As manufacturers continue to lead America’s economic recovery, they’re doing so in the face of a real—and avoidable—challenge. Because Congress has failed to act, manufacturers in the United States have been operating without a Miscellaneous Tariff Bill since January, which has led to higher prices, greater difficulty in competing with businesses overseas and harm to American workers.
The context: The MTB temporarily eliminates tariffs on imported materials that are either not made in the United States at all or are not available in sufficient quantities. It boosts American competitiveness and ensures that U.S.-made products are competitive with products manufactured outside of the country.
Typically, the MTB is reauthorized every few years. In 2018, Congress unanimously passed the Miscellaneous Tariff Bill Act of 2018, which reauthorized the MTB through 2020. Unfortunately, the bill expired at the end of last year, and Congress has failed to act, leaving manufacturers in the United States paying extra taxes of $1.3 million per day on vital products that are not available in this country.
What’s happening now: While the Senate passed MTB legislation in June 2021 as part of the U.S. Innovation and Competition Act , the House still needs to act. If the House doesn’t pass bipartisan MTB legislation soon, manufacturers, their workers and their communities will continue to face unnecessary additional costs—as both Dow and Element Electronics have.