New EPA Regulations Threaten ‘Made In The USA’
Randy Wolken, President & CEO

Recently, the EPA has proposed imposing highly restrictive air regulations that would hurt existing manufacturing facilities and jeopardize American manufacturing competitiveness and investments in innovation, including new clean energy manufacturers critical to addressing climate change. Learn more about the EPA regulations.

An analysis of the impacts was conducted by Oxford Economics and commissioned by the National Association of Manufacturers (NAM). The research warns that these new regulations are projected to threaten $162.4 billion to $197.4 billion of economic activity and put over 850,000 to 973,000 current jobs at risk, directly from manufacturing and indirectly from supply chain spending. In addition, growth in restricted areas will likely be constrained, limiting investment and expansion over the coming years. Due to these limited opportunities for expansion or investment, these areas that would be out of EPA compliance could lose out on an additional $138.4 billion in output and 501,000 jobs through 2027.

Other key findings contained in the economic study include:

• The regulations create a total economic exposure of $87.4 billion for manufacturing economic activity, equal to 2.4% of the U.S. manufacturing sector’s gross value added.
• The number of manufacturing jobs associated with this exposed activity is 311,600, or 1.9% of all U.S. manufacturing employment.
• Under the proposed rule, 200 counties could be placed out of attainment.
• California’s manufacturing sector will be most exposed, followed by Michigan and Illinois.
• Manufacturing operations in the U.S. are environmentally cleaner than the global average.

MACNY believes deeply in protecting manufacturers’ ability to invest in developing innovative modern technologies that address air quality, reduce emissions, and protect the environment, while also make it a top priority to protect manufacturing jobs and grow the economy.. NAM shares this approach and has repeatedly demonstrated that they believe in creating an exciting future for manufacturing here in our country.

MACNY supports the goals of greener, cleaner energy. However, reasonable timelines are needed for effective implementation that do not close manufacturers and enhances national and economic security. Also, technology needs to be available in the quantity required for a meaningful transition. Otherwise, we export jobs and manufacturing factories to other countries whose environmental standards are typically much worse than in the U.S.

MACNY supports NAM’s rallying of manufacturers to urge EPA to reconsider its proposal. Also, we are urging Congress to oppose these harmful and currently unattainable regulations. Please get involved by offering to help educate critical federal, state, and local leaders. If you have any questions or would like to learn more about getting involved, contact Matt Geitner, our Director of Government Relations, at [email protected]. We must take action now!