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U.S. Manufacturing Advocate Discusses Regulatory Needs to Compete with China

During a recent event, the leader of a U.S. manufacturing advocate group outlined necessary changes to manufacturing regulations to help the United States gain an edge over China in producing affordable and high-quality products.

Chris Jahn, CEO of the American Chemical Council (ACC), shared his insights at the Daily Caller Live: American Innovation & Manufacturing Renaissance event on Tuesday. He emphasized the critical role of chemistry in America’s manufacturing success.

Jahn mentioned that the entire manufacturing sector relies on chemistry, stating it takes about 500 specialized chemistries to produce one computer chip. He also pointed out that while there have been substantial investments in the U.S., the current permitting and regulatory environment isn’t keeping pace. Large foreign companies are increasingly seeking more favorable conditions, making it harder to get swift approval for new molecules.

He noted that while the Trump administration dealt with a complicated regulatory framework, the system still necessitates accountability. According to Jahn, the delays in the Environmental Protection Agency’s (EPA) reviews aren’t purely due to inactivity.

Jahn criticized the EPA for testing chemicals in a generic manner rather than tailoring the tests to the specific situations in which those chemicals are utilized. He pointed to some bills currently in Congress aimed at tackling these issues and expressed cautious optimism about the policy direction, despite an impending deadline at the end of September.

When asked about the impact of effective policy in the next five years, Jahn conveyed that good policies could significantly close the gap between the U.S. and China, noting that China is the world’s largest producer of chemicals and plastics.

He also stressed the need for the U.S. to apply lessons learned from the COVID-19 pandemic, citing how the shutdowns highlighted vulnerabilities in the supply chain and restricted access to foreign-produced items.

“If we can reverse this trend, it could help us build a more resilient manufacturing supply chain within the United States, which would, in turn, lower costs for everyone,” Jahn remarked. “That’s what we’re aiming for.”