Greater Private Investments Will Supplement Federal Dollars Expended in Build America Initiative

WASHINGTON, June 8, 2023 – American investments in its domestic manufacturing must be accompanied by private investment and ambition, said the director of the Energy Department’s Loan Programs Office Jigar Shah a a Thursday event by nonprofit newsroom Canary Media.

Currently, private companies are not interested in financing manufacturing loans in the U.S., said Shah. He urged the private industry to show more ambition by investing in infrastructure programs as federal investments come down the pipeline.

Don’t miss the discussion of the connection between green energy, semiconductor manufacturing and infrastructure investment at Broadband Breakfast’s Made in America Summit on June 27.

The Build America Buy America Act, strengthened as part of the Infrastructure Investment and Jobs Act of 2021, requires that all iron, steel, manufactured products and construction materials used in federally funded projects to be produced in the U.S.

Additionally, Congress passed the Inflation Reduction Act of 2022 which invests $400 billion in federal funding to clean energy and the CHIPS and Science Act which invests $280 billion into U.S. domestic semiconductor manufacturing. Semiconductors are the microprocessors that power all electronic applications.

These investments, paired with the $1.2 trillion Infrastructure Investment and Jobs Act which invests in various American infrastructure projects, play a central role in the administration’s strategy to revitalize the American industry. They invest in a more sustainable, consistent, and dependable supply chain for the U.S. economy, said Shah.

Investing in American manufacturing will increase investor confidence that the U.S. is capable of large manufacturing projects, he added.

By passing these acts, Congress has moved forward to improve American manufacturing, said Shah. It is now up to private industry to make the most of these investments and reinvent themselves to improve American global competitiveness.