Coalition of employers expresses concerns with NJ ‘Buy American’ Bills
TRENTON – A dozen leading business organizations, representing employers of all sizes and sectors, sent a letter to New Jersey state lawmakers in opposition to two “Buy American” bills (A.3059 and S.1811) that threaten to raise costs for taxpayers and make the Garden State less economically competitive. Here are excerpts from the letter:
“As organizations representing small and large companies across industry sectors, we are committed to promoting fair cross-border trade and investment policies. We respectfully urge state legislators to oppose A.3059/S.1811, legislation that would significantly undermine New Jersey workers trying to compete in a global marketplace by expanding domestic content requirements for procured manufactured goods. These new procurement requirements will also increase costs for taxpayers, jeopardize additional investments and expansions in the state, and place an unrealistic administrative burden on state and local procurement officials.”
“These concerns exist because A. 3059/S.1811 would substantially alter longstanding state procurement requirements. All state agencies, municipalities, local boards of education, and public institutions of higher education could only buy products that are manufactured domestically, and only if at least 50 percent of the final product’s components (by cost) are also manufactured in the United States.”
“The result would be reduced marketplace competition and potential hikes in project costs by 20 percent, which New Jersey taxpayers will be forced to pay.”
“There is no guarantee that Buy American policy will lead to local job creation. The employers we represent fear the reverse will happen, damaging New Jersey’s reputation as a state ready to compete in the 21st Century economy.”
Representatives from the Associated Equipment Distributors, the Association of Equipment Manufacturers, the Commerce and Industry Association of New Jersey, the Consumer Electronics Association, the National Foreign Trade Council, the New Jersey Business & Industry Association, the New Jersey Chamber of Commerce, the Organization for International Investment, TechAmerica, the Trans-Atlantic Business Council, the Truck and Engine Manufacturers Association, and the U.S. Chamber of Commerce sent the letter to New Jersey lawmakers on Thursday in conjunction with an Assembly Budget Committee hearing on the bill.
Copies of the letter can be found here.