Critical Minerals – The United States hosted a Critical Minerals Ministerial in early February, ‎bringing together representatives from more than 50 countries and the European Commission to ‎discuss global supply chain challenges related to critical minerals and rare earth elements. The ‎meeting, led by senior U.S. officials from across the Administration, focused on the role these ‎materials play in advanced manufacturing, energy technologies, and emerging industries, as ‎well as the risks associated with concentrated global supply.‎

NASF PFAS Litigation Initiative – PFAS-related litigation continues to expand nationwide, ‎with new lawsuits in recent months involving manufacturers, surface finishers, and suppliers. In ‎response, NASF has launched a new PFAS litigation monitoring and member guidance initiative ‎to help members stay informed as these cases continue to develop across the country.‎

Economic Outlook – Several widely followed economic reports released over the past two ‎weeks provide an updated snapshot of conditions facing manufacturers. The Conference Board’s ‎Consumer Confidence Index, released January 27, fell to 84.5, down from 94.2 in December. ‎The report showed declines in both how consumers view current conditions and their ‎expectations for the months ahead, indicating growing caution among households.‎

TSCA Reform – Congress is once again examining changes to how EPA reviews and regulates ‎chemicals under the federal Toxic Substances Control Act (TSCA). In late January, the House ‎Energy and Commerce Committee held a hearing on draft legislation that would adjust EPA’s ‎approach to both existing chemicals (including metals) already in commerce and new chemicals ‎entering the market, including reformulated products and new materials for industrial ‎applications.‎

WOTUS Clarifications – A major effort to clarify how wetlands and land uses are regulated ‎under the Clean Water Act is advancing through an EPA proposed rule that responds to the ‎recent, ground-breaking Supreme Court Sackett decision. The proposal represents the latest ‎attempt to clarify the scope of federal authority over local land-use decisions involving ‎wetlands and related water features on private property.‎

More details on these topics are below…‎

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U.S. Hosts Critical Minerals Ministerial Focused on Supply Chain Coordination

The United States hosted a Critical Minerals Ministerial in early February, bringing together ‎representatives from more than 50 countries and the European Commission to discuss global ‎supply chain challenges related to critical minerals and rare earth elements. The meeting, led by ‎senior U.S. officials from across the Administration, focused on the role these materials play in ‎advanced manufacturing, energy technologies, and emerging industries, as well as the risks ‎associated with concentrated global supply. Discussions covered a range of minerals critical to ‎industrial manufacturing, including copper, nickel, cobalt, lithium and other metals and ‎materials used across downstream supply chains.‎

Strengthening Supply Chain Resilience

The U.S. Department of State highlighted discussions at the ministerial centered on ‎strengthening supply chain resilience through greater coordination among participating ‎countries, expanded investment, and improved logistics and processing capacity. The United ‎States also announced a series of new bilateral frameworks and memoranda intended to support ‎cooperation on critical minerals development, financing, and trade.‎

U.S. officials emphasized that many of the initiatives discussed are ongoing or newly launched ‎efforts, and that further work will be required to address challenges related to pricing, ‎investment risk, and market structure. Several agencies discussed existing and planned ‎financing tools aimed at supporting domestic and international critical minerals projects, while ‎also underscoring the importance of private-sector participation.‎

New Research Reports Released on Critical Minerals Market Challenges

Recent analysis from Washington policy organizations is also informing the Administration’s ‎growing focus on critical minerals. A December 2025 brief from the SAFE Center for Critical ‎Minerals Strategy, Critical Minerals Pricing Mechanisms, along with a January 2026 report ‎from the Center for Strategic and International Studies (CSIS) titled Minerals at War, ‎examine how structural market distortions – particularly in key metals – can undermine supply ‎security. ‎

The CSIS report frames critical minerals as a long-term national security challenge and ‎highlights historical examples where governments combined pricing tools, procurement, ‎financing, and allied coordination to stabilize strategic supply chains. Together, these analyses ‎underscore growing interest in whether limited, targeted market interventions may be ‎considered alongside traditional trade and investment tools, though how such approaches would ‎be designed or applied remains an open question. NASF will continue to track these discussions ‎as they evolve.‎

NASF Launches PFAS Litigation Update and Member Guidance Initiative

PFAS-related litigation continues to expand nationwide, with new lawsuits in recent months ‎involving manufacturers, surface finishers, and suppliers. In response, NASF has launched a ‎new PFAS litigation monitoring and member guidance initiative to help members stay informed ‎as these cases continue to develop across the country.‎

