IPC Global Advocacy Report
9/18/2020

Dear IPC Members:

I hope all is well with you and yours.

There are now less than 50 days left until the federal and state elections in the United States, and as that date draws nearer, we are seeing renewed signs of life in the U.S. Congress.

Just this week, U.S. President Donald Trump called on Congress to pass a “massive economic relief bill,” after Senate Republicans’ relief package fell through last week. Meanwhile, conversations have resumed on the annual National Defense Authorization Act, which, as it stands now, includes IPC-backed provisions. We are watching and engaging on these fronts. 

Meanwhile, in Europe, IPC and others are advocating for a delay in implementation of the Substances of Concern in Products (SCIP) database, which is still set to come into effect in January despite the absence of a usable, final SCIP database. We’ll have more news on that next week.

With policymakers active on issues affecting our industry across the globe, now is the perfect time to get involved with IPC advocacy and make your voice heard. See our first two stories below for some options.

As always, below are some brief stories on the top issues we’re watching this week.

All the best,

Chris Mitchell
Vice President, Global Government Relations

 

IPC ADVOCACY AND YOU

Interested in Policy and Politics? Get Involved in the IPC Advocacy Team! The IPC Government Relations team is composed of experienced professionals working for you year-round. However, the success of our work depends on the active participation of IPC members like you. Visit the IPC Advocacy Team website, register to receive advocacy alerts, and join our efforts in one of the following ways:

  • Be in contact with your elected representatives. Send emails, make phone calls, or say hello if you see them in person. IPC’s Government Relations team can help arrange meetings/calls and provide you with talking points and handouts. The IPC “A Team” platform can help you contact U.S. officials, and these next links can direct you to Members of the European Parliament and of the Canadian Parliament;
  • “Host” an elected official at one of your facilities. While in-person meetings may be restricted currently, you can still offer can offer a virtual tour, an online briefing, and a chance for them to speak to your employees. Learn more here and contact our staff for support;
  • “Meet” with officials in Washington or Brussels. In normal years, our IPC IMPACT events give IPC member company execs a chance to meet with top government officials to discuss the issues we care about. We hope to be back to normal as soon as possible, but until then, we are meeting with government officials by video call; and
  • Make a plan to vote in any upcoming elections and encourage your colleagues and employees to do the same. 

If you are interested in politics and policy, don’t sit on the sidelines; take action! IPC Contact: Ken Schramko.

Speaking of the 2020 Elections: The IPC Political Action Committee (IPC PAC) serves as the collective voice of the industry. The IPC PAC pools contributions and supports pro-manufacturing federal candidates in both major parties. IPC invites you to learn more by visiting the IPC PAC website and filling out a prior authorization form. This form does not obligate you or your employees to support the IPC PAC; it simply enables us to provide more information. Please note that a company can only authorize one association PAC per year; and the form must be signed by someone with the authority to do so, generally the CEO or another C-level executive. IPC Contact: Ken Schramko.


TOP NEWS OF THE WEEK

U.S. Defense Bills Would Bring Greater Resiliency and Security to Electronics Supply Chains: The U.S. House and Senate versions of the annual National Defense Authorization Act (NDAA) both include provisions to bolster the resiliency and security of the electronics manufacturing ecosystem, including printed circuit board fabrication and printed circuit board assembly. Last week, several groups, including the U.S. Chamber of Commerce and Aerospace Industries Association, told Congress the measures would be overly restrictive, hamper the Pentagon procurement process, and drive up costs. IPC responded to opponents in this new blog. A resolution is expected within the next several weeks, and IPC will continue to advocate for measures to shore up supply chains for electronics related to essential governmental functions including defense. IPC Contact: Chris Mitchell.

