Presidential Policies That Shaped American Manufacturing
Since it's Presidents' Day, it’s the perfect time to reflect on how U.S. presidents have supported and shaped the manufacturing sector throughout history. Beyond imposing tariffs, many presidents have introduced pivotal policies to strengthen domestic industries, fuel innovation, and ensure the resilience of American manufacturing. Here, we highlight some of the most influential presidents and the groundbreaking policies they enacted to support manufacturing.
Early Leadership: Laying the Foundation
George Washington (1789–1797): As the first president, George Washington recognized the importance of manufacturing for economic independence. He advocated for protective tariffs and policies to nurture early American industries, emphasizing the need for self-sufficiency in his 1790 State of the Union Address.
Industrial Growth and Protective Measures
Abraham Lincoln (1861–1865): Lincoln was a staunch supporter of protective tariffs to foster industrial growth. He believed that strengthening domestic manufacturing was key to national prosperity and famously stated, “Give us a protective tariff and we will have the greatest nation on earth.”
William McKinley (1897–1901): Before his presidency, McKinley championed the McKinley Tariff of 1890, which protected domestic industries by imposing high duties on imports. As president, his policies continued to focus on creating a robust industrial economy.
Transformative Policies for Modern Manufacturing
Franklin D. Roosevelt (1933–1945): During the Great Depression, FDR’s New Deal included initiatives to revitalize American industry. Programs like the National Industrial Recovery Act aimed to stimulate industrial growth, improve labor conditions, and rebuild the manufacturing sector during a critical period in U.S. history.
Donald Trump (2017–2021, 2025–Present): Trump’s first term saw significant focus on revitalizing manufacturing through tax reforms and deregulation. The 2017 Tax Cuts and Jobs Act introduced measures like 100% bonus depreciation, enabling manufacturers to expand operations and invest in new equipment. Upon returning to office in 2025, Trump has prioritized policies that emphasize self-reliance and domestic production, including the implementation of tariffs and reshoring initiatives.
Key Domestic Policies Supporting Manufacturing (1945–2017)
1. Trade Expansion Act – 1962: Signed by President John F. Kennedy, this act granted the President authority to negotiate significant tariff reductions, facilitating greater access to foreign markets for U.S. manufacturers while fostering domestic growth.
2. Trade Act – 1974: This legislation introduced the Generalized System of Preferences (GSP), allowing preferential tariff treatment for imports from developing countries, providing U.S. manufacturers access to affordable raw materials and components to support domestic production.
3. Omnibus Trade and Competitiveness Act – 1988: Enacted under President Reagan, this act enhanced the government’s ability to promote technological advancements and productivity in U.S. manufacturing.
4. Miscellaneous Tariff Bill (MTB): Periodically enacted, MTBs provide temporary reductions or suspensions of tariffs on specific imported materials and products not available domestically, enabling U.S. manufacturers to reduce costs and enhance competitiveness.
Innovative Domestic Policies Beyond Tariffs
While tariffs have played a central role in supporting manufacturing, many presidents have enacted additional transformative policies to bolster the sector:
1. Tax Reforms:
2017 Tax Cuts and Jobs Act (Donald Trump): This legislation provided incentives for manufacturers to invest in new equipment, expand facilities, and drive growth.
2. Infrastructure Investment:
Infrastructure Investment and Jobs Act (Joe Biden): Signed in 2021, this act allocated significant funding to modernize transportation, utilities, and broadband infrastructure, enhancing supply chain efficiency and supporting manufacturers.
3. Research and Development Support:
Executive Order on Federal R&D (Joe Biden, 2023): This order emphasized federal support for research and development to foster innovation and strengthen U.S. manufacturing capabilities.
4. Strengthening Domestic Supply Chains:
Buy American Act Reforms (Joe Biden): These reforms prioritized the purchase of domestically produced goods for federal spending, bolstering American manufacturing of critical products.
5. Creation of Supportive Offices:
Office of Trade and Manufacturing Policy (Donald Trump): Established in 2017, this office focused on promoting U.S. manufacturing and advising on strategies to reduce the trade deficit.
Looking Ahead: Manufacturing’s Future
Presidents throughout history have recognized the vital role manufacturing plays in the U.S. economy and national security. From laying the groundwork for economic independence to driving innovation and modernization, their policies have shaped the industry’s past and future.
As we honor Presidents’ Day, it’s clear that the strength of American manufacturing is built on a legacy of forward-thinking leadership and transformative policies. At Mills Machine Works, we’re proud to be part of this enduring tradition. By embracing innovation and adapting to changing landscapes, we continue to support a resilient and thriving manufacturing sector.
Want to learn more about how we contribute to the legacy of American manufacturing? Contact us today!