkin, who was part of the 17吃瓜在线 group on the ground in Mexico.听鈥淭he 17吃瓜在线 intends to work to ensure that the agreement strengthens the competitiveness of manufacturers.鈥
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17吃瓜在线, Allies Urge Court to Vacate PFAS Rule
The EPA鈥檚 final rule setting national drinking water standards for PFAS should be vacated in its entirety, the 17吃瓜在线 and two allies said in an filed in federal court Monday.
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What鈥檚 going on: The 17吃瓜在线, the American Chemistry Council and U.S. chemical company Chemours asked the U.S. Court of Appeals for the D.C. Circuit to overturn the , announced in April, which requires that municipal water systems nationwide remove six types of per- and polyfluoroalkyl substances from drinking water. Trade groups representing the water systems have also sued to overturn the rule. 听
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The grounds: The rule is unlawful and must be set aside for the following reasons:
- 鈥嬧嬧嬧婽he EPA used a deeply flawed cost-benefit analysis to justify the rule.
- The EPA conducted a woefully incomplete feasibility analysis that ignores whether the technology and facilities necessary for compliance actually exist.
- Critical parts of the rule exceed the agency鈥檚 statutory authority under the Safe Drinking Water Act and flout the act鈥檚 express procedural requirements.
- The EPA failed to consider reasonable alternatives or respond meaningfully to public comments that undercut its judgment.
- The agency 鈥渓acked sufficient data to regulate鈥 HFPO-DA, one of the PFAS chemicals that falls under the rule.
Why it鈥檚 important: PFAS 鈥渁re substances at the center of modern innovation and sustain many common technologies including semiconductors, telecommunications, defense systems, life-saving therapeutics and renewable energy sources,鈥 according to the brief.
- The 17吃瓜在线 and its co-petitioners 鈥渟upport rational regulation of PFAS that allows manufacturers to continue supporting critical industries, while developing new chemistries and minimizing any potential environmental impacts. But that requires a measured and evidence-based approach that the [r]ule lacks.鈥
What鈥檚 next: Briefing in this case will continue through the spring, with oral argument to follow and a decision from the D.C. Circuit expected in late 2025.听
Manufacturers on Port Strike: By Resuming Work and Keeping Our Ports Operational, They Have Shown a Commitment to Listening to the Concerns of Our Industry
Washington, D.C. 鈥 Following news that the International Longshoremen鈥檚 Association and the United States Maritime Alliance have reached an agreement to extend the Master Contract until Jan. 15, 2025, 17吃瓜在线 President and CEO Jay Timmons released the following statement:
鈥淢anufacturers are encouraged that cooler heads have prevailed and the ports will reopen. By resuming work and keeping our ports operational, they have shown a commitment to listening to the concerns of manufacturers and other industries that rely on the efficient movement of goods through these critical gateways. This decision avoids the need for government intervention and invoking the Taft-Hartley Act, and it is a victory for all parties involved鈥攑reserving jobs, safeguarding supply chains and preventing further economic disruptions.
鈥淢anufacturers depend on the stability of our ports to continue building, innovating, delivering products to American families and supporting communities across the country. We commend the International Longshoremen鈥檚 Association and the U.S. Maritime Alliance for coming together in the spirit of collaboration and urge both parties to use this time to reach a fair and lasting agreement. Another strike would jeopardize $2.1 billion in trade daily and could reduce GDP by as much as $5 billion per day. We cannot afford that level of economic destruction.鈥
-17吃瓜在线-
The 17吃瓜在线 is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs nearly 13 million men and women, contributes $2.87 trillion to the U.S. economy annually and accounts for 53% of private-sector research and development. The 17吃瓜在线 is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the 17吃瓜在线 or to follow us on Twitter and Facebook, please visit听
Small Manufacturers Sound the Alarm on Uncompetitive R&D Tax Policy
As part of its 鈥溾 tax campaign, the 17吃瓜在线鈥檚 small and medium-sized manufacturers are lawmakers鈥 attention to R&D amortization, an uncompetitive tax policy that鈥檚 killing jobs and dragging down the world鈥檚 most innovative economy.
