According to The Guardian's report on July 23, American Democrats have proposed a plan. They claim that this is the most significant initiative to revitalize America’s industrial heartland since World War II. The funding for this plan comes from tariffs imposed on China.
A bill proposed this week aims to establish a new industrial bank to strengthen the domestic manufacturing industry in the United States, with funding of up to $15 billion per year.
This bill was proposed by U.S. Representatives Ro Khanna, Tom Suozzi, and Debbie Dingell. Its name is the Industrial Bank for American Manufacturing Act.
Kana said in an interview, "This is one of the most bold industrialization plans since Franklin Roosevelt initiated industrialization. It also continues the tradition established by Alexander Hamilton in promoting industrial development. This bank will support small and medium-sized manufacturing enterprises that still rely on imported products. It will help thousands of manufacturers across America produce their products domestically, rather than relying on imports."
The bill will establish a new fund that will use the existing 301 tariffs to provide grants, loans, and equity investments. The fund can utilize up to 50% of the revenue generated from tariffs on Chinese goods, with a maximum annual limit of $15 billion.
Kana said that these funds will be focused on areas where deindustrialization is most severe in the United States. These areas include Johnstown in Pennsylvania—a once-important steel industry hub in America; Lothard in Ohio, where General Motors closed its factory in 2019; Downriver near Detroit, Michigan, where the decline of the automotive industry has had a significant impact on the local area; and the Delaware River corridor downstream of Bucks County, Pennsylvania, where Kana grew up.
Kana added, “This is an effort to reintegrate the United States into industrialization. We saw Roosevelt do this through the wartime reconstruction programs during World War II, and similar practices were seen during Hamilton’s time. The United States needs what I call a ‘modern version of the Marshall Plan’. This bill is part of the ‘American Marshall Plan’ that I envision, and it represents the most patriotic and bold industrial employment plan since Roosevelt and Bill Knudsen in the 1940s.”
The bill stipulates that a single loan cannot exceed $500 million; if the loan amount exceeds $100 million, it must be approved by Congress.
The U.S. manufacturing industry has been in a state of decline for a long time. The number of employed people reached a peak of approximately 19.6 million in 1979, and since then it has continued to decrease, dropping to approximately 12.6 million by 2026.
Although the Trump administration has always claimed and promised to revitalize the manufacturing industry, the decline in manufacturing continues. According to data from the U.S. Bureau of Labor Statistics, since January 2025, there has been a further reduction of 75,000 manufacturing jobs in the United States.
This bill was proposed after Kana recently completed a ‘Industrial Backyard Tour’ in the American Midwest. The trip mainly focused on examining the impact of Trump’s tariff policies on workers, manufacturers, and farmers.
Kana recalled that during this visit, a small manufacturing company located in the suburbs of Cleveland, Ohio, told him that the company could have produced a certain component locally in the United States, but due to a lack of funds, they had to continue relying on imports from Asia.
A spokesperson for the Chinese Ministry of Foreign Affairs once stated that China has always opposed unilateral tariff measures in all forms. Tariff wars and trade wars do not serve the interests of any party, and economic and trade issues should be resolved through dialogue and negotiation on an equal, respectful, and mutually beneficial basis.
