New Business Roundtable Report: Recommendations for Improving U.S. Supply Chain Resiliency

Washington – Business Roundtable today released a new report outlining policy recommendations for strengthening and securing critical supply chains, which are vital to U.S. national security and economic competitiveness. “Resilient, Diverse and Secure: Improving Critical Supply Chains” identifies dependencies in five strategically significant U.S. supply chains and provides recommendations for diversifying and improving their resiliency. The report highlights the risks of relying on single sources for critical materials, particularly in the context of U.S.-China competition and geopolitical risk.

“Securing and diversifying supply chains across our major industries is vital to protecting America’s workers, the economy and our national interests,” said David A. Ricks, Chair and CEO of Eli Lilly and Company and At-Large Member of the Business Roundtable Board of Directors. “America must not overly depend on a single supply source or country. We need a more targeted approach to policy solutions that mitigates this risk, which in turn will enhance supply chain resilience, promote growth and bolster American competitiveness.”

The five strategically significant supply chains examined in the report include:

• Critical Minerals
• Synthetic Active Pharmaceutical Ingredients (APIs)
• Agrochemicals (e.g., crop protection)
• Printed Circuit Boards (PCBs) and Printed Circuit Board Assembly (PCBA)
• Foundational Semiconductors

The report also includes recommendations in four policy areas that underpin supply chain resiliency:

• Trade: Deepen economic integration through trade and investment agreements with priority partners that can serve as alternative sources for critical inputs, alternative platforms for manufacturing and processing, and alternative markets for U.S. goods and services in the face of geopolitical risk.
• Tax: Maintain a competitive tax code in the United States that ensures businesses continue prioritizing the United States as the primary location to create jobs.
• Workforce: Modernize the public workforce development system to ensure investments are preparing workers for in-demand careers, expanding economic opportunity for all Americans and complementing businesses’ efforts to build a world-class, “ever-ready” U.S. workforce.
• Regulation: Streamline regulatory frameworks and permitting processes for critical supply chains to expedite market entry, foster innovation and promote resiliency.