All American Metal Act

Bill Number

H.R. 6827

Origin Chamber

House

Congress

119th Congress, Session 1

Policy Area

Taxation

Status

Introduced

Latest Action

2025-12-17: Referred to the House Committee on Ways and Means.

Last Updated

2026-05-15T08:07:48Z

AI-Generated Summary

Purpose of the Legislation

The "All American Metal Act" (H.R. 6827) aims to promote domestic manufacturing and recycling by expanding a tax credit for advanced manufacturing to include high-purity recycled copper. This encourages the production of recycled materials in the United States, potentially reducing reliance on foreign imports and supporting environmental sustainability.

Key Provisions

• Amendment to Tax Code: The bill modifies Section 45X(c)(6) of the Internal Revenue Code of 1986, which governs the advanced manufacturing production credit (a tax incentive for producing certain clean energy components and critical minerals).
• Inclusion of Recycled Copper: Adds a new category for "copper" that qualifies if it is:
• Produced from recycled materials.
• Purified to at least 99.9% copper by mass.
• Effective Date: Applies to components produced and sold in taxable years beginning after December 31, 2024.

Significant Changes to Existing Law

• Expands the list of eligible materials under the advanced manufacturing production credit by inserting recycled copper as a new subparagraph (I), shifting existing subparagraphs (I) through (AA) to (J) through (BB).
• Previously, the credit covered items like solar panels, wind turbines, batteries, and certain metals (e.g., steel, aluminum), but did not explicitly include recycled copper. This change broadens the credit to incentivize copper recycling specifically.

Potential Impacts

• On Government Agencies: The U.S. Department of the Treasury and Internal Revenue Service (IRS) may see increased administrative workload for verifying eligibility and processing claims, with potential revenue loss from expanded tax credits (offset by economic growth in manufacturing).
• On Citizens and Businesses: U.S. manufacturers of recycled copper could receive tax credits (up to a percentage of production costs), lowering expenses and boosting profitability. This may create jobs in recycling and purification sectors, benefiting workers in industrial areas.
• On International Relations: Could reduce U.S. dependence on imported copper (often from countries like Chile or China), strengthening domestic supply chains but potentially affecting trade dynamics with copper-exporting nations.
• Broader Effects: Promotes recycling, which may decrease environmental waste from mining, though the scale depends on adoption by businesses.

Main Stakeholders Affected

• Primary Beneficiaries: Domestic manufacturers and producers of recycled copper, including companies in the metals recycling industry.
• Other Affected Parties: Taxpayers in the advanced manufacturing sector (e.g., those producing eligible components); environmental organizations supporting recycling initiatives; and the federal government, which funds the tax credit through forgone revenue.
• Indirectly Impacted: Consumers of copper products (e.g., in electronics, construction) may see stabilized or lower prices if domestic production increases; mining companies could face competition from recycling.

Notable Legal, Constitutional, or Political Implications

• Legal: This is a straightforward tax code amendment under Congress's authority to regulate taxation (Article I, Section 8 of the U.S. Constitution). It aligns with existing clean energy incentives from the Inflation Reduction Act of 2022 but requires IRS guidance for implementation to define "recycled materials" and purity standards.
• Constitutional: No apparent challenges; it supports enumerated powers for commerce and taxation without infringing on states' rights or individual liberties.
• Political: Reinforces bipartisan goals of "Buy American" policies and green manufacturing, potentially appealing to pro-industry lawmakers. It may spark debate on tax expenditures (government spending via credits) versus direct subsidies, but the bill's narrow focus limits broader controversy.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Rep. Vindman, Eugene Simon [D-VA-7]

Cosponsors (2)

Del. Moylan, James C. [R-GU-At Large], Rep. Lawler, Michael [R-NY-17]

Recent Actions

• 2025-12-17: Referred to the House Committee on Ways and Means.
• 2025-12-17: Introduced in House
• 2025-12-17: Introduced in House

Bill Versions

• All American Metal Act — issued 2025-12-17 — PDF (2 pages)