Surface Finishing Focus ‎

As part of this effort, NASF is working with Keller and Heckman LLP, a Washington-based law ‎firm with extensive experience in PFAS and chemical regulatory matters, to develop and ‎present a series of member-only webinars and to participate in key industry events later this ‎year. These briefings will focus on PFAS litigation as it relates specifically to surface finishing ‎and other downstream industrial users, including recent cases, emerging legal theories, and ‎practical considerations relevant to plating and finishing operations.‎

Updates, Education and Risk Awareness

Recent PFAS lawsuits have increasingly moved beyond chemical manufacturers to name ‎downstream industrial users, waste handlers, and suppliers, including companies involved in ‎surface finishing. Through this initiative, NASF will provide periodic updates on litigation ‎trends, significant court developments, and general risk awareness considerations. The program ‎is intended to help members better understand the evolving PFAS litigation landscape and does ‎not constitute legal advice. Additional details on webinar scheduling and content will be shared ‎with members in the coming weeks.‎

Recent Economic Reports Point to Mixed Signals But Some Good News Moving into ‎February

Several widely followed economic reports released over the past two weeks provide an updated ‎snapshot of conditions facing manufacturers. The Conference Board’s Consumer Confidence ‎Index, released January 27, fell to 84.5, down from 94.2 in December. The report showed ‎declines in both how consumers view current conditions and their expectations for the months ‎ahead, indicating continued caution among households.‎

Manufacturing Activity Increasing

Manufacturing activity data moved in the opposite direction. S&P Global’s U.S. ‎Manufacturing PMI for January, released January 24, increased to 52.4, up from 51.8 in ‎December, reflecting the sharpest upturn since May 2022. The report noted that production ‎increased and new orders returned to growth, while firms continued to cite cost pressures and ‎weaker export demand.‎

Manufacturing Jobs Trending Lower

Many saw the recent employment data show manufacturing job levels meaningfully lower over ‎the past year. According to the Bureau of Labor Statistics’ Current Employment Statistics ‎report (as reflected in Federal Reserve Bank of St. Louis data), total U.S. manufacturing ‎employment declined by roughly 70,000 jobs from December 2024 to December 2025. ‎

Employment also moved lower in the final month of 2025, falling from approximately 12.70 ‎million jobs in November to about 12.69 million jobs in December, or about 8,000 jobs. ‎Average weekly hours in manufacturing declined slightly in December as well, from 40.1 hours ‎to 39.9 hours. The next monthly report will be issued in the coming days.‎

NASF will continue to track these key indicators and share updates as new data are released for ‎manufacturers as well as for surface finishing operations.‎

For a copy of the most recent NASF Economic Report for Surface Finishing: 2025, please ‎contact Jeff Hannapel at jhannapel@thepolicygroup.com or Christian Richter at ‎crichter@thepolicygroup.com. ‎

Congress Looking to Make Changes to Federal Chemicals Regulations

Congress is once again examining changes to how EPA reviews and regulates chemicals under ‎the federal Toxic Substances Control Act (TSCA). In late January, the House Energy and ‎Commerce Committee held a hearing on draft legislation that would adjust EPA’s approach to ‎both existing chemicals (including metals) already in commerce and new chemicals entering ‎the market, including reformulated products and new materials for industrial applications.‎

Real-World Scenarios and Hazards ‎

For manufacturers, the proposal matters because it would influence how quickly EPA completes ‎chemical reviews and how risk decisions are made. The draft would push EPA to focus risk ‎evaluations on real-world hazards and human exposures, rather than more speculative scenarios, ‎and would seek to reduce delays in EPA’s pre-manufacture review process for new chemicals. ‎Many industry supporters argue this could improve predictability for companies developing new ‎products or responding to supply-chain and regulatory pressures.‎

Coordination between EPA and OSHA on Requirements

The draft legislation would also encourage greater coordination between EPA and other federal ‎agencies, such as OSHA, to avoid overlapping or conflicting requirements. While supporters say ‎the proposal would promote science-based regulation and more practical compliance outcomes, ‎critics argue it could weaken health and environmental protections. The proposal faces an ‎uncertain path in Congress, but it reflects ongoing interest in revisiting how TSCA is ‎implemented. NASF will continue tracking the discussion and assessing what potential changes ‎could mean for surface finishers and downstream manufacturers.‎

