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The Trump administration reportedly plans to
end funding for the manufacturing Extension
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Partnership Program, a public-private
partnership that supports small and
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medium-sized manufacturers, which represent
nearly 98% of firms in the US.
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While the Department of Commerce did not
officially announce a funding cut,
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US Senator Tammy Baldwin issued a statement
that said the Trump administration would halt
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funding for 10 MEP centers.
Baldwin’s statement noted that the development
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would affect centers in Maine, Kansas, Iowa,
Hawaii, Delaware,
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Nevada, Mississippi, Wyoming.
North Dakota and New Mexico.
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The national network features 51 MEP centers,
all of which now face an uncertain future.
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President Ronald Reagan authorized the MEP
program in 1988.
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According to the National Institute for
Standards and Technology,
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which oversees the program, the National
Network has contributed to $152.2 billion in
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new sales, $34.2 billion in cost savings, and
the creation and retention of more than 1.7
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million jobs.
Baldwin and 14 other Senate colleagues
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co-signed a letter to Commerce Secretary.
Howard Lutnick explaining that small
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manufacturers depend on MEP centers for
assistance in adopting advanced technology,
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improving cybersecurity, addressing supply
chain challenges,
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and accessing workforce training.
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The letter stated that dismantling the program
would undermine decades of federal investment
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in domestic manufacturing, including $175
million in fiscal year 2025 to fund the MEP
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centers.
The senators also cited a report by Summit
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Consulting and the Upjohn Institute that found
that the MEP program generated a.
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Return ratio of more than 17 to 1 for the $175
million in funding it received from the federal
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government in fiscal year 2023.
Kurt Anderson,
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founder of manufacturing e-commerce consultancy
firm B2Btail and frequent collaborator with
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MEPs, called the network a powerhouse
organization that delivers value to
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manufacturers with 20 employees or less with
limited access to resources.
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During Trump’s first term, he presented a
budget proposal to end federal funding for MEP
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centers and transition it to solely non-federal
revenue source.
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which the document estimated would save $124
million.
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Congress ultimately restored the funds.
The Department of Commerce section of Project
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2025, a political initiative designed to
reshape the federal government,
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addresses the MEP program and called on the
administration following President Joe Biden to
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propose legislation to zero out this $150
million program and fully privatize existing
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MEP centers.
The author of the commerce section is Thomas F.
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Gilman, who held two positions in the
Department of Commerce during Trump’s first
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term.
I’m Nolan Bastein, this is manufacturing now.