SBA and DOL Formalize Partnership to Strengthen U.S. Manufacturing

On July 16, 2025, the U.S. Small Business Administration (SBA) and the Department of Labor (DOL) signed a Memorandum of Understanding (MOU) aimed at bolstering domestic manufacturing by streamlining support for small producers—who comprise 98% of U.S. manufacturing firms. The MOU fosters enhanced data-sharing, strategic coordination, and cross-agency training to bridge capital tools with workforce development initiatives.

A primary goal of the MOU is to build a skilled labor pipeline. The DOL will expand its Registered Apprenticeship Program and workforce development resources—such as American Job Centers and labor-market data—to align training with the needs of manufacturing firms. Labor Secretary Lori Chavez DeRemer emphasized that this effort, backed by President Trump’s “America First” agenda, will “help ensure America’s workforce is ready to seize these opportunities”.

Simultaneously, the SBA will provide training on financial instruments—including the 7(a), 504, and microloan programs—and share data to help manufacturers access capital and contracting opportunities. The agency also will relay information about SBA initiatives like the Made in America Manufacturing Initiative, the new Onshoring Portal (with access to over 1 million U.S. suppliers), and red tape reduction efforts. The goal: streamline access to resources essential for domestic onshoring and industrial growth.

The non binding MOU—effective through April 1, 2027—establishes designated agency points of contact, confidentiality standards, and a framework for data exchange, but does not commit funding or personnel. SBA Administrator Kelly Loeffler noted that domestic manufacturers are poised for expansion and that the joint effort “cultivate[s] a pipeline of skilled workers and capital to support their growth”. Together, the SBA and DOL hope this coordinated approach will drive a surge in “Made in America” manufacturing, reviving supply chains and strengthening national security.


Section 301 Investigation Launched into Brazil’s Trading Practices

On July 15, 2025, the Office of the U.S. Trade Representative (USTR) formally launched a Section 301 investigation into Brazil’s trade policies at the direction of President Trump. This probe targets whether Brazil employs discriminatory or unfair practices that hurt U.S. businesses, focusing on six key areas: digital trade and electronic payments, preferential tariffs, anti corruption enforcement, intellectual property rights, ethanol market access, and illegal deforestation.

The investigation spotlights Brazil’s practice of granting more favorable duty rates to other countries while charging U.S. exporters higher rates—up to 18% in the case of ethanol—effectively disadvantaging American producers.

Broader market and regulatory concerns also motivated the inquiry. USTR says Brazil’s efforts to clamp down on corruption have been insufficient, its intellectual property protections weak, and controls over deforestation lax—enabling illegal timber and agriculture using illegally cleared land to compete unfairly in global markets.

USTR is now soliciting public input: written comments are due by August 18, 2025, and a public hearing is scheduled for September 3 in Washington, D.C. Consultations have also been requested with the Brazilian government. Should the investigation conclude that Brazil’s policies are indeed actionable, USTR can recommend trade remedies—potentially including tariffs or other retaliatory measures. 


CIT Declines to Lift Stay in IEEPA Tariffs Suit

On July 18, 2025, the U.S. Court of International Trade (CIT) formally denied Emily Ley Paper Inc. (d/b/a Simplified)—a Florida-based importer—challengers’ request to lift the court’s existing stay on their case against the tariffs imposed under the International Emergency Economic Powers Act (IEEPA). The stay, originally issued in early June, pauses further proceedings in Emily Ley Paper, d/b/a Simplified v. Donald J. Trump pending a final, non appealable resolution in the lead case (V.O.S. Selections v. United States) before the Federal Circuit.

The CIT’s refusal to lift the stay stems from the fact that V.O.S. Selections, decided by a unanimous three judge panel on May 28, 2025, held that the so called “Liberation Day” and other “worldwide” IEEPA based tariffs exceeded presidential authority under IEEPA. That decision vacated those orders and permanently enjoined their enforcement—but was stayed by the Federal Circuit while the case is on appeal. Emily Ley’s case relies heavily on that result and thus remains tethered to its ultimate outcome.

In its brief order on July 18, the CIT emphasized that resolving Emily Ley’s claims before a final appellate ruling would be premature and inefficient, since V.O.S. Selections will establish controlling precedent not only on the legality of the tariffs but also on the court’s jurisdiction under the Customs Court statutes. As a result, the stay remains in place “pending the appeal of the lead IEEPA tariff case,” delaying any further briefing, discovery, or motions in Emily Ley.

Plaintiffs’ now await the Federal Circuit’s ruling—expected later this summer—on whether the broad IEEPA based tariffs are legally sound.  A hearing in V.O.S. Selections is set for July 31, 2025.


OSHA Issues Updated Guidance on Penalty Reductions and Debt Collection

On July 14, 2025, the Occupational Safety and Health Administration (OSHA) released updated guidance on its penalty adjustment and debt collection procedures, revising Chapter 6 of its Field Operations Manual (FOM). These changes are designed to provide more flexibility for small employers and to encourage prompt correction of workplace hazards, while maintaining enforcement consistency across regions.

Among the most notable updates is an expanded eligibility threshold for small-business penalty reductions. Employers with 25 or fewer employees may now qualify for up to a 70% penalty reduction, an increase from the previous cap of 10 employees. In addition, OSHA introduced a new “quick-fix” incentive that allows a 15% penalty reduction for hazards corrected within five days of inspection, or up to 15 days in extenuating circumstances, provided employees are not exposed during that period.

Employers with strong safety track records also stand to benefit. Under the revised guidance, those with no OSHA inspections—or inspections without serious, willful, or repeat violations—within the past five years may now qualify for a 20% reduction in penalties, up from 10%. These changes are aimed at rewarding proactive safety cultures and lowering burdens on companies that consistently maintain compliance.

The new guidance also provides clearer instructions on OSHA’s debt collection process. Penalties not paid within 30 days of a final order will accrue interest and may be referred to the Department of Labor’s Debt Collection Assistance Team (DCAT) if they exceed $100. Unpaid debts could ultimately be escalated to the U.S. Treasury, resulting in collection fees, tax offsets, or other enforcement actions.

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