SOTU Analysis: Creating jobs by strengthening manufacturing

In his address to the nation last night, President Obama laid out his plan for a retooled American economy that works for everyone. He made clear that a competitive, innovative manufacturing sector will be a critical building block of that economy, saying “this blueprint begins with American manufacturing.”

This is a vision certainly shared by Senator Coons.

In the last two years, American manufacturing has grown at its fastest rate in decades, adding 334,000 new jobs since January 2010. We added 23,000 manufacturing jobs in December alone.

“We have a huge opportunity, at this moment, to bring manufacturing back — but we have to seize it,” President Obama said.

The question is what to do to harness that momentum in hopes of facilitating a manufacturing renaissance in this country.

In his address and accompanying strategy, President Obama proposed a series of initiatives designed to harness the momentum the manufacturing sector is already experiencing. Chief among them are incentives for American companies to bring their manufacturing jobs back to the United States.

“If you’re an American manufacturer, you should get a bigger tax cut,” President Obama said. “If you’re a high-tech manufacturer, we should double the tax deduction you get for making products here.  And if you want to relocate in a community that was hit hard when a factory left town, you should get help financing a new plant, equipment, or training for new workers.”

President Obama also called for the Research and Development Tax Credit to be expanded and made permanent – something Senator Coons strongly supports and has introduced legislation to do.

Senator Coons has met with manufacturers across Delaware and turned their ideas into legislative action, building bipartisan support for new tax credits to support local manufacturers and ensure quality  products are “Made in America, Manufactured in Delaware.”

Click here to read more about Chris’ ideas for promoting job creation.