On Monday, US President Joe Biden signed an executive order which targets the enhancement of manufacturing in the US and solidifies the federal government’s ‘Buy American rules’, reported CNN.
Before signing the executive order, the President said, “The reason we need to do this is America can’t sit on the sidelines in the race for the future. Our are competitors aren’t waiting. To ensure it’s made in America we need to win not just the jobs of today but the jobs and industries of tomorrow. And we know that the middle class built this country. And we also know unions built the middle class. So let’s invest in them once again. I know we’re ready, despite all we’re facing. I’ve never been more optimistic about the future of America that I am today. Given even just half a chance, the American people, the American workers have never, ever let the country down. Imagine if we give them a full chance. That’s what we’re going to do.”
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According to CNN, prior to the enforcement of the executive order, the federal rules set certain criteria that said that government spending on things like automobiles, infrastructure and other equipment will be limited to goods and services that are produced in the US. However, certain loopholes in the rules like the definition of ‘American Made’, material being used and amount of purchases provided ambiguity. The following changes are expected to happen after the executive order is properly infused into the pre-existing policy:
- Change how domestic content is measured and defined for products to qualify as well as an increase in the required threshold.
- Creation of a senior position at the Office of Management and Budget to closely monitor the process by which contractors can apply for waivers from the Buy American rules, with the goal of reducing the number of waivers granted.
- Creation of a public web portal that will display all waiver applications and direct agencies to proactively connect with small American manufacturers that are often left out of the process.
US President Joe Biden also signed a flurry of executive orders just a few days into his presidency and announced the COVID-19 strategy of response. He signed a total of 10 executive orders on the day of the announcement and has been proactive in running the administration.
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The announcement of the COVID-19 response strategy and the ‘Buy American’ policy were only a few of the numerous promises that were made during the election campaign by the Biden-Harris candidacy.
