Dear IPC Members:

I hope this newsletter finds you and yours doing well.

It’s been a busy summer here at IPC. This week saw significant movement on a long-awaited, bipartisan infrastructure package in the U.S. Senate, which would be good for our industry overall but potentially burdensome to some IPC members who might face a reinstated Superfund tax. On another track, IPC is continuing its advocacy to include “electronics manufacturing” in separate tech R&D and competitiveness legislation. Stay tuned for upcoming opportunities to help advocate on legislation that affects our industry.

This week also brings an update to the global environment and health outlook, including new opportunities for you to get involved with industry advocacy on timely issues like chemical management practices. Your input is needed!

As always, please send us a message if you have an opinion on what you think governments should be doing to support our industry’s long-term growth and evolution.

All the best,

Chris Mitchell
Vice President, Global Government Relations

TOP NEWS OF THE WEEK

IPC Welcomes U.S. Senate Vote on Infrastructure Bill but Questions Superfund Tax: A $1 trillion bipartisan infrastructure deal cleared key hurdles this week in the U.S. Senate, and a final vote on the legislation is expected imminently. IPC welcomes the prospect of historic infrastructure investments in America’s roads, ports, electric grids, and digital networks. Our members’ supply chains depend on modern, resilient infrastructure; and in today’s high-tech world, America’s infrastructure depends on reliable electronics. However, IPC is concerned that reinstating Superfund excise taxes on 42 chemicals and raw materials could increase costs for U.S. electronics manufacturers and raise prices for many consumer goods. We will be keeping an eye on this; let us know if you have any questions or concerns. IPC Contact: Ken Schramko.

IPC Urges Electronics Inclusion in U.S. Tech and Competitiveness Bill: IPC sent a letter last week to the U.S. Senate Commerce, Science, and Transportation (CST) Committee, affirming the importance of explicitly stating support for electronics manufacturing in pending tech and competitiveness legislation. IPC supports the U.S. Innovation and Competitiveness Act (USICA), which includes the Endless Frontier Act, as it boosts investment in federal research and development (R&D) in 10 high-tech fields. But we think the bill should more explicitly support R&D in electronics manufacturing and position the United States to build more of what it designs. It is proving to be an uphill battle to persuade bill sponsors to accept our changes. But this is a rare opportunity to set the framework for federal R&D for the coming decade, and we are going to continue to push. Please watch for an IPC Advocacy Alert asking you to contact your elected officials about this bill. IPC Contact: Ken Schramko.

IPC ADVOCACY AND YOU

Register Now to Help IPC’s Advocacy Team Help You! U.S. members of IPC: Please take a minute to visit our online action center and let us know you’ll participate in upcoming campaigns to educate the U.S. Congress on our key issues. It’s fast, easy, and important. Thanks! IPC Contact: Ken Schramko.

DEFENSE AND SECURITY

House Task Force Urges DoD to Address Supply Chain Concerns: A bipartisan group of lawmakers recently urged the U.S. Department of Defense (DoD) to address threats to the defense supply chain in the upcoming annual defense policy bill. As Defense News reported, the U.S. House Armed Services Committee task force report outlined recommendations for the DoD to better understand its supply chain and the potential for shortages, specifically regarding semiconductors, rare earth elements, and microelectronics. Let us know if you have any questions or comments. IPC Contact: Chris Mitchell.

ENVIRONMENT & HEALTH

Companies Commit to Improving Chemical Management Practices: The Clean Electronics Production Network announced a new program this week to improve chemical management practices and eliminate workers’ exposure to hazardous chemicals across the global electronics manufacturing industry. The commitment, called the “Toward Zero Exposure” program, will allow companies to highlight its role on issues like prioritizing the elimination or substitution of priority chemicals with safer alternatives. Learn more about the program, its participants, and how you can get involved here. IPC Contact: Kelly Scanlon.

Share Your Experience with Extended Reliability Assessments: iNEMI has formed a team to better enable circular economy principles, and electronics manufacturers are encouraged to join. The team will examine extended reliability assessments for electronic components and will develop a methodology for part selection and stress testing. If you are interested in joining the team, you can sign up here. Registration closes in early September, and the project is set to begin soon thereafter. IPC Contact: Kelly Scanlon.

OSHA Requests Input from Mechanical Power Press Users: On July 28, the U.S. Occupational Safety and Health Administration (OSHA) issued a Request for Information from companies using mechanical power presses in the shaping, cutting, and bending of metal sheets. OSHA is considering updating the 50-year-old mechanical power presses standard and is seeking input in areas such as the types of presses that should be covered. The comment period is open until October 26; let us know if you have any questions. IPC Contact: Kelly Scanlon.

