Strengthening U.S. Competitiveness
Miscellaneous Tariff Bill
SOCMA Issue Summary:
The Miscellaneous Tariff Bill (MTB) is a critical piece of legislation that reduces or suspends tariffs on imported materials not available in the U.S., or not available in sufficient quantities. The bill is relied upon by U.S. manufacturers, particularly small to mid-size companies like many SOCMA manufacturer members, who make essential products that go into everyday goods.
The bill is up for renewal by Congress every three years and expired on December 31, 2020. As a result of the MTB expiration, SOCMA members and manufacturers of all sizes across the country now face higher tariffs on more than 3,000 inputs not otherwise available in the United States.
Business Impact on the Specialty Chemical Industry:
The lapse in MTB has increased the cost of domestic production and decreased global competitiveness for manufacturers in the specialty chemical industry.
SOCMA supports the reauthorization of MTB, with provisions for retroactivity to Jan 1, 2021.The cost-savings achieved by the MTB will allow SOCMA members to maintain competitive operations, retrain workers and reinvest in new facilities.
There are currently no legislative proposals to reinstate the MTB. SOCMA continues to lobby for introduction of a bill that would reinstate MTB with full retroactivity.
- 2021: Supported passage of the United States Innovation and Competition Act, which included the extension of MTB.
- 2021: Supported passage of the America COMPETES Act, which included the extension of MTB.
- 2022: Advocated to House Ways and Means Committee and Senate Finance Committee to urge inclusion of MTB language in the final legislation.
- 2022: Advocated to include MTB in the Fiscal Year 2023 Omnibus.
DISCLAIMER: This document was prepared by the Society of Chemical Manufacturers and Affiliates (SOCMA) and is disseminated for informational and educational purposes only and is not intended as legal advice and does not create any legal relationship or responsibility between SOCMA and user.