EPA Clarifications to “Waters of the United States” Rule Are Advancing

A major effort to clarify how wetlands and land uses are regulated under the Clean Water Act is ‎advancing through an EPA proposed rule that responds to the recent, ground-breaking Supreme ‎Court Sackett decision. The proposal represents the latest attempt to clarify the scope of federal ‎authority over local land-use decisions involving wetlands and related water features on private ‎property.‎

The proposal includes revised definitions for what water features on private land constitute ‎‎“waters of the United States” (WOTUS) and will determine the precise scope of federal Clean ‎Water Act permitting. Once finalized, the rule will affect whether facilities need permits for ‎activities such as filling, excavation, or site development associated with expansions or ‎infrastructure improvements.‎

Certainty and Durability for Future Decisions

The proposed clarifications seek more certainty for landowners with new definitions for key ‎terms such as what qualifies as a “relatively permanent” water and what constitutes a ‎‎“continuous surface connection” between a water feature and an adjacent jurisdictional water. ‎EPA, along with the U.S. Army Corps of Engineers, also proposes confirming that certain ‎features – including groundwater, most ditches constructed in dry land, and certain other ‎features – are excluded from federal jurisdiction. Agency officials have stated that these ‎changes are intended to narrow the scope of regulated waters and reduce uncertainty for ‎regulated entities.‎

Small Business Concerns and Permitting Issues

Industry groups generally view the proposed clarifications as a positive step toward a more ‎predictable permitting framework for facility expansions and site improvements. However, ‎some stakeholders have raised concerns by tying permitting conditions and decisions to a “wet ‎season,” noting that a seasonal approach could introduce new problems. While the issue is often ‎discussed in agricultural contexts, input from business and construction stakeholders has urged ‎EPA to provide greater clarity to ensure that seasonal interpretations do not complicate ‎permitting decisions or long-term site planning for regulated facilities.‎

While the proposed rule does not eliminate all uncertainty, it represents the latest effort to draw ‎clearer jurisdictional boundaries for land-use decisions. NASF will continue to monitor the ‎rulemaking process and provide updates as EPA and the Corps move toward a final rule.‎

NASF 1000

The NASF 1000 program was established to ensure that the surface finishing industry would ‎have resources to effectively address regulatory, legislative and legal actions impacting the ‎industry, NASF members and their workplaces. All funds from the NASF 1000 program are used ‎exclusively to support specific projects and initiatives that fall outside the association’s day-to-‎day public policy activities. The commitment to this program is one of the most vital ‎contributions made in support of surface finishing and directly shapes the future of the ‎industry. ‎

The sustained commitment from industry leaders has helped the NASF remain strong and ‎credible in informing regulatory decisions across the nation. Specific projects funded through ‎the NASF 1000 make a measurable difference in how the industry navigates emerging ‎challenges, communicates credibly with policy makers, and advocates for a strong science base ‎for rules or standards that affect surface finishing. ‎

Please consider supporting the NASF 1000 program. For more information, contact: Christian Richter (202-257-‎‎0250) or Jeff Hannapel (202 257-3756) with NASF.‎

As midterm elections loom this November and the congressional calendar is shortened, legislative productivity on Capitol Hill has fallen to historic lows at this point, with 40 bills enacted last year. At the Supreme Court, a decision on the legality of the President’s emergency tariffs is expected shortly, putting more than $200 billion in tariff revenue generated last year at stake.

In the executive branch, while historic deregulation and a reshaping of the federal bureaucracy remain top White House priorities, leadership at EPA, OSHA, and other agencies will continue to pursue major regulatory initiatives with implications for U.S. industry.

NASF is engaged across the board on a wide range of matters affecting the industry, including metals and supply chain discussions, materials uses and restrictions pending in the U.S. and globally, a nationwide PFAS decision for metal finishing in 2026 and larger PFAS litigation that touches downstream industrial users, including plating and finishing operations.

See more on recent and emerging developments as we kick off the New Year. A headline summary and expanded updates are below…

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Latest Small Business, GDP Data – As the New Year Begins, U.S. Chamber Small Business Index Points to Slight Softening Despite Solid Recent GDP Growth – As the first week of January gets underway, recently released survey data reinforce what many small businesses and manufacturers are reporting as they plan for the months ahead. The MetLife & U.S. Chamber of Commerce Small Business Index (SBI), published in mid-December, registered 68.4 for the fourth quarter, down from 72.0 in the prior quarter and broadly in line with year-ago levels.

