WASHINGTON – Today, at a U.S. Senate Committee on Small Business and Entrepreneurship hearing, Chair Joni Ernst (R-Iowa) discussed how Congress can continue to fuel the manufacturing boom across America by reigniting investment in small manufacturers.

Ernst highlighted that small manufacturers are the key to the great American industrial comeback because they make up 98% of all manufacturing firms in the United States.

Watch Chair Ernst’s remarks here.

Ernst’s full remarks:

“I am excited to hold this hearing to discuss opportunities to reignite investment in small American manufacturers and ensure our industrial future is built right here, at home.

“America is and has always been a nation of builders — men and women who roll up their sleeves, put in a hard day’s work, and take pride not just in what they make, but what it means for their families, their communities, and their country. That entrepreneurial spirit is in our DNA.

“For far too long, Washington looked the other way as factories and farms shut down and the jobs that once sustained many U.S. families were shipped overseas.

“Despite the importance of domestic industrial production to our national security, production of critical goods was off shored to foreign countries.

“In doing so, we’ve made ourselves dependent on an international supply chains offering fast, mass-produced goods — mostly coming from China.

“This came at a cost. Not just economic, but strategic.

“In January of this year, the U.S. recorded a $29.7 billion trade deficit with China —we’ve been massively reliant on our chief adversary for the goods and services we consume.

“Today, the manufacturing sector comprises only 10.1 percent of America’s gross domestic product, a figure trailing most other industrialized nations.

“We’ve left ourselves economically beholden to the rest of the world and hollowed out our industrial core that once employed millions of Americans.

“We cannot accept that status quo.

“I believe in a great American comeback, one driven by the world’s most talented workforce and a new era of domestic manufacturing ensuring this nation’s economic security.

“We can make ‘Made in America’ the norm instead of the exception.

“Thanks to President Trump’s leadership, we are already seeing the early signs of a manufacturing revival and industrial boom in Iowa and all across the country.

“No group is more eager to lead this charge than small manufacturers, who make up 98 percent of all manufacturing firms in the United States.

They are ready to build, ready to grow, and they want to do it here – in the United States.

“But Washington needs to do its part.

“It’s time Congress acts to ensure that the federal government does not stand in the way of small manufacturers.

“We must empower them by providing them the tools they need to generate new jobs – to rebuild and fortify American supply chain stability, and to reduce our reliance on other countries, including adversaries.

“However, breaking ground on new manufacturing facilities or upgrading existing ones is a major investment.

“In many cases, these projects require long-term financing options, which can be particularly difficult for small businesses to access.

“That is why I was proud to introduce the Made in America Manufacturing Finance Act, along with another member of this Committee, Senator Coons.

“This bipartisan legislation would double the SBA-backed loan limit from $5 million to $10 million for small manufacturers.

“By allowing manufacturers to access greater capital my legislation encourages small manufacturers to invest in their operations and support the training and expansion of our manufacturing workforce.

“This is about leveling the playing field for American manufacturers on the world stage. It is a straightforward, commonsense, and bipartisan solution to unlock the potential small manufacturers have to secure our national and economic security.

“I am also interested in how we can leverage another SBA program—the Small Business Investment Company (SBIC) to support small manufacturers.

“This program supports the flow of private capital to small businesses across the country.

“I am grateful that we’re joined today by Mr. Mickelson, from Iowa, and Mr. Geis, from Missouri, who invest in small businesses across the heartland through the SBIC program.

“I look forward to hearing from all our witnesses about how we can best align SBA programs and private investment to spark America’s next industrial boom.

“The independence, prosperity, and security of our next generation depends on it.

“Thanks to our witnesses for being here today and I look forward to your testimony.”

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