legislative

Miscellaneous Tariff Bill Issue Page

Miscellaneous Tariff Bill (MTB)

NACD works closely with Congress and the administration to ensure trade policies continue to afford American businesses, like chemical distributors, opportunities to continue thriving in today's competitive global economy. One such policy, the Miscellaneous Tariff Bill, serves chemical distributors by ensuring imports that are not competitive with domestically manufactured products arrive duty-free.

Background

MTB plays an important role in the operations of domestic distributors and manufacturers as it corrects, temporarily, historical distortions in the U.S. tariff code by eliminating border tariffs on imported products for which there is no or insufficient domestic production and availability. Such distortions undermine the competitiveness of companies in the U.S. by imposing unnecessary costs and, in some cases, imposing higher costs on companies’ inputs than the competing foreign imported finished product.

The American Manufacturing Competitiveness Act (AMCA), passed in 2016, established a new process for the creation and passage of a Miscellaneous Tariff Bill – a piece of legislation designed to ensure imports without a domestic competitor can be purchased duty-free. As many chemicals have either had their production shift offshore the last several decades or have never been produced domestically, MTB is a crucial tool to ensure necessary inputs are not needlessly expensive. The AMCA authorized an MTB for 2018 and 2020, each lasting two years.

NACD Supports:

  • Retroactive renewal of the MTB beginning January 1, 2021, passed by Congress as soon as possible;
  • Long-term renewal of MTB;
  • Modification of the MTB authorizing language in the American Manufacturing Competitiveness Act of 2016 to allow for future MTBs; and
  • Continued management of the MTB review process by the International Trade Commission.

Latest Action

Though the MTB process has not been seen to be a particularly divisive issue, the program expired December 31, 2020, due to disagreement across the aisle. No language was introduced to reauthorize the program in the 116th Congress. As of January 1, 2021, each day American businesses have been enduring excessive financial burdens due to congressional inaction. Now that the program has expired, a discussion of retroactive renewal is necessary.

 

NACD Resources

 

For further questions about NACD’s Miscellaneous Tariff Bill Issue Page, please contact Nicholas Breslin, Coordinator of Government Affairs at nbreslin@nacd.com.