Deregulation – EPA Enforcement Office Announcement Highlights Focus This Year on “Compliance First” Approach – EPA’s Office of Enforcement and Compliance Assurance (OECA) just issued a December 5 memo that focuses on a “compliance first” approach to environmental enforcement actions. The memo emphasizes prioritizing environmental compliance across all types of enforcement activities using what EPA describes as the most efficient and defensible means available, while aligning enforcement actions with the Trump administration’s executive orders and priorities.

Legislation – New PFAS Liability Legislation Introduced in House and Senate – New PFAS-related liability legislation was re-introduced in Congress in mid-December that would amend the Toxic Substances Control Act (TSCA) to establish a federal cause of action and authorize medical monitoring for individuals significantly exposed to per- and polyfluoroalkyl substances (PFAS), with claims directed at parties involved in PFAS manufacturing.

European Commission is Seeking Input on Workplace Exposure Limits for Chromium and Other Key Substances – The European Commission in December a consultation on occupational exposure to certain chromium compounds and six other substances as part of its ongoing review of workplace health and safety rules under the Carcinogens, Mutagens and Reprotoxic Substances Directive (CMRD).

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As the New Year Begins, U.S. Chamber Small Business Index Points to Slight Softening Despite Solid Recent GDP Growth

As the first week of January gets underway, recently released survey data reinforce what many small businesses and manufacturers are reporting as they plan for the months ahead. The MetLife & U.S. Chamber of Commerce Small Business Index (SBI), published in mid-December, registered 68.4 for the fourth quarter, down from 72.0 in the prior quarter and broadly in line with year-ago levels. While most underlying measures did not show sharp declines, the survey shows some softening in areas such as comfort with cash flow and plans for future hiring and investment.

The most significant challenge facing small business owners is inflation, followed by workforce pressures. Fewer respondents report being very comfortable with current cash flow, and assessments of local economic conditions declined slightly, with 43% saying their local economy is in good health. Concerns related to employee retention and attracting qualified workers increased compared to late 2024, underscoring ongoing labor constraints.

These conditions persist even as the most recent official GDP data, released by the U.S. Bureau of Economic Analysis in late December, showed strong economic growth in the third quarter of 2025. Other industry-specific indicators also point to a moderation in activity. For many manufacturers and finishers, the data underscore a familiar reality heading into the new year: headline economic growth has not fully alleviated cost, labor, and operating challenges on the ground.

For more information, please contact Jeff Hannapel (jhannapel@thepolicygroup.com) or Christian Richter (crichter@thepolicygroup.com) with NASF.

EPA Enforcement Office Will Focus on New “Compliance First” Approach in 2026

EPA’s Office of Enforcement and Compliance Assurance (OECA) just issued a December 5 memo that focuses on a “compliance first” approach to environmental enforcement actions.

The memo emphasizes prioritizing environmental compliance across all types of enforcement activities using what EPA describes as the most efficient and defensible means available, while aligning enforcement actions with the Trump administration’s executive orders and priorities.

The agency says it intends to focus enforcement efforts on achieving timely compliance rather than pursuing enforcement actions that may extend negotiations or delay corrective action at a facility.

The memo and the announcement accompanying it underscore that EPA’s core enforcement functions will be maintained – including monitoring compliance with environmental laws and returning regulated entities back to compliance – while placing greater emphasis on practical outcomes and clarity around the requirements of the law.

For manufacturers and surface finishers, the policy signals a continued shift toward resolving compliance issues earlier in the process and potentially fewer prolonged enforcement disputes. While EPA has noted that enforcement will continue where violations persist, the compliance-first approach reflects a more selective and outcome-focused approach, particularly in non-criminal matters.

NASF will continue to monitor how this policy is implemented across EPA programs and what it may mean for compliance expectations, inspection activity, and enforcement risk in the months ahead.

For more information, please contact Jeff Hannapel (jhannapel@thepolicygroup.com) or Christian Richter (crichter@thepolicygroup.com) with NASF.

New PFAS Liability Legislation Introduced in House and Senate

New PFAS-related liability legislation was re-introduced in Congress in mid-December that would amend the Toxic Substances Control Act (TSCA) to establish a federal cause of action and authorize medical monitoring for individuals significantly exposed to per- and polyfluoroalkyl substances (PFAS), with claims directed at parties involved in PFAS manufacturing.

The legislation, H.R. 6626 / S. 3460 – the PFAS Accountability Act of 2025 – was introduced by Rep. Madeleine Dean (D-PA) and Sen. Kirsten Gillibrand (D-NY). Additional House co-sponsors include Reps. Debbie Dingell (D-MI), Jerry Nadler (D-NY) and Rashida Tlaib (D-MI).

