New Bill Will Help Keep Domestic Manufacturers Competitive

(WASHINGTON, D.C.) – Today, Sen. Sheldon Whitehouse (D-RI) and Rep. DelBene (D-WA) introduced the Clean Competition Act of 2025 to ensure U.S. manufacturers remain competitive in a changing global market.

“The United States can lead or be left behind as international purchasers increasingly demand cleaner products,” said Joanna Slaney, Environmental Defense Fund’s VP for Political and Government Affairs. “This proposal will help put U.S. manufacturers in position to compete globally while creating jobs and reducing harmful pollution.”

At a time when federal support for industrial innovation is under pressure, the legislation offers five key strategic benefits to maintain the United States’ position as a leader in manufacturing:

1. Comprehensive Domestic Coverage: Carbon intensity charges would apply to both domestic producers and importers, creating strong incentives to reduce pollution.

2. Revenue Generation: Trade revenues could raise over $80 billion over five years according to a Harvard study, while boosting the competitiveness of cleaner products.

3. Support for Industrial Decarbonization: 100% of revenues would support decarbonization with 75% supporting the associated domestic industrial transformation and 25% for international climate assistance.
4. Carbon Clubs Innovation: A framework for international cooperation agreements will offer fee reductions and assistance preferences to developing countries and those implementing comparable climate policies.

5. Demand-Side Support: A novel ‘contracts for difference’ mechanism will use competitive auctions to guarantee price support for clean industrial goods.