Orders, Not Subsidies: The Blueprint to Reviving American Manufacturing

As we navigate the complexities of the global economy, the conversation around American manufacturing has reached a critical juncture. Merrow is a diversified USA based manufacturer, and we see a pivotal opportunity for the federal government to catalyze a resurgence in domestic production. The key to unlocking this potential isn't through subsidies but through targeted federal procurement of American-made products, specific investments in automation, and a deliberate coordinated effort to prioritize technical and sustainable production. This approach, we believe, is the cornerstone for revitalizing the U.S. defense industrial base and broader manufacturing sector.

The Primary Argument: It's Orders, Not Subsidies

The crux of our argument is straightforward: Federal procurement policies that prioritize American-made products can ignite a powerful cycle of investment, innovation, and growth in domestic manufacturing. This strategy doesn't just inject capital into the economy; it sends a clear signal to the market, encouraging private investment in sectors deemed critical for our national interest.

For those who argue that a great capitalist country demand the Brands and Retailers come to the table first (or at all) - STOP - it won't happen. Ask yourself, would the supply chain for Road Building survive without the Federal and State Governments paying for roads and hiring local companies to build them? Not a chance - The Government's dollars spent in the USA are the most efficient use of that money, even if the cost of procurement on a unit basis doubles or more.

Immediate Investment in the Defense Industrial Base

The defense industrial base, a cornerstone of our national security and economic vitality, urgently requires reinvestment. By directing federal orders towards domestically produced goods and aligning these orders with specific investments in automation, we not only secure our supply chains but also bolster our defense capabilities with cutting-edge technology and materials produced within our borders.

Unleashing Manufacturing - JOBS // INVESTMENT // COMPETITION

For America to assert itself as a dominant manufacturing force and a more committed exporter, it must substantially increase its domestic production capabilities. This renaissance requires the establishment of a new Economic Development Council with the authority to orchestrate a unified federal effort towards bolstering our manufacturing sector. Such an initiative would mark the most significant mobilization of manufacturing and production since World War II, leveraging federal financing and purchase agreements to stimulate growth and innovation.

Strategic Focus Areas

• Revitalizing Key Industries: To reclaim our stance in critical industries the U.S. government must utilize financing and federal procurement strategies to drive production and innovation.
• Investing in the Future: The administration's recent acts, such as the Inflation Reduction Act and the CHIPS and Science Act, have already laid groundwork by investing in future technologies. Expanding these efforts across more sectors is vital.
• Addressing the Trade Deficit: Establishing a council to study and address the trade deficit through strategic investments and partnerships could transform the U.S. into the world’s leading manufacturing powerhouse.

Congressional Support: Essential for Sustainable Growth

Legislative action, including tax incentives for reshoring and penalties for offshoring, alongside increased funding for manufacturing support programs, will be crucial. These measures, coupled with a strong focus on federal procurement of American-made goods, will ensure a sustainable, competitive manufacturing ecosystem.

A Call for Economic Patriotism, Strategic Investments and NOT the adoption of an Isolationist Trade Strategy

The narrative of American manufacturing needs a new chapter, one where federal procurement of domestic products plays a starring role. This approach not only makes economic sense but also aligns with a broader vision of national security and prosperity. As a nation, our commitment to "Make in America" must transcend rhetoric, manifesting in concrete policies that prioritize the purchase of American-made goods with public dollars. This is not a call for isolationism but a strategy for economic resilience and global competitiveness. By fostering a robust manufacturing sector, we can ensure a future where American innovation, production, and employment thrive on the global stage.

Let's not wait for the next crisis to reveal the vulnerabilities in our supply chain or defense capabilities. The time for action is now, with orders, not subsidies, leading the charge towards a reinvigorated American manufacturing sector.