U.S. Rep. Ron Kind, member of the tax-writing House Ways and Means Committee, today visited City Brewery in La Cross to roll out legislation that encourages American manufacturing by lowering the effective tax rate for domestic manufacturers to 20 percent. Kind's bill is supported by City Brewery as well as several western Wisconsin manufacturers that stand to benefit from the legislation.
"Investing in American manufacturing is critical to remaining competitive in a global economy," said Rep. Kind. "Reducing the effective tax rate gives our manufacturers greater opportunity to succeed globally. It will help them keep facilities in the Unites States, produce American goods, hire American workers, and continue to grow and innovate. This is a commonsense investment in America's future."
According to the Bureau of Labor Statistics, approximately 1.9 million workers are employed by domestic manufacturers. The manufacturing industry provides stable jobs and on average, provides wages that are above the national average and offers a gateway to the middle class.
"Manufacturing is the backbone of Wisconsin's economy," said Kurt Bauer, President and CEO Wisconsin Manufacturers & Commerce. "We applaud Congressman Kind's efforts to make Wisconsin manufacturers more competitive in a global economy."
Congressman Kind's bill, H.R. 5795, places a high priority on supporting these stable jobs and sustainable wages in the American manufacturing industry. Movement on comprehensive tax reform must remove barriers to growth and simplify the tax code but it must also increase U.S. competitiveness, boost economic growth, and foster the creation of sustainable American jobs. The Rebuilding American Manufacturing Act does this by creating a new section of the tax code that provides a significantly lower tax rate for domestic manufacturers, providing important benefits to firms that are investing and hiring here in the United States. These firms can then use the savings to continue investments in innovation and growth.
"In an increasingly competitive global economy, manufacturers like City Brewery need support to expand operations and hire here at home in the United States," said George Parke, CEO City Brewing Company. "Congressman Kind's bill provides precisely that support and creates future opportunities for growth and success."
"We commend Congressman Kind for his efforts to help U.S.-based manufacturing, such as Ingersoll Rand's Trane facility in La Crosse," said Brad Tacheny, General Manager, La Crosse Operations, Trane. "We look forward to working with him on this and other legislation to make American manufacturing more competitive."
"Today, U.S. domestic manufactures are the most productive in the world," said Mike Bedessem, CFO Organic Valley. "Lower tax rates on this activity will help increase our competiveness as a center of world class manufacturing."
"Since our founding in the 1930s, Ocean Spray has been proud to support our country's economy by manufacturing our products in America," said Fran Podvin, Chairman of the Board, Ocean Spray Cranberries, Inc. "With the passage of this bill, Ocean Spray can continue to invest in -- and create jobs at -- our manufacturing facility in Tomah, Wis. We strongly support efforts to facilitate the needed investments in the rural communities supported by the U.S. cranberry industry and related agriculture industries and commend Representative Kind for his efforts to stimulate U.S. jobs and manufacturing."
"If America wishes to compete for manufacturing jobs in an increasingly competitive global marketplace, then it must present a compelling case to businesses that are considering where they will locate their operations," said Cindy Brown of Chippewa Valley Bean Co. "This Act helps level the playing field where taxes are concerned, putting us in a better position to bring good-paying manufacturing jobs back to our shores. It's not only needed for the health of American manufacturing and the American economy -- it's long overdue."