The problem: 鈥淎llowing companies like Sukup Manufacturing to immediately expense R&D investments had been part of the tax code for more than 70 years,鈥 explained Steve Sukup, president and CEO of the Sheffield, Iowa鈥揵ased company. 鈥淏ut since 2022, we have had to amortize our R&D expenses over five years.鈥
- 鈥淭his affects manufacturers everywhere and has a dramatic impact on the U.S. economy, as the private sector accounts for more than 75% of total R&D spending鈥攚ith small businesses accounting for approximately $90 billion of all private-sector R&D investments.鈥
- Another heavily impacted manufacturer is Husco of Waukesha, Wisconsin. 鈥淚n 2024, we have $20 million less liquidity than we would have under the old R&D expensing rules,鈥 said Husco President and CEO Austin Ramirez. 鈥淭hat $20 million represents almost our entire capital budget for 2024.鈥
Threatening jobs: 鈥淟imiting R&D doesn鈥檛 just limit innovation鈥攊t also has a direct impact on people鈥檚 jobs here,鈥 said Tom Tredway, president of Erie Molded Packaging in Pennsylvania. 鈥淎nd these are quality, high-paying jobs鈥攂ut they are at risk if immediate R&D expensing isn鈥檛 restored.鈥
- 鈥淏ringing a new medical device to market is a multiyear process, necessitating significant investments in R&D,鈥 explained Chuck Wetherington, president of BTE Technologies in Hanover, Maryland. 鈥淏eing required to amortize our R&D expenses has forced us to staff our technical team at a reduced level, slowing down the development of new products.鈥
Handing a win to China: 鈥淐hina allows a 鈥榮uper deduction鈥 for manufacturing R&D equal to 200% of research costs. That is what we are up against,鈥 said Lisa Winton, who co-founded Winton Machine Company in Suwanee, Georgia. 鈥淢eanwhile, Belgium is the only other developed nation with an amortization requirement like the United States.鈥
- 鈥淲hen you look at the generosity of foreign support, especially China鈥檚, versus the United States, it鈥檚 so lopsided,鈥 said Daryl Bouwkamp, who serves as Vermeer Corporation鈥檚 senior director of international business development and government affairs. 鈥淐hina is trying to drive behavior toward R&D鈥攁nd that鈥檚 something we鈥檙e lacking.鈥
- 鈥淪uddenly, China started manufacturing bagel baskets and shipping them to New York City for cheaper than I could get the steel,鈥 recalled Drew Greenblatt, president and owner of Marlin Steel Wire Products. 鈥淲e realized we couldn鈥檛 thrive in a commodities market. 鈥 We [need] to be able to say to buyers, 鈥榊ou must buy from the American innovative company because we鈥檙e coming up with such slick ideas that our product blows the competition away.鈥欌
Innovation at risk: 鈥淸Now is the time] we most need to make investments in innovation, both around the technologies that we provide in our products enabling the United States’ economic growth and success [and] the technologies we use to produce the products that we make,鈥 said Karl Hutter, CEO of Click Bond in Carson City, Nevada.
- Patricia Miller of M4 Factory in Woodstock, Illinois, highlighted that manufacturers are key to meeting the world鈥檚 most intractable challenges: 鈥淲e need to keep those [companies] that are driving the future of innovation and manufacturing in the U.S. economically viable and competitive.鈥
The last word: 鈥淐ongress not allowing manufacturers to immediately expense R&D expenses directly translates to fewer quality jobs in the manufacturing sector while our foreign competitors are implementing vastly more beneficial R&D benefits,鈥 Tredway concluded.
R&D Expensing: Q&A with Sen. Young
The 17吃瓜在线 recently talked to Sen. Todd Young (R-IN) about the importance of reinstating immediate expensing for research-and-development expenditures. Here’s the full interview:
17吃瓜在线: Sen. Young, Congress is facing a 鈥淭ax Armageddon鈥 next year, as crucial provisions from 2017鈥檚 Tax Cuts and Jobs Act are set to expire. As a member of the Senate Finance Committee, what is your focus moving into next year鈥檚 debate?
