IPC Global Advocacy Report
11/13/2020

Dear IPC Members:

Here in Washington, the dust from the Election 2020 is settling and all signs indicate that former Vice President Joe Biden is the presumptive President-elect. We look forward to working with the new administration to advance policies that promote a rapid recovery from the COVID-19 crisis as well as increased innovation, investment, and growth to ensure the electronics manufacturing industry’s long-term success.

Our attention now turns toward the “lame duck” session of the U.S. Congress, where time is running out before the end of the year, and a plethora of unfinished legislative business remains. Read more about IPC’s remaining priorities for 2020 in a new blog here

Meanwhile, in Europe, a historic multi-trillion-dollar coronavirus recovery fund is one step closer to implementation after a key agreement was secured between the Council of the European Union and the European Parliament. Stay tuned as member states begin the ratification process.
 
And as always, please do not hesitate to reach out to your IPC Government Relations team to get involved or ask any questions about IPC’s advocacy activities. If you have not done so already, pledge to continue your involvement in IPC advocacy in 2021.

There is much work to be done to keep electronics manufacturing at the forefront of the economic recovery; we can’t do it without you!

All the best and stay safe,

Chris Mitchell
Vice President, Global Government Relations


TOP NEWS OF THE WEEK

It’s Time to Complete Unfinished Business on Capitol Hill: Although officials around the country are still finalizing the results of the 2020 elections, here in the United States, members of the U.S. Congress are preparing to return to Washington, where a busy legislative agenda awaits them, including coronavirus recovery, the National Defense Authorization Act, and appropriations bills. Check out this new blog from IPC Vice President of Global Government Relations Chris Mitchell for a full rundown of IPC’s legislative priorities in the waning days of 2020. IPC Contact: Chris Mitchell.

U.S. Stimulus Legislation Now Unlikely Before 2021: Time is running out to reach an agreement on a new coronavirus relief package before 2021, and the U.S. Congress remains deadlocked as coronavirus cases rise across the country. Speaker of the House Nancy Pelosi and Senate Minority Leader Chuck Schumer said Thursday they “have no plans to budge from their position of demanding a $2 trillion coronavirus relief measure, and no less,” with Senate Majority Leader Mitch McConnell adamant that “a bill of about $500 billion is the way to go,” Politico reports. Other sticking points, beyond the overall price tag, continue to be aid for state and local governments, business liability protections, and the extension of federal unemployment benefits. IPC continues to urge negotiators to reach an agreement on a recovery package with pro-manufacturing provisions. We will keep you updated as negotiations continue. IPC Contact: Chris Mitchell.

 

IPC ADVOCACY AND YOU

Which Government Policy Issues Are You Riled Up About? IPC has been conducting an ongoing member survey about the government policy issues that concern you most. We received a host of new responses amid Election 2020, and here are the updated survey results. When asking our members to identify their top areas of concern, a majority mentioned trade and tariffs (54 percent). A second tier of top issues are education and workforce skills (33 percent); incentives for research, development, and investment (33 percent); environmental regulations (31 percent); taxes (28 percent); and intellectual property protection (28 percent). Which government policy issues matter the most to you? Simply click here to take our five-question, five-minute survey.
 
Join IPC’s Pledge to Stay Involved in Advocacy in 2021: The IPC Government Relations team is composed of experienced professionals working for you year-round. But our success depends on awareness and participation from IPC members like you. With the November elections now behind us, our 2021 advocacy efforts are just beginning. Please click here to pledge to stay involved in IPC advocacy after all the votes have been counted. IPC Contact: Ken Schramko.

 

DFEENSE AND SECURITY

U.S. Defense Bills Would Bring Greater Resiliency and Security to Electronics Supply Chains: High-level talks over the language of the annual National Defense Authorization Act (NDAA) are continuing, and a final resolution remains on track by the end of the year. We are still working with key members of Congress on the U.S. House and Senate versions of the NDAA, which include bipartisan provisions to require printed circuit boards (PCB) and PCB assemblies used in defense systems to be acquired from trusted sources. Learn more in this blog and let us know if you have an interest in this issue. IPC Contact: Chris Mitchell.

 

ECONOMIC POLICY

Federal Reserve Makes Changes to Small Business Lending Program: On October 30, the U.S. Federal Reserve announced it would be lowering the minimum loan size for the Main Street Lending Program from $250,000 to $100,000 in an effort to expand eligibility to a wider range of small businesses. The Federal Reserve also announced it would reduce the processing fees for lenders offering Main Street loans below $250,000 to further incentivize lending to smaller companies in need of capital. Read more about the latest updates to the lending program here. IPC Contact: Chris Mitchell.

