Amid all the observation about war in the Ukraine, President Joe Biden made promises during the March 1 State of the Union address to the nation's business community and advocates have responded to what he said.
Biden said the war in Ukraine will have costs around the world, including the U.S., but that his administration will protect the domestic economy.
"To all Americans, I'll be honest with you, as I’ve always promised I would be," Biden said. "A Russian dictator invading a foreign country has costs around the world. And I'm taking robust action to make sure the pain of our sanctions is targeted at the Russian economy and that we use every tool at our disposal to protect American businesses and consumers."
Biden noted the nation's ongoing inflation problems, born from the ongoing pandemic, and pointed out fewer than half a dozen foreign-owned companies "raised prices by as much as 1,000 percent" to maximize profits.
"Tonight, I'm announcing a crackdown on those companies overcharging American businesses and consumers," Biden said.
Biden did not mention any shipping company by name but The Intercept said in a March 2 news story that Denmark's Maersk, the world's second largest ocean carrier, reported $18 billion in net profits last year, a huge increase over the company's $2.9 billion reported in 2020. The world's third largest shipping firm, France’s CMA CGM, reported a one-quarter net income of $5.6 billion in November 2021, compared to $570 million during the same period the previous year.
Response to Biden's address from business advocacy groups began almost as soon as the address ended. Alliance for American Manufacturing President Scott Paul praised the president's pro-business policies as "a critical step forward in keeping that promise."
"The events of the past two years have shown the U.S. must do more to encourage domestic manufacturing and re-shore supply chains," Paul said in a statement. "That starts by making sure taxpayer money is reinvested right back into American workers and manufacturers whenever possible. These preferences encourage companies to locate factories in the U.S. to qualify for procurement opportunities."
In his response to Biden's address, National Association of Manufacturers President and CEO Jay Timmons said the president "rightly focused on many policies that will keep manufacturing strong in America amid a global crisis." He also said lawmakers must remain focused on supply chain issues and that both major parties in Washington need to "deliver final competitiveness and supply chain legislation and build on the steps the administration is taking."
"In this time of challenge and uncertainty, we're more committed than ever to focus on policy - not politics, personality or process," Timmons said.
Information Technology and Innovation Foundation Vice President of Global Innovation Stephen Ezell praised Biden's backing of legislation that would provide tens of billions for semiconductor research and development, in addition to other manufacturing incentives, to the nation's business community.
"ITIF also welcomes President Biden’s announcement of $3 billion toward domestic manufacturing of advanced batteries for electric vehicles and energy storage," Ezell said in his statement. "Other laudable mentions include America's commitment to expanding skill-based hiring, increasing access to registered apprenticeship and training programs and expanding STEM programs at Black colleges and universities.
"Separately, ITIF urges the administration to reduce the cost of prescription drugs through measures such as capping the out-of-pocket cost for consumers, reforming the pharmacy benefit management system or increasing overall drug R&D efficiency," Ezell said. "Policymakers should not impose simplistic drug price controls that undermine the industry’s ability to earn and reinvest returns and produce more innovative drugs."
