Thursday March 21st, 2024

Cortez Masto, Blackburn, Capito, Manchin, Tillis Lead Bipartisan Legislation to Support American Titanium Industry, Workers, and National Security

Washington, D.C. – Today, U.S. Senator Catherine Cortez Masto (D-Nev.) led a bipartisan group of Senate colleagues including Senator Marsha Blackburn (R-Tenn.), Shelley Moore Capito (R-W.Va.), Joe Manchin (D-W.Va.), and Thom Tillis (R-N.C.) in introducing the Securing America’s Titanium Manufacturing Act to support America’s titanium supply chain and promote investment in the U.S. defense industrial base.

Currently, the U.S. titanium industry imports 100% of its titanium sponge, a product which is made into titanium metals and alloys. Those materials are critical components of military fighter aircraft, submarines, satellites, and many other defense technologies. Almost 90% percent of titanium sponge is imported from Japan, a key national security partner. But, an outdated tariff on titanium sponge is putting U.S. producers at a disadvantage relative to foreign titanium producers in hostile nations including China and Russia, who do not pay this tax. This bipartisan legislation would remove the 15% tariff on titanium sponge imports, cutting millions of dollars in unnecessary costs for U.S. companies that produce critical defense materials.

“American manufactures rely on titanium sponge to build everything from fighter jets to satellites, and my bipartisan bill will ensure we have a safe, secure, and reliable supply chain for these critical components,” said Senator Cortez Masto. “By eliminating this burdensome tariff, my commonsense legislation would cut costs for U.S. producers, protect our national security, support jobs in Nevada and across the country.”

“Titanium sponge is critical for both commercial and military manufacturing. Dropping tariffs on these imports, the majority of which come from Japan, will make titanium more affordable,” said Senator Blackburn. “This legislation will reduce prices for consumers and American companies while ensuring that titanium sponge from our allies keeps an edge over material made in Communist China.”

“West Virginia is known for its manufacturing capabilities and has a proud tradition of involvement within the titanium industry. West Virginia hosts operations that create titanium products to strengthen national security through domestic supply chains and boost our aerospace industry. This legislation would help ease costs on this vital industry, increase access to materials, and encourage economic development while maintaining U.S. authority to adjust tariffs as needed,” Senator Capito said

“I am proud to introduce the Securing America’s Titanium Manufacturing Act with Senators Cortez Masto and Blackburn. Titanium is a critical mineral essential for engines, military fighter aircraft, satellite parts, and many other military technologies, and our bipartisan legislation would help ensure the United States has a reliable titanium sponge supply chain from countries that share our values, like Japan,” said Senator Manchin. “I will continue working with my colleagues on both sides of the aisle to get this commonsense bill across the finish line and signed into law.”

“We must do everything we can to protect jobs in North Carolina and across the country,” said Senator Tillis. “I’m proud to co-introduce this bill that will ensure America’s titanium supply chain and defense industrial base remains strong.”

“TIMET wants to express its sincere appreciation for Senator Cortez Masto’s critical work and leadership in introducing The Securing America’s Titanium Manufacturing Act.  This bill will enhance American competitiveness in the global titanium market and strengthen our American national security supply chain,” said Ryan Ramsey, General Manager of TIMET Henderson. “In addition to helping the US industry; this effort will also have a positive effect on TIMET’s hardworking employees in Henderson, Nevada.”

The Securing America’s Titanium Manufacturing Act would remove the existing 15% tariff on titanium sponge imports from nations with preferential trade status until the end of 2031. The legislation would also require the President to monitor any efforts by China or other hostile countries to move into the U.S. titanium supply chain, and would give authority to the President to reapply the tariff if it becomes necessary to support U.S. businesses, workers, or national security in the future.

The legislation is supported by Nevada company TIMET, the United Steelworkers, the Aerospace Industry Association, as well as other American titanium companies. Restructuring titanium sponge tariffs to strengthen U.S. national security was also a recommendation of the Titanium Sponge Working Group, an interagency commission established under President Trump, and led by the Secretaries of Defense and Commerce.

The bill text can be found here.

Senator Cortez Masto has led efforts in Congress to strengthen our national security supply chains. She has consistently blocked burdensome taxes on mining and wrote important provisions of the Bipartisan Infrastructure Law to bolster Nevada’s critical mineral supply chain. She’s also introduced bipartisan legislation to strengthen the domestic supply chain for rare-earth magnets, which are critical components of cell phones, computers, defense systems, and electric vehicles, but are almost exclusively made in China.

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