The National Association of Manufacturers released its Outlook Survey for its 2023 second quarter, reporting growing concerns over federal regulations that could slow manufacturing growth.
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The key findings were:
- Only 67% of manufacturers are positive about their own company’s outlook, down from 74.7% in the first quarter.
- If the regulatory burden on manufacturers decreased, 65% of manufacturers would purchase more capital equipment, and more than 46% would increase compensation.
- More than 63% of manufacturers report spending more than 2,000 hours per year complying with federal regulations.
- 75.1% of manufacturers say it would be helpful if Congress were to enact comprehensive permitting reform, simplifying and speeding up the approval process for new projects.
- The top challenges facing manufacturers include attracting and retaining a quality workforce (74.4%), weaker domestic economy (55.7%), rising health care/insurance costs (53.1%), unfavorable business climate (52.1%), increased raw material costs (50.8%) and supply chain challenges (44.9%).
“Congress and the administration have taken bold steps to support manufacturing in the United States,” said Jay Timmons, NAM president and CEO. “But the positive effects of tax reform, the Bipartisan Infrastructure Law and the CHIPS and Science Act are being undermined by the growing regulatory burden.”
