Rounds, Graham, Capito Introduce Legislation to Move PPE Supply Chain From China to the United States
WASHINGTON – U.S. Sens. Mike Rounds (R-S.D.), Lindsey Graham (R-S.C.) and Shelley Moore Capito (R-W.Va.) introduced the U.S. MADE Act of 2020 to decrease U.S. dependence on countries like China for critical Personal Protective Equipment (PPE) for our health care providers.
“It has become clear that the U.S. cannot and should not rely on our adversaries like China to supply critical medical equipment such as PPE,” said Rounds. “With COVID-19 continuing to put a strain on our hospitals and clinics, access to PPE—especially for medical staff—is incredibly important. Our legislation seeks to provide opportunities for American businesses to make PPE materials here at home so we can stop relying on China for masks, shields and respirators.”
Given the uncertainty over future market conditions, American companies have been reluctant to make long-term investments in domestic PPE production. With the spread of coronavirus, the inability of the United States to be self-sufficient with our supply of PPE has shown itself to be a national security issue. Just as the United States does not rely on China to supply military uniforms or equipment, we must not rely on them to supply critical PPE.
Items declared national priorities by the U.S. MADE Act include:
- Testing swabs
- Surgical and respirator masks
- Face shields
- Surgical and isolation gowns
- Sanitizing and disinfecting wipes
- Gauzes and bandages
- Privacy curtains, beds, and bedding
The U.S. MADE Act of 2020 is modeled after the Berry Amendment and outlines PPE acquisition requirements for the Strategic National Stockpile. The legislation also establishes an investment credit for qualifying PPE manufacturing projects. Modeled after the 48C Advanced Manufacturing Tax Credit, eligible U.S. manufacturers will receive a thirty percent credit against equipment costs associated with PPE manufacturing.
South Dakota is home to two facilities owned by 3M, the nation’s leading manufacturer of N-95 respirators.
Earlier this week, an industry coalition representing the full spectrum of domestic personal protective equipment (PPE) production released a statement outlining policy principles and objectives needed for reshoring and safeguarding domestic PPE manufacturing. A copy of their joint statement in support of reshoring and safeguarding the domestic production of PPE is available here.