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![Page 1: Wire Association International’s Interwire Trade Exposition The Importance of Manufacturers’ Involvement In Washington May 7, 2007 Patrick J. Cleary, Senior.](https://reader036.fdocuments.us/reader036/viewer/2022062517/56649f135503460f94c27bc2/html5/thumbnails/1.jpg)
Wire Association Wire Association International’sInternational’s
Interwire Trade ExpositionInterwire Trade Exposition
The Importance of Manufacturers’ The Importance of Manufacturers’ Involvement In WashingtonInvolvement In Washington
May 7, 2007May 7, 2007
Patrick J. Cleary,Patrick J. Cleary,Senior Vice President, Senior Vice President, Communications, NAMCommunications, NAM
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Manufacturing Manufacturing Strengths:Strengths:
12% of 12% of GGross ross DDomestic omestic PProductroduct
●80% >Retail
●62% >
●150% >
Construction, Mining and Agriculture
Transportation and Utilities
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Standing alone, it is:Standing alone, it is:
The world’s 8The world’s 8thth largest economy largest economy
Larger than the economies of:Larger than the economies of:
-Spain
-Canada
■Equal to Mexico and India combined
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Manufacturing is responsible for nearly Manufacturing is responsible for nearly two-thirds (62%) of all U.S. exports of goods two-thirds (62%) of all U.S. exports of goods and services.and services.
Manufacturing is responsible for Manufacturing is responsible for three fifthsthree fifths of all industrial R & Dof all industrial R & D
Manufacturing is responsible for Manufacturing is responsible for 90%90% of all of all patents.patents.
-Agriculture: $60billion/yearly
-Manufacturing: $60billion/monthly
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Manufacturing employs Manufacturing employs 14 million 14 million peoplepeople
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U.S. is Leader in Manufacturing
5
4
29
9
9
21
24
0 10 20 30 40
USA
Japan
China
Germany
France
Korea
Rest of theWorld
Share of Worldwide Manufacturing
%
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Manufacturing ChallengesManufacturing Challenges
1.Reduce the cost of doing business
2. Level the playing field
3. A tax system that encourages innovation and investment
4. A workforce ready for the 21st CenturyWorkplace
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1. Reduce The Cost Of Doing 1. Reduce The Cost Of Doing BusinessBusiness
-31.7% Cost disadvantages vs. Our trading partners/competitors
-Non-Wage Costs
-Doesn’t include cost of Workplace Regulations
-Highest Pollution Abatement Costs in the World
-2nd Highest Corporate Tax Rate in the World
-Highest Natural Gas Prices in the World
-Highest Tort Costs in the World
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Energy CostsEnergy Costs
Supply/Demand:Supply/Demand:
--Natural Gas: 420 Trillion Cubic FeetNatural Gas: 420 Trillion Cubic Feet
-Coal: Exceeds World’s Oil Resources-Coal: Exceeds World’s Oil Resources
-ANWR-ANWR
-Nuclear-Nuclear
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Tort CostsTort Costs
-2% of GDP-2% of GDP
-Larger than the economies of: -Larger than the economies of: Hong Kong Hong Kong HungaryHungaryVietnam Vietnam VenezuelaVenezuelaPortugalPortugal PeruPeruAlgeria Algeria IsraelIsraelRomaniaRomania IrelandIrelandCzech RepublicCzech Republic MoroccoMoroccoDenmarkDenmark NigeriaNigeriaChileChile KazakhstanKazakhstanNorwayNorway SingaporeSingaporeFinlandFinland BelarusBelarus…………..and 173 others..and 173 others
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2. Level Playing Field2. Level Playing Field
Vis a vis China, this means:Vis a vis China, this means:
-No currency manipulation-Respect for intellectual property-No illegal subsidies
-Compliance with all WTO rules
■ ■ More Free Trade More Free Trade AgreementsAgreements
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3. Tax System That 3. Tax System That Encourages Innovation & Encourages Innovation &
InvestmentInvestment
-Make Tax Cuts Permanent-Make Tax Cuts Permanent
-R&D Tax Credit-R&D Tax Credit
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4. A Ready Workforce4. A Ready WorkforceChart 1: Engineering Degrees
0
70,000
140,000
210,000
1985 1990 1995 2000
Number of first university degrees
China
Japan
Korea
United States
Source: National Science Foundation
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Chart 2: U.S. Graduate Degrees in Mathematics, Engineering and Physical & Computer Sciences
46%
28%
54%
72%
0%
25%
50%
75%
100%
1983 2001
Share
U.S. Citizens
Non-US Citizens
Source: National Science Foundation
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SolutionsSolutions
Lean Not Spoken Here
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SolutionsSolutions
Take ActionTake Action
Prosperity ProjectProsperity Project
www.nam.org/P2www.nam.org/P2
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SolutionsSolutions
Take ActionTake Action
Tell your story:Tell your story:
Health CareHealth Care
EnergyEnergy
TaxesTaxes
Compliance CostsCompliance Costs
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SolutionsSolutions
1. Reduce Cost of doing business1. Reduce Cost of doing businessTaxesTaxesRegulationsRegulationsLegal CostsLegal CostsEnergyEnergy
2. Level Playing Field:2. Level Playing Field:Open New MarketsOpen New Markets
3. “Which is More Important?”3. “Which is More Important?”4. Stand Out of Our Light4. Stand Out of Our Light
[email protected]/202.637.3124 [email protected]/202.637.3124 www.ShopFloor.orgwww.ShopFloor.org
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““Just because you do not take an interest in Just because you do not take an interest in politics doesn’t mean politics won’t take an politics doesn’t mean politics won’t take an interest in you.”interest in you.”
-Pericles-Pericles ““The penalty that good men pay for not being The penalty that good men pay for not being
interested in politics is to be governed by men interested in politics is to be governed by men worse than themselves.”worse than themselves.”
-Plato-Plato
[email protected]/[email protected]/202.637.3124www.ShopFloor.orgwww.ShopFloor.org