The bill has been referred to the House Energy and Commerce and the Judiciary committees.

Environmental groups and other plaintiffs have argued for some time that medical monitoring should be allowed as a remedy for exposures to PFAS because some related health effects may take years to develop.

Key Provisions

Federal Cause of Action – The bill would add a new section to TSCA titled “Individuals Exposed to Perfluoroalkyl and Polyfluoroalkyl Substances.” It would allow individuals who have been “significantly exposed to PFAS,” or who have reasonable grounds to suspect significant exposure, to bring claims individually or as part of a class action in federal district court.

Claims could be brought against any person that engaged in any portion of a manufacturing process that created the PFAS to which the individual was exposed and foresaw or reasonably should have foreseen that the creation or use of PFAS would result in human exposure.

Presumptions of Exposure – The bill establishes rebuttable presumptions of “significant exposure,” including where PFAS were released into areas of exposure for a cumulative period of at least one year or where biomonitoring results show PFAS or PFAS metabolites in the body. Defendants would be permitted to rebut the presumption through independent testing at their expense.

Medical Monitoring – The legislation would authorize courts to award medical monitoring where significant PFAS exposure has resulted in an increased risk of developing disease and where additional or more frequent diagnostic testing is reasonably necessary and effective. Where toxicological data are insufficient, courts would be permitted to lower the standard for scientific proof and may order additional studies.

Definition of PFAS – The bill defines PFAS broadly as any per- or polyfluoroalkyl substance with at least one fully fluorinated carbon atom.

Versions of the PFAS Accountability Act have been introduced in prior Congresses but have not advanced into law. The legislation also specifies that it does not preempt or limit state law claims or remedies.

NASF continues to monitor this and other PFAS legislation and their potential implications as the PFAS policy landscape continues to evolve.

For more information, please contact Jeff Hannapel (jhannapel@thepolicygroup.com) or Christian Richter (crichter@thepolicygroup.com) with NASF.

European Commission is Seeking Input on Workplace Exposure Limits for Chromium and Other Key Substances

The European Commission in December a consultation on occupational exposure to certain chromium compounds and six other substances as part of its ongoing review of workplace health and safety rules under the Carcinogens, Mutagens and Reprotoxic Substances Directive (CMRD).

The CMRD is the European Union’s primary framework governing worker exposure to hazardous substances associated with cancer, genetic damage, or reproductive health effects. It sets binding occupational exposure limits (OELs) that employers must meet across EU member states.

Information collected through the consultation will help determine whether the Commission introduces new or updates existing exposure limits as part of the latest revision of the Directive. Substances under review include:

• chromium VI compounds
• respirable crystalline silica
• certain chlorinated solvents
• chloroprene
• glycidyl methacrylate, and
• nitrosamines.

The survey is aimed at companies and workers that use or generate these substances, as well as national authorities and occupational safety professionals, and will remain open until January 12. Input will inform future regulatory decisions that could affect compliance obligations, workplace controls, and operating costs for EU-based facilities.

In the meantime, the EU is finalizing its earlier, or sixth, revision of the CMRD, which will introduce new exposure limits for substances such as cobalt compounds and polycyclic aromatic hydrocarbons.

NASF will continue to monitor chromium developments in Europe on both the occupational exposure and chemicals management fronts in the coming year, as we expect more activity ahead on workplace and substance restrictions fronts.

For more information, please contact Jeff Hannapel (jhannapel@thepolicygroup.com) or Christian Richter (crichter@thepolicygroup.com) with NASF.

NASF 1000

The NASF 1000 program was established to ensure that the surface finishing industry would ‎have resources to effectively address regulatory, legislative and legal actions impacting the ‎industry, NASF members and their workplaces. All funds from the NASF 1000 program are used ‎exclusively to support specific projects and initiatives that fall outside the association’s day-to-‎day public policy activities. The commitment to this program is one of the most vital ‎contributions made in support of surface finishing and directly shapes the future of the ‎industry. ‎

The sustained commitment from industry leaders has helped the NASF remain strong and ‎credible in informing regulatory decisions across the nation. Specific projects funded through ‎the NASF 1000 make a measurable difference in how the industry navigates emerging ‎challenges, communicates credibly with policy makers, and advocates for a strong science base ‎for rules or standards that affect surface finishing. ‎

Please consider supporting the NASF 1000 program. For more information, contact: Christian Richter (202-257-‎‎0250) or Jeff Hannapel (202 257-3756) with NASF.‎