Project 2025 Tracker / What’s done, what’s next

26. Trade · Notable · Needs Congress · Contested — excluded from counts

Give financial and tax incentives to companies onshoring from China

Partially done

789 26. Trade · from “The Case for Fair Trade”

“Provide significant financial and tax incentives to American companies that are seeking to onshore production from Communist China to U.S. soil.”

What has happened

  1. Partially done

    The first onshoring incentive tied to a specific China-exposed sector: clause (6) of Proclamation 11055 directs the Secretary of Commerce to establish a program that accepts onshoring plans from companies building new U.S. facilities for unmanned aircraft systems and their components, and to give those companies preferential treatment against the proclamation's 100 percent and 25 percent section 232 duties. It is one sector, and the relief is tariff relief rather than the "financial and tax incentives" the Quote asks for.

  2. Partially done

    Congress enacted a large onshoring tax incentive that is not conditioned on onshoring from China. Section 70307 of Pub. L. 119-21 adds section 168(n) to the Internal Revenue Code, allowing a 100 percent first-year depreciation deduction for "qualified production property" - the factory building itself, excluding offices, lodging, parking and sales space - and section 70306 raises the section 179 expensing limits to $2.5 million. A company moving production out of China into a new U.S. plant qualifies, but so does every other manufacturer, and nothing in the law turns on where the production came from.

Research log

What was searched, and what didn’t count as evidence

Research notes

partial, not done, because progress is measured on this ask: the Quote asks for incentives aimed at companies “seeking to onshore production from Communist China”, and no instrument in the window conditions anything on the country production is leaving. What exists is a general domestic-production incentive (Pub. L. 119-21) and a sector-specific tariff-relief program (Proclamation 11055).

Adjacent, not used as Evidence:

  • EO 14255, Establishing the United States Investment Accelerator (2025-03-31), creates an office to shepherd investments over $1 billion; it facilitates rather than funds, and it is not addressed to onshoring from China. https://www.federalregister.gov/documents/2025/04/03/2025-05908/establishing-the-united-states-investment-accelerator
  • Two 2026 bills would create targeted onshoring incentives - S. 4994 (ONSHORE Manufacturing Act) and H.R. 9718 (Reshoring American Manufacturing Act of 2026), both introduced 2026-07-15 and both still in committee, which is not started on the Requires-Congress ladder and so adds no event.
Action
create
Object
Financial and tax incentives for onshoring production
ID
2076