Senate Democrats Unveil $350 Billion Plan to Compete with China: Yesterday, U.S. Senate Democrats presented a wide-ranging, $350 billion plan to retain an edge over China, including investing $16 billion in the U.S. semiconductor industry. The plan “seeks to shore up the nation’s manufacturing capabilities and infrastructure in an attempt to unwind it from China’s economy and increase American firms’ competitiveness,” according to reporting from the New York Times. The legislation would also “require the president to submit a plan to Congress to use the Defense Production Act to increase domestic production capabilities for semiconductor devices and require domestic sourcing for those products.” IPC will be engaging on this matter and encouraging attention to the entire electronics ecosystem, not just one piece of it. IPC Contact: Chris Mitchell.

 

EDUCATION AND WORKFORCE

IPC Launches New Online Workforce Training Options: Do you have difficulties finding skilled production workers? Two-thirds of electronics industry companies do, according to a recent IPC study. To remedy this issue, IPC has launched all-new IPC Electronics Workforce Training courses to help our members and their employees. Check out the news release for more information, and to view the expanded course catalog, visit https://training.ipc.org.

 

ENVIRONMENT, HEALTH AND SAFETY

EPA Releases Final List of Companies Subject to Chemical Fee: On September 4, the U.S.  Environmental Protection Agency (EPA) released the final list of businesses subject to fees for the 20 high-priority substances listed under the Toxic Substances Control Act (TSCA) Fees Rule. Changes have been made since the preliminary list was released on January 27, which IPC wrote about in a February blog. Businesses identified on the final list must notify the EPA regarding their intention to form or join consortia to pay fees that defray the costs of risk evaluations. Fee payments are required 120 days after the final list is released, although the EPA may incorporate flexibility into the payment schedule. Let us know your questions, concerns, and suggestions about the TSCA fee obligations. IPC Contact: Kelly Scanlon.

EPA Takes Next Step on TSCA Risk Evaluations: On September 4, the U.S. Environmental Protection Agency (EPA) released the final scope documents for the risk evaluations of 20 high-priority substances under the Toxic Substances Control Act (TSCA). These documents will outline a three-year process for determining unreasonable risk for various conditions of use of high-priority substances. IPC has already engaged with the EPA during the review period for the draft scope documents on Tetrabromobisphenol A and formaldehyde, and we will be reviewing all of the final scope documents to determine their applicability to the electronics sector. We welcome your review and insights on the use of these chemicals. IPC Contact: Kelly Scanlon.

Does Your Company Use PFAS to Make Electronics? Regulators in the United States and the European Union continue to eye chemicals in the per- and polyfluoroalkyl substances (PFAS) class. This week, the House Armed Services Committee’s readiness subcommittee heard from Pentagon officials on how the department is addressing its use of PFAS. Meanwhile, in July, IPC completed a screening study to gain a better understanding of the evolving policies shaping the production and use of PFAS. IPC needs you to review the preliminary findings from our screening study to confirm whether we accurately captured the uses of PFAS in electronics products and processes. Please send your feedback to Kelly Scanlon and let us know if you use PFAS in your electronics processes and products. For more information, check out IPC’s recent blog on PFAS regulation.

Interested in Chemical and Product Regulations in Asia? Asia is home to several of the world’s largest nations and most dynamic economies, and many governments in the region have established comprehensive environmental, health, and safety (EHS) policy frameworks. Please check out these new IPC white papers on evolving chemicals regulations in China, Japan, Singapore, South Korea, Taiwan, and Thailand. These papers provide a detailed look at the history of the policies, recent regulatory updates, and the regulatory trends in the respective countries. Let us know what you think! IPC Contact: Kelly Scanlon.
 
IPC, Helping You Assess and Manage COVID-19 Risks at Your Workplace: IPC recently hosted a webinar to answer some of the most challenging questions employers and employees are facing regarding worker safety and support. IPC shared best practices for assessing workplace risk plus resources and tools to help you navigate the current science and policy happenings. Here is our latest white paper on the risks in the workplace and an updated IPC report answering questions we have received about cleaning, disinfecting, and contact tracing. What pandemic-related issues are you struggling with? IPC Contact: Kelly Scanlon.

