Unlocking a New Wave of Machinery Investment in U.S. Manufacturing

The proposed H.R. 1 legislation - a sweeping tax reform package - could be a game-changer for U.S. manufacturers looking to modernize operations and invest in advanced machinery.

At its core, H.R. 1 aims to supercharge domestic production by making capital investment more attractive and immediately rewarding. For manufacturers, this means a rare window of opportunity to upgrade equipment, expand automation, and accelerate innovation.

Key Provisions That Matter:

• 100% Bonus Depreciation for qualified machinery and facility upgrades placed in service after Jan 19, 2025
• A new category: Qualified Production Property - eligible for full expensing
• Immediate Expensing for Domestic R&D - restoring a major incentive for innovation
• 35% Advanced Manufacturing Credit for semiconductor-related investments (starting 2026)

These provisions not only reduce the cost of capital but also encourage reshoring, automation, and digital transformation—especially for manufacturers investing in robotics, AI, and smart systems.

What This Means for You 

If you're planning to invest in new machinery, now is the time to:

• Reassess your capital investment strategy
• Align with evolving safety and compliance standards
• Prepare for functional safety, cybersecurity, and interoperability requirements

How Intertek Can Help 

Intertek supports manufacturers through:

• Field Evaluations and Certification of New Machinery
• Machinery and system safety evaluations
• Functional safety and cybersecurity assessments
• Compliance with U.S. and international standards
• Training and technical guidance to future-proof your investments

As the U.S. manufacturing sector enters a new era of opportunity, Intertek is here to help you invest with confidence and compliance.

Learn more:
www.intertek.com/industrial
www.intertek.com/industrial/field-labeling/