Incentivize Manufacturing - IV Fluids

Economy
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President Trump imposed a 25% import duty on Chinese products. Large companies received guidance on how to exempt themselves, and they did. Small and medium businesses, including the one I owned, got slammed and hurt badly. This was implemented poorly and hurt small business, and it helped large businesses who were guided to file exemptions. By the time my old company, 3B Medical, was even aware that there was an exemption process the short window for filing had closed leaving my company at a 25% disadvantage to my larger competitors.

But, more importantly, zero incentives were offered to reshoring manufacturing. The federal government should identify strategic areas important to our economy. Incentivies should be given. For example, we currently have a critical IV Fluid shortage impacting hospitals. I am building an IV Fluid plant right now in Florida, Assure Infusions https://assureiv.com/ . We are scheduled to open in 90 days. We wanted to build bigger and larger capacity, but we were not capitalized for it. And, there is zero incentivize from the federal government to do so.

The federal government should identify critical sectors, and offer incentives to finance increasing our nation’s capacity. We need to incentivize becoming manufacturing dependent and control our own economic destiny. Had incentivizes been available to me we would have built an IV fluid factory twice the size.

You should incentivize what you want more of and tax what you want less of. Common sense proposals:

  1. Reinvesting in manufacturing industries should have capital matching grants from the federal government. A dollar spent on building a factory should be matched with a dollar funded by the government to encourage economic expansion and higher employment.

  2. New manufacturing companies should receive federal incentivizes for hiring. For every new employee hired incentivize increasing the labor pool by offering creative programs such as federal government paying the first 90 days of employment, which is a typical training period for a new hire.

  3. To further incentivize business expansion, the government should waive taxes in the first year 24 months of a new factory opening. Rationale is that manufacturers starting new production facilities are constantly reinvesting every dollar back into expanding manufacturing and scaling business growth. Every dollar in tax is a dollar sucked out of working capital which hamstrings the company from the growth that it could otherwise achieve if it retained the capital to reinvest back into the company.

These 3 simple proposals would spark a level of industrial investment in this nation never seen before.

Respectfully,

Alex Lucio, CEO
Assure Infusions, Inc.
275 Century Blvd
Bartow, FL 33830
Email: alucio@AssureIV.com

1 Like
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We are already feeling the effects of IV Fluid shortages here in Michigan. Get the plant up and running ASAP!

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Yes, sir. We are moving as fast as we can. But, as you know, a ton of regulation to get through. But we should be online in January to help out. Our nation has just ignored manufacturing , and in fact, seems to do as much as possible to discourage it.

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Policies should be implemented with fairness in mind. Small and Medium size businesses should be given the same treatment as larger companies. I agree with much of this plan. The government needs to make it as easy as possible to manufacture in the US and incentivize it as much as possible. Soon, goods from overseas will dry up as deglobalization sets in. Americans need to make more of our own goods. Reshoring to USMCA (including Canada and Mexico) and to the western hemisphere should also be a high priority, with favor given to manufactures in the US first.