 

EDUCATION AND WORKFORCE

Inside the Semi-Virtual Year for IPC Student Chapter Members: Most of our IPC student chapter members are back on campus for a semi-virtual collegiate experience that significantly affects their courses and extracurriculars. While some of the core benefits of the IPC Student Chapter Program can be delivered virtually through online technical education courses and other online methods, much of IPC’s technologies are hands-on. The IPC Education Foundation is doing all that it can to bring valuable virtual opportunities to learners. Check out this column by Aaron Birney, the IPC education program manager, on the impacts the coronavirus pandemic has had on the academic landscape. IPC Contact: Charlene Gunter.

 

ENVIRONMENT, HEALTH AND SAFETY

EPA Takes Next Steps on TSCA Fees: Deliberations on the U.S. Environmental Protection Agency’s Toxic Substances Control Act (TSCA) Fees Rule has continued, with the agency recently submitting a draft notice of proposed rulemaking (NPRM) to the Office of Management and Budget (OMB) and Office of Information and Regulatory Affairs (OIRA). IPC is staying engaged throughout the process and has recently met with both the EPA’s fees rule team and the OMB to share the electronics industry’s concerns regarding the existing fees rule. IPC expects the final NPRM to be released in December, with a new rule to be issued by fall of 2021. As always, we welcome your insights on fee obligations and what it would mean for your business. IPC Contact: Kelly Scanlon.

U.S. EPA Moving Toward Key Deliberations on Toxic Chemicals: The U.S. Environmental Protection Agency (EPA) is approaching a critical phase of deliberations under the Toxic Substances Control Act, and the next steps in the process will have major ramifications for electronics manufacturers. Currently, the EPA is nearing the completion of 10 risk evaluations, and is just beginning evaluations of an additional 20 high-priority chemical substances. The EPA is seeking input from IPC and our members, and our expertise will be critical in forging smart solutions that protect human health and the environment and enable our industry to thrive. If you have information that is relevant to these proceedings, we need to hear from you. Check out a recent IPC blog for more information. IPC Contact: Kelly Scanlon.

IPC Moderates Webinar on Environmental Compliance using ISO 14001: On November 9, IPC’s Environment, Health, and Safety Policy and Research Director Kelly Scanlon moderated a Chemical Watch webinar on how the ISO 14001 standard helps manufacturers comply with environmental requirements, including the EU’s Restriction of Hazardous Substances Directive (RoHS), the Registration, Evaluation, Authorization and Restriction of Chemicals Directive (REACH), and those for persistent organic pollutants and waste electrical and electronic equipment. Let us know if you have any questions. IPC Contact: Kelly Scanlon.

European Commission Rules Out Delay of SCIP Implementation: Despite urgings from IPC and others, on October 28, the European Chemicals Agency (ECHA) formally launched the Substances of Concern in Products (SCIP) database, while the European Commission rejected the possibility of an ex-post impact assessment. Under the current timeline, the database is set to come into effect on January 5, 2021, just 10 weeks after it was unveiled for the first time. However, industry advocacy will continue, and IPC recently signed a cross-industry letter to the German Presidency of the European Union and heads of the European Council and European Parliament, reiterating the need for a more workable solution. Be sure to tune into the ECHA’s November 19 webinar if you have any questions about the notification process, and let us know if we can help you. IPC Contact: Alison James.

Industry Input Due on European Commission’s Sustainable Products Initiative: The European Commission is seeking industry input on its Sustainable Products Policy Initiative, which “will establish minimum sustainability and information requirements for products sold in the European Union,” according to reporting from the National Law Review. Notably, the initiative, which will also revise the Ecodesign Directive, plans to address the presence of harmful chemicals in electronics and ICT equipment, among other products. The commission is expected to present a legislative proposal by Q1 of 2021. The feedback period has been extended until November 16. IPC Contact: Alison James.

Advancing Electronics in Asia Pacific: On November 5, IPC’s Environment, Health, and Safety Fellow Fanyu Zhang presented on chemical regulations, including the Restriction of Hazardous Substances Directive (RoHS), the Registration, Evaluation, Authorization and Restriction of Chemicals Directive (REACH), and Waste Electrical and Electronic Equipment rules (WEEE), and how they affect electronics manufacturers in Asia Pacific at the South China International Advanced Electronics Automation and Laser Expo. In addition to Zhang’s presentation, IPC Asia Pacific staff also held standards development meetings and shared information certification, education, market research, and more. Let us know if you have any questions. IPC Contact: Kelly Scanlon.