Fundamentals of Conscientious Engineering: IPC Director of Environment, Health, and Safety Policy and Research Kelly Scanlon recently presented at a IPC Educational Foundation webinar on the topic of conscientious engineering. She spoke on the responsibility of electronics industry engineers to make informed decisions about the design, manufacture, use, and disposal of electronic components and products. IPC members are committed to environmental stewardship, recognizing that proactive efforts to prevent adverse impacts to human health and the environment can reduce or eliminate business risks and the need for compliance-driven activity. If you were unable to attend or have further questions about the evolving industrial practices, please let us know! IPC Contact: Kelly Scanlon.

 

EUROPEAN UNION

EU and China Hold Joint Summit on Trade, Human Rights, Climate, and More: On September 14, European Union and Chinese leaders held a virtual summit covering “trade and investment, climate change and biodiversity, the response to the COVID-19 pandemic, as well as international affairs and other issues,” according to a release from the European Council. While few tangible solutions came from the talks, the two sides, which have had historically rocky relations, agreed to continue the high-level digital dialogues, and affirmed their respective commitments to “concrete progress on ICT standards, product safety and research and innovation.” Further meetings are expected to be held in 2021. IPC Contact: Alison James.

EC Continues Work on Due Diligence Initiative: As part of its preparatory work on a mandatory due diligence legislative proposal, the European Commission recently released an “inception impact assessment” on the initiative, which seeks to help companies “better manage sustainability-related matters in their own operations and value chains in regards to social and human rights, climate change, and the environment.” You can share your feedback here. Meanwhile, the commission also conducted a study affirming that many companies face pressure to generate short-term shareholder value to the detriment of long-term investments, especially regarding sustainability. A formal legislative proposal is expected in early 2021. IPC will continue to advocate for the electronics industry throughout the legislative process; we welcome your input and questions. IPC Contact: Alison James.

 

TRADE AND SUPPLY CHAIN

Rule Banning Chinese Telecommunications Equipment Takes Effect: On August 13, a new interim final rule took effect that will bar contractors from receiving federal contract awards if they use certain Chinese telecommunications and video surveillance equipment or services. The rule, which adopts the Section 889 ban, will impact new contracts and contract renewals and will cover all contractors, including electronic manufacturers. Companies in the electronics industry are advised to review purchase orders and documents to determine whether the equipment they have is from affected Chinese companies. While the public comment period has passed, any new submitted comments will still be evaluated. You can read more about the Section 889 Rule from our friends at Holland & Knight here and here. IPC Contact: Chris Mitchell.

“We Are to Blame for The U.S. Manufacturing Decline:” “For more than three decades, the United States government has prioritized globalization while deprioritizing the strength and resiliency of its industrial base,” writes IPC President and CEO John Mitchell in a new op-ed in The Hill. “U.S. electronics manufacturing is a case in point and has, in many ways, been hollowed out by our collective inaction and short-sighted decision making.” Policy makers need to “go beyond stimulus checks” and do more to “help American electronics manufacturers to compete on the global stage they once dominated.” IPC Contact: John Mitchell.

The World Needs U.S. Leadership in Setting Technological Standards: IPC President and CEO John Mitchell writes: The global dominance of U.S. industry is “weakening amid the rise of international competition hungry to take advantage of a distracted U.S., flat-footed and mired in partisan political infighting.” In contrast to the current trend, IPC believes “America should seize the mantle of leadership” and do more to “help shape the future of global technology standards.” Read the full op-ed in Nextgov. IPC Contact: Chris Mitchell.

 

UPCOMING EVENTS

IPC-1754-AM2: Materials and Substances Declaration for Aerospace, Defense and Other Industries. Virtual event, September 24, 2020. This FREE webinar brings together experts from IPC, Raytheon Technologies, and DXC Technology and will explore IPC-1754-AM2, a new industry standard that establishes the requirements for exchanging materials and substance data for products between suppliers and their customers – essential information for those in the aerospace, defense, heavy equipment, automotive, electronics and software solution sectors. This is a must-attend session for those obligated to declare materials content. IPC Contact: Kelly Scanlon.

 

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