In his 2026 State of Manufacturing address, National Association of Manufacturers President and CEO Jay Timmons delivered a message manufacturers understand well:
The industry is ready to grow—but long-term investment depends on policy certainty.
Speaking in Cleveland, Timmons emphasized that manufacturers have the capital, technology and appetite to expand. But volatility—rising input costs, shifting trade dynamics, health care expenses and regulatory uncertainty—continues to complicate planning.
“The rocket is fueled. We are ready for launch,” Timmons said. “But no rocket can launch until the skies are clear.”
Growth Requires Alignment, Not Just One Win
Timmons stressed that manufacturing competitiveness cannot hinge on a single policy lever. Even major tax reforms, while important, are not sufficient alone. Using a musical analogy befitting the Rock & Roll Hall of Fame venue, he noted that even if “the guitar works perfectly,” the performance fails if the rest of the band is out of tune.
For manufacturers, that translates into the need for alignment across:
- Tax and investment policy
- Energy availability and affordability
- Permitting reform
- AI and innovation policy
- Workforce and immigration
- Trade and infrastructure
Capital investment follows predictability. Without it, expansion pauses.
Energy, AI and Workforce: The Core Issues
Energy remains foundational. Timmons called for an “all-of-the-above” strategy—oil, gas, nuclear, renewables and critical minerals—recognizing that energy reliability directly affects margins and competitiveness.
On AI and innovation, the message was clear: manufacturers are leading adoption, but they need regulatory frameworks that enable—not hinder—deployment.
Workforce challenges remain front and center. Advanced systems require skilled technicians and engineers, and talent availability increasingly determines growth capacity.
The Bottom Line
Manufacturing is positioned for expansion. Technology is advancing. Investment interest is strong.
But certainty is the catalyst.
If policymakers deliver stability across tax, energy, workforce and trade, Timmons concluded, “the state of manufacturing is boundless.”
For industry leaders, the takeaway is straightforward: the opportunity is real—but clarity will determine how fast the rocket leaves the pad.
