Ernst on Revitalizing Manufacturing in the Heartland
“Reclaiming our ability to make things in America starts with small businesses.”
WASHINGTON – Today, Chair Joni Ernst (R-Iowa) welcomed Small Business Administration (SBA) Administrator Kelly Loeffler to a U.S. Senate Committee on Small Business and Entrepreneurship hearing to continue their “Made in America” initiative fueling the great American manufacturing comeback.
Watch Chair Ernst’s remarks here.
Ernst’s full remarks:
“We are here today to discuss how the Small Business Administration (SBA) can expand and support investment in our nation’s small manufacturers.
“Last week, the Committee examined how the Small Business Investment Company (SBIC) program could help channel more private capital into American manufacturing.
“To better understand the urgency of this situation, we need to take a closer look at the numbers. And let me tell you folks, this is staggering.
“Over the past 40 years, we did not simply lose manufacturing jobs. We witnessed the steady erosion of our industrial sector to China’s delight and advantage.
“Only 3.7 percent of Americans are employed in manufacturing today – half the share we had forty years ago, and barely a third of our peak in the late ‘60s.
“To put that in perspective, there are nearly twice as many people working in state and local governments than on the factory floor.
“This is not simply an economic decline – it is a hollowing out.
“The steady loss of skills, infrastructure, and investment in manufacturing undermines our ability to innovate and scale new technologies, leaving our homeland weakened and vulnerable.
“Today, the consequences are visible in every corner of America.
“Shuttered plants, decaying factories, and empty parking lots stand as monuments to the multi-generational disintegration of hard-earned knowledge, talent, and tradition that once formed the bedrock of our nation.
“But here is the good news: we have a President and SBA Administrator who understand what is at stake.
“They recognize the size and complexity of the work needed to revitalize American manufacturing and are committed to rebuilding our industrial strength, from the ground up.
“As we discussed during last week’s hearing, the SBIC program will continue to play its vital role in expanding our productive capacity by facilitating private investment and through federal partnerships like that between the SBA and the Department of Defense’s newly established Office of Strategic Capital – something I championed in the annual defense bill.
“But that is only the beginning; we must do more.
“Today, we welcome Administrator Loeffler to discuss the SBA’s ‘Made in America Manufacturing Initiative’ and the efforts underway to support the small businesses that make up 98 percent of our nation’s manufacturing base.
“Part of that effort involves the Made in America Manufacturing Finance Act, which I was proud to introduce last month alongside Senator Coons.
“This bipartisan legislation would double the SBA-backed loan limit from $5 million to $10 million for small manufacturers who need that capital to modernize, grow, and train the next generation of American workers.
“That investment will have a meaningful impact across the entire supply chain. Because the smallest startups to the largest firms all rely on small manufacturers to get the job done.
“Revitalizing our industrial base and reclaiming our ability to make things in America starts with small businesses. We must ensure that cutting edge innovation and high-speed, high-quality production happens right here, at home – not overseas.
“If we are serious about competing with and beating China, creating good-paying jobs, and restoring economic resilience, we must empower our small manufacturers to lead the way.
“This bipartisan legislation takes a bold step in that direction.
“I am grateful that we’re joined today by Administrator Loeffler, and I look forward to hearing from her how Congress can better equip the SBA to invest in the industrial revitalization of America.”
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