China Releases New Batch of Priority Controlled Chemicals: On November 2, China’s Ministry of Ecology and Environment released the second round of Priority Controlled Chemicals, which consists of 18 classes of chemicals that are dangerous to human health and the environment. Companies that that use, produce, or discharge these chemicals must adopt risk management and control measures to minimize the impact of these chemicals “at critical links of manufacturing and use.” IPC Contact: Kelly Scanlon.

Interested in Chemical and Product Regulations in Asia? To help our members, IPC has created nine white papers, each of which highlights the history of chemical regulations, current regulatory systems, recent regulatory updates, and anticipated trends in the Asia-Pacific region. The Philippines, Vietnam, and Malaysia are the latest countries to undergo a deep dive by our environmental, health, and safety (EHS) experts. Please check out this recent IPC blog for links to papers on China, Japan, Singapore, South Korea, Taiwan, and Thailand, and let us know if you have any questions or concerns. IPC Contact: Kelly Scanlon.

 

EUROPEAN UNION

Council and Parliament Reach Agreement on EU Budget: On November 10, the Council of the European Union and the European Parliament reached an agreement on the 2021-2027 EU budget, bringing the bloc one step closer to the €1.8 trillion ($2.06 trillion) budget-and-recovery package agreed to in July. The agreement, which still requires final consent from both the parliament and council, paves the way for the seven-year budget to come into effect in January 2021, while member states can now begin the ratification process to make Next Generation EU, the bloc's €750 billion recovery fund, operational. IPC Contact: Alison James.
  
“Policy Going Forward Will be Viewed Through the Lens of Recovery”: Interested in what’s happening in IPC Europe? The IPC Blog staff recently chatted with Alison James, IPC’s senior director for Europe, about the bloc’s response to the coronavirus pandemic, as well as other issues facing our industry, from the “Green Deal” to chemicals regulation to supply chain resiliency. Read the full blog post here, and reach out to Alison if you have any questions. IPC Contact: Alison James.
 
France Seeks Proposals for Investments in Electronics Manufacturing: On September 3, France unveiled a €100 billion ($118 billion) recovery plan aiming to fuel investments in the reshoring and strengthening of key industrial sectors, including electronics manufacturing. To help accomplish this, on August 31, France announced a call for specific investment proposals. Projects aimed at strengthening the capacity of electronic manufacturing companies to respond to crisis situations will be given priority. Companies can submit applications until November 17. Read a recent IPC blog for more information, and let us know your thoughts. IPC Contact: Alison James.

 

TRADE AND SUPPLY CHAIN

How is COVID-19 Affecting the Economy Now? IPC Chief Economist Shawn DuBravac recently released IPC's October Economic Outlook Report, and the outlook is unsettled at best. While the economic recovery remains intact for now, it is losing momentum and downside risks are rising. On the bright side, the electronics manufacturing industry continues to hold up better than just about anyone else. However, countries across Europe are beginning to reimpose lockdowns amid rising rates of infection. Please let Shawn know if you have questions, and be sure to visit IPC’s COVID-19 Update web page for the latest on how to keep your business and workforce protected. IPC Contact: Shawn DuBravac.

Building a Trusted ICT Supply Chain: A recent report by a congressionally chartered expert panel proposes a comprehensive strategy to ensure the continued availability and trustworthiness of critical ICT technologies. On October 19, the U.S. Cyberspace Solarium Commission offered a five-pillar strategy and 13 recommendations, with an emphasis on public-private and international partnerships. Please give the white paper a read and let us know what you think. IPC Contact: Ken Schramko.

 

UPCOMING EVENTS

IPC IMPACT Europe: Virtual, by invitation, members-only event, November 18-19. IPC IMPACT Europe is our opportunity to connect with European Union policymakers, learn about current policy priorities, and discuss how these changes may impact our industry. IPC Contact: Alison James.

Get Ready to Submit Your SCIP Notification: Webinar, November 20. This webinar, sponsored by the European Chemicals Agency, will help you prepare and submit a Substances of Concern in Products (SCIP) notification. You will get a demo of how to create and submit a notification and learn the tools that can be used to refer to information already submitted to the SCIP database.

IPC APEX EXPO Moved to March: With safety in mind and facing new considerations around conferences and travel, IPC decided to move IPC APEX EXPO 2021 to March 6-11. Just as your companies are innovating to overcome the challenges of this pandemic, we are adapting as well. Mark your calendars and watch for more details coming soon.

 

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