Bipartisan, Bicameral Legislation to Prevent Supply Chain Disruptions, Protect American Producers & Pocketbooks, Set to Pass in End of Year Package

Final package builds on Cantwell-Blackburn and Bucshon-Blunt Rochester Bills to Support American Manufacturing

U.S. manufacturing sector contributes $2.65 trillion to the U.S. economy, employs nearly 13 million American workers & accounts for 10.3% of nation's GDP

U.S. Sens. Maria Cantwell (D-Wash.) and Marsha Blackburn (R-Tenn.), and Reps. Larry Bucshon (R-Ind.) and Lisa Blunt Rochester (D-Del.), secured a package of provisions based on the bipartisan Promoting Resilient Supply Chains Act in the must-pass Continuing Resolution. The package authorizes the U.S. Department of Commerce to strengthen American supply chains for critical industries and emerging technologies by working with the private sector and other U.S. government partners to anticipate and prevent future supply chain disruptions before they happen. In the process, it will also identify opportunities to grow manufacturing capacity and jobs, and reduce costs for American consumers.

"Strengthening our supply chains is essential to ensuring that critical goods remain accessible and affordable," Sen. Cantwell said. "And we need strong, secure supply chains to keep our country competitive in the global race for emerging technologies. This bill will strengthen American manufacturing jobs, keep our store shelves stocked and lower costs for American families."

Sens. Cantwell and Blackburn introduced the Promoting Resilient Supply Chains Act (S. 4375) in May 2024. The House companion legislation, introduced by Reps. Bucshon and Blunt Rochester (H.R. 6571), overwhelmingly passed the House the same month.

"Strengthening supply chains is essential to ensuring that groceries, fuel, household products, and every other consumer product is accessible and affordable," said Sen. Blackburn. "To achieve a strong, resilient, supply chain, we must have a coordinated, national strategy that decreases dependence on our adversaries, like Communist China, and leverages American ingenuity. By establishing a supply chain resiliency program at the Department of Commerce, the U.S. government can better coordinate with private sector partners, identify risks, and increase our competitiveness. The provisions included from the Promoting Resilient Supply Chains Act leverages both quantum computing and artificial intelligence to predict and mitigate supply chain shocks, ensuring that technology is at the forefront of our national supply chain strategy."

"The past few years have revealed significant weaknesses in the supply chains that Americans depend on, affecting everything from manufacturers and healthcare providers to our warfighters. Now more than ever, we must support American business seeking to diversify their supply chains and reduce reliance on unstable or adversarial trading partners such as China," said Dr. Bucshon. "The inclusion of key provisions from The Promoting Resilient Supply Chains Act will help bolster our economy by enabling us to proactively address potential disruptions and respond effectively when they arise."

"Strong, functional, and secure supply chains are critical not just to our businesses and workers, but to our national security. I am thrilled that provisions from our bipartisan Promoting Resilient Supply Chains Act, legislation I championed alongside Dr. Bucshon in the House, is set to pass in the end of year package and be on its way to President Biden's desk for his signature," said Rep. Blunt Rochester, a member of the House Energy and Commerce Committee. "The pandemic exposed the need for us to shore up our supply chains, and in the years since, I've heard directly from Delawareans about how shortages of critical goods have impacted them, their families, and their businesses. It's why I've been laser-focused on building bipartisan and bicameral support for this legislation, so we can put a national strategy in place to anticipate shocks before they occur, ultimately creating more good-paying jobs and lowering costs for consumers in Delaware and across our nation."

Geopolitical conflicts, natural disasters and the pandemic have highlighted the fragility of supply chains. These events can cause significant delays and shortages, impacting everything from consumer goods to critical medical supplies and driving up the costs of consumer goods. The U.S. is heavily reliant on single countries for critical supply chain segments, including manufacturing components, critical minerals, and active pharmaceutical ingredients (APIs). This concentration poses a significant risk of disruption. Most U.S. companies currently lack full visibility into their supply chains, with estimates suggesting that more than 90 percent do not have complete transparency throughout their entire supply chain.

The Promoting Resilient Supply Chains Act: Section-by-Section

• Charges the Department of Commerce's Assistant Secretary for Industry and Analysis with promoting the stability and resilience of critical supply chains.
• Creates a new government-wide "Supply Chain Resilience Working Group," led by the Assistant Secretary, to prepare for and respond to supply chain shocks by mapping, monitoring and modeling U.S. supply chains for critical industries and emerging technologies in consultation with the private sector. The Group will identify any gaps or vulnerabilities for critical goods, including any gaps in manufacturing, warehousing, transportation and distribution.
• Requires the Assistant Secretary to evaluate the impact supply chain shocks could have on market stability and the current state of the U.S. manufacturing workforce and needs. The initiative will identify opportunities to build manufacturing capacity in critical industries and emerging technology, and to create high-quality American jobs.
• Requires ongoing reporting to inform Congress and the public, including a "National Strategy and Review" on critical supply chain resiliency and U.S. manufacturing" that identifies critical and emerging technologies, industries, and supply chains.