Senators Bernie Moreno of Ohio and Tammy Baldwin of Wisconsin called on March 26 for the Department of Commerce to launch a Section 232 investigation into the offshoring of American jobs by major heavy equipment manufacturers. The senators sent a letter to Commerce Secretary Howard Lutnick, urging action against companies moving production to Mexico and requesting that renegotiations of the United States-Mexico-Canada Agreement address loopholes enabling such practices.
The senators say this issue is important because it affects American workers, communities, and domestic manufacturing. They argue that current trade policies have allowed companies to move jobs overseas while continuing to profit from sales in the United States.
“We are outraged that John Deere, Case New Holland (CNH), Caterpillar, and other major manufacturers have turned their backs on the American workers, families, and towns that built them by sending production of heavy construction and agricultural equipment to Mexico,” wrote Moreno and Baldwin. “These companies should not be allowed to eliminate American jobs, pay Mexican workers poverty wages, and then ship products back to the U.S. for additional profit on the backs of our communities. They argue that offshoring is necessary to remain competitive, but when it comes time to pay executives or shareholders, they are never short of money.”
The letter details recent layoffs in Racine, Wisconsin where CNH laid off 220 workers as production moved abroad. In Burlington, Iowa about 200 CNH employees are set to lose their jobs after an announced facility closure. John Deere reportedly laid off over 3,600 union workers following similar moves from Iowa facilities to Mexico. Caterpillar has maintained six production sites in Mexico with no plans for returning operations stateside.
The senators also highlighted financial returns made by these companies in recent years: John Deere paid $8.4 billion to shareholders; CNH delivered $1.7 billion; Caterpillar returned $18.2 billion through dividends and buybacks.
According to Moreno’s official website, he serves on Senate committees related to banking, housing, urban affairs, commerce science transportation as well as homeland security issues—demonstrating his focus on job creation in Ohio through various initiatives including technology promotion like blockchain adoption.
Moreno immigrated from Colombia at age five with his family before becoming a U.S citizen at eighteen according to his official website. He maintains offices across Washington D.C., Columbus Cleveland Cincinnati providing constituent services for Ohio residents according to his official website.
Looking ahead, Moreno continues efforts supporting innovation in transportation technologies while advocating equitable lending policies according to his official website. The senators conclude their letter by urging targeted tariffs as part of comprehensive remedies intended “to safeguard good jobs and American heavy equipment production.”