Prepare for Potential PFAS Action in Europe: On July 15, five EU countries announced they would be submitting a proposal that would ban the manufacture, sale, and use of per- and polyfluoroalkyl substances (PFAS) under Registration, Evaluation, Authorization, and Restriction of Chemicals (REACH) regulation. If the restriction proposal is adopted, then manufacturers, importers, distributors, and retailers would be banned from all uses of PFAS except those determined to be essential. Please let us know if your company or products would be affected by this possible PFAS restriction. IPC Contact: Kelly Scanlon.

Feedback Needed on End-of-Life Directive Revisions: The European Commission is currently reviewing the End-of-Life (ELV) Directive to address circularity and extended producer responsibility, and electronics are expected to come up. The directive, which aims to make the dismantling and recycling of ELVs more environmentally friendly, is set to be revised by the end of 2022. The public consultation on the revision ends October 26. Please let us know if you or your company would be affected by changes to the directive, and let us know if you have any input. IPC Contact: Kelly Scanlon.

China Proposes Adding New Substances to Chemical Inventory: On July 7, the Chinese Ministry of Ecology and Environment (MEE) proposed adding an additional eight chemical substances to the Inventory of Existing Chemical Substances (IECSC). As a reminder, if the substance is not listed in the IECSC, your business must complete new substance registration before manufacturing or importing said chemicals. Chemicals that are not included in the IECSC are considered new chemicals and are managed under MEE Order 12. IPC Contact: Kelly Scanlon.

TAX, TRADE, AND SUPPLY CHAIN

IPC’s Latest Economic Trends Report: Many industries continue to be plagued by supply chain disruptions, and the electronics industry is no exception. Although these pressures are expected to ease in the coming months, IPC believes “supply chain disruptions will continue to reverberate throughout the economy, and the electronics industry, well into next year.” Check out IPC Chief Economist Shawn DuBravac’s latest Monthly Economic Outlook Report and let us know if you have any questions. IPC Contact: Shawn DuBravac.

Biden Proposes New “Buy American” Rule: U.S. President Joe Biden announced a proposed rule last week on “Buy American” regulations to strengthen domestic supply chains for critical goods and increase the threshold for products to qualify as made in America. The restrictions do not apply to acquisitions that are subject to certain trade agreements. Before a final rule is issued, there will be a 60-day public comment period. Check out the administration’s fact sheet and let us know if you have any questions or concerns. IPC Contact: Ken Schramko.

U.S. and EU Trade and Technology Council Set to Launch: The U.S.-EU Trade and Technology Council (TTC), first announced at a joint summit in June, is set to be launched by the end of September. The council will address bilateral trade and investment and will aim to counter China’s rising influence by fostering cooperation on tech and digital policies, including cybersecurity, artificial intelligence, and semiconductors. IPC welcomes efforts to rekindle the trans-Atlantic partnership and continues to engage with policymakers to ensure that the electronics value chain is recognized as central to economies on both sides of the Atlantic. IPC Contact: Alison James.

UPCOMING EVENTS

Global Electronics Summit: Virtual, September 21–23. Join Chemical Watch and IPC’s Kelly Scanlon as she covers the EU’s sustainable products initiative on Day 2 of the conference. Additional key topics include REACH restrictions on per- and polyfluoroalkyl substances (PFAS), ECHA’s Substance of Concern in Products (SCIP) database, Toxic Substances Control Act (TSCA), and other U.S. regulations, flame retardants, and more. IPC members are eligible for a 20% registration discount; register here. Contact Kelly Scanlon for a discount code.

KEEP IN TOUCH WITH US

Meet the IPC GR Team: Whether it’s engaging with policymakers in Washington, D.C., in the European Union or in China, the IPC Government Relations (GR) Team proactively seeks opportunities to educate, inform and influence policymakers on policies that spur innovation, growth and competition, while protecting human health and the environment. But our success depends on your support and engagement. Learn more and get involved in IPC advocacy today! IPC Contact: Chris Mitchell.

Subscribe to IPC Global Advocacy Report: If you’re a member of IPC, manage your e-mail preferences and opt in to receive “Advocacy” updates. If you are not an IPC member — or you’re not sure — please send a note to friends@ipc.org, and our staff will add you to the list.

Follow us on Twitter and LinkedIn.

Contact one of us if you have any questions or insights to contribute.

Tell us how government policies affect your business.

See prior editions of Global Advocacy Report.

Explore our IPC Government Relations information online.