Manufacturing Surge Drives Greater Mineral Demand
September 05, 2014
This week, the Institute for Supply Management (ISM) reported t...
With the midterm elections behind us, it is critical that the Obama administration and Congress prioritize the manufacturing and mining industries if they are serious about adding jobs and growing the U.S. economy. A recent survey commissioned by the National Mining Association (NMA) uncovered significant concern among manufacturing executives that current mining policy presents a challenge to their supply chain and that reform is necessary.
Minerals are essential to the manufacturing of the technologies and products that make the U.S. the world leader it is today; however, efficient access to domestic minerals is thwarted by the overly burdensome permitting process, which jeopardizes U.S. national security, depletes our economy and reduces job opportunities. While the survey shows that eighty percent of business leaders in the U.S. manufacturing sector recognize the importance of domestic mining, ninety percent are concerned about supply chain disruptions outside of their control. Despite the U.S. having one of the world’s largest mineral repositories ($6.2 trillion worth), less than half of the minerals American manufacturers use come from domestically mined resources.
The solution? Streamline the existing inefficient and duplicative mining policy and strengthen American manufacturing by supporting access to the raw materials the industry needs. Three out of four U.S. manufacturers agree that the permitting process in effect is too long, as the existing process takes seven to 10 years, five times longer than the Canadian and Australian processes. Making the permitting process more timely and efficient will reduce U.S. dependence on foreign nations and preserve U.S. competiveness.
See our infographic below for more key findings from this survey.