Steel and Advanced Manufacturing Competitiveness Act
The Steel and Advanced Manufacturing Competitiveness Act supports the steel and heavy manufacturing sectors by providing financial assistance, procurement preferences, and innovation incentives to counteract global trade disruptions and maintain industrial competitiveness.
Key Provisions
Steel Industry Relief and Investment Grant Program: Offers grants to steel manufacturers affected by foreign tariffs or supply disruptions to stabilize operations, preserve employment, and upgrade production capacity.
Manufacturing Innovation and Modernization Tax Credit: Provides tax credits for investments in equipment, automation, or process upgrades that enhance productivity or reduce reliance on tariff-sensitive inputs.
State Procurement Preference for Domestic Steel and Components: Establishes a procurement preference for domestically produced steel and steel-based products used in public infrastructure projects.
Advanced Manufacturing Export Expansion Initiative: Supports international marketing and logistics services for manufacturers seeking to expand exports in light of shifting global trade conditions.
Industrial Trade Vulnerability Monitoring Board: Creates a board to assess the impact of international trade policies on the manufacturing base and recommend proactive measures.
Model Language
Section 1. Short Title. This Act shall be known and may be cited as the “Steel and Advanced Manufacturing Competitiveness Act.”
Section 2. Purpose. The purpose of this Act is to sustain and strengthen the steel and manufacturing industries by responding to international trade volatility through investment, modernization, and strategic procurement policies.
Section 3. Definitions.
(a) “Eligible manufacturer” means a steel producer or industrial manufacturer operating within the state.
(b) “Trade disruption” means cost increases, lost markets, or input shortages caused by tariffs, quotas, or other trade restrictions.
(c) “Department” means the state agency responsible for commerce or economic development.
Section 4. Steel Industry Relief and Investment Grant Program.
(a) The Department shall establish the Steel Industry Relief and Investment Grant Program.
(b) Grants shall be awarded to eligible manufacturers that demonstrate hardship from trade disruptions.
(c) Allowable uses include: (1) Working capital for tariff-impacted operations; (2) Retention of skilled labor; (3) Capital improvements to enhance efficiency or resilience.
(d) The Department shall develop application and oversight procedures.
Section 5. Manufacturing Innovation and Modernization Tax Credit.
(a) A refundable tax credit shall be made available to eligible manufacturers investing in: (1) Advanced machinery; (2) Industrial automation; (3) Domestic sourcing capability.
(b) The credit shall equal 20% of qualifying investments, up to $1 million per company per year.
Section 6. State Procurement Preference for Domestic Steel and Components.
(a) All state infrastructure and construction contracts shall include a preference for domestically produced steel and manufactured components.
(b) The Department of Finance or equivalent agency shall establish criteria and certification processes.
(c) A waiver may be granted if domestic materials are unavailable or unreasonably priced.
Section 7. Advanced Manufacturing Export Expansion Initiative.
(a) The Department shall create a program to assist manufacturers in expanding international market reach.
(b) Services may include: (1) Export compliance and logistics support; (2) International marketing assistance; (3) Trade mission coordination.
(c) Priority shall be given to firms affected by retaliatory tariffs or loss of market share.
Section 8. Industrial Trade Vulnerability Monitoring Board.
(a) There is hereby established the Industrial Trade Vulnerability Monitoring Board.
(b) The Board shall: (1) Monitor international trade developments affecting manufacturers; (2) Identify sector-specific risks; (3) Recommend policies to improve long-term competitiveness.
(c) The Board shall consist of members appointed by the Governor or executive authority and report annually to the Legislature.
Section 9. Severability. If any provision of this Act is held invalid, such invalidity shall not affect other provisions which can be given effect without the invalid provision.
Section 10. Effective Date. This Act shall take effect on July 1 of the year following its enactment.