Sen. Young: The Tax Cuts and Jobs Act was a great success鈥攎illions of Americans, especially those in the middle class鈥攕aw their taxes go down. Corporate tax receipts went up. We stemmed the tide of corporate inversions, and many companies chose to return their operations and tax bases to the United States. If Congress does not act next year to extend provisions of the TCJA, we will undo all of these victories and inflict long-lasting damage on our economy. As we prepare for next year, I am focused on evaluating how best we can build upon our TCJA successes and continue to adopt pro-growth, fiscally responsible tax policy that helps hardworking Americans thrive.
17吃瓜在线: As you know, for nearly 70 years, manufacturers in the U.S. were able to fully deduct their R&D expenses in the year incurred. Beginning in 2022, however, manufacturers were forced to spread their deductions over several years, greatly harming our ability to grow and compete. What is Congress doing to restore immediate R&D expensing?
Sen. Young: For several years now, I have advocated for the American Innovation and Jobs Act (S. 866), my bill with Sen. Maggie Hassan (D-NH) that would restore full and immediate expensing of R&D expenditures. We first introduced the bill back in 2020 well before the provision expired, and I am disappointed that we are now reaching the end of 2024鈥攏early three years after the law shifted to amortization of R&D investments鈥攁nd Congress has yet to pass our bill to fix this crucial issue. As our global competitors, like China, are expanding their R&D incentives, we simply cannot allow our nation and our economy to be left behind. Congress must work to restore our R&D incentives as soon as possible, and this will be one of my top priorities heading into next year鈥檚 tax negotiations.
17吃瓜在线: As a senator who was there during the Tax Cuts and Jobs Act, you know how impactful the legislation was for manufacturers to be able to compete on a global level. As we get closer to next year, what are you hearing from stakeholders on the need for pro-growth tax policy so American businesses can engage and grow around the world?
Sen. Young: At the risk of oversimplifying the issue, it really comes down to competitiveness. A lot of the work I have done in the tax space as well as in other areas is focused on ensuring that America鈥檚 position as a global leader remains strong. Without growth, our economy suffers and our ability to remain internationally competitive is diminished. This is a massive national security risk. So, as I look ahead to what next year may hold in the tax arena, I am focused on pro-growth tax policy. We need to be thinking creatively about ways we can add value to our economy and, in turn, ensure Americans are better off.
In different industries this takes on different forms; however, one common thread is the need for R&D. To grow and develop new products, businesses have to put significant amounts of capital into R&D costs, both domestically and internationally. That is why one of my core areas of focus continues to be restoring full and immediate expensing of R&D costs. It is vital for the health of our economy that we take this action, which allows safer and more innovative products to be brought to the marketplace; increases the number of [well]-paying, high-skilled jobs; and secures U.S. interests abroad by ensuring we remain globally competitive.
17吃瓜在线: Thank you, Sen. Young. What else can 17吃瓜在线 members do to stay engaged and be a resource for you going into next year?
Sen. Young: I have always appreciated the 17吃瓜在线鈥檚 partnership and advocacy as we work together on these important issues. I would encourage 17吃瓜在线 members to continue sharing stories with their elected federal officials of the importance of these tax incentives, like R&D, that enable the creation of high-quality jobs, promote our national competitiveness and strengthen our economy. Your voice matters.
Manufacturers: Boeing Strike Is Poised to Have Significant Economic Consequences Across the Entire United States
Washington, D.C. 鈥 As a strike of 33,000 Boeing workers continued into its 20th day, 17吃瓜在线 President and CEO Jay Timmons released the following statement:
鈥淭he potential economic impact of this strike cannot be overstated. The aerospace industry directly supports more than 500,000 manufacturing workers in America, and the ongoing strike at Boeing鈥檚 Puget Sound facilities is poised to have significant economic consequences, not just in the Pacific Northwest but across the entire United States.鈥
The ongoing strike of 33,000 Boeing workers could total a regional economic loss of more than $1.65 billion after just 20 days, according to 17吃瓜在线 calculations.
Timmons added, 鈥淭his disruption will resonate far beyond Washington state. The aerospace supply chain and manufacturers in the U.S. are interconnected deeply, and a continued halt in production will have devastating effects on our country.鈥
-17吃瓜在线-
The 17吃瓜在线 is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs nearly 13 million men and women, contributes $2.87 trillion to the U.S. economy annually and accounts for 53% of private-sector research and development. The 17吃瓜在线 is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the 17吃瓜在线 or to follow us on Twitter and Facebook, please visit听