Press Releases

Congressman Russell Fry (SC-07) Introduces Bill to Supercharge American Energy Infrastructure and Support Domestic Manufacturing

Washington, D.C. - Today, Congressman Russell Fry (SC-07) and Congresswoman Sharice Davids (KS-03) introduced the Credit Incentives for Resilient Critical Utility Infrastructure and Transformers (CIRCUIT) Act, legislation to retool the 45X tax credit to include distribution transformers in order to encourage domestic production.

Distribution transformers are critical components needed to strengthen America’s electric grid and secure energy dominance, but they are currently in short supply. With increasing pressure on distribution transformer manufacturers due to rising energy demand and concerns about grid reliability, Congressman Fry introduced this bill to provide targeted support that will boost domestic production and ensure a more reliable power infrastructure.

To facilitate increased production, this bill would expand the advanced manufacturing production credit (Section 45X) under the Internal Revenue Code to include distribution transformers, help address national shortages, ease supply chain bottlenecks, and reduce dependence on foreign suppliers.

“There is no path to American energy independence without a reliable, resilient electric grid—and that starts with distribution transformers,” said Congressman Fry. “President Trump is right: we need more energy online—but that energy is no good if it can’t be distributed across our grid. The CIRCUIT Act ensures we support the manufacturers producing the components our grid needs to grow, while protecting American jobs and advancing President Trump’s pro-energy, pro-manufacturing agenda. This is a win for South Carolina, a win for American jobs, and a win for energy security nationwide.”

“Supply chain disruptions are driving up costs and slowing down projects in Kansas and across the country—and one of the best ways to fix it is by making more right here at home,” said Congresswoman Davids. “By incentivizing domestic businesses to produce important technologies, this bipartisan bill will help bring down costs, reduce construction wait times, and improve electric grid reliability. I’m proud to work across the aisle with Representative Fry to strengthen our supply chains and lower housing costs for hardworking folks.”

This legislation is supported by the National Electrical Manufacturers Association (NEMA), the American Public Power Association, and the National Rural Electric Cooperative Association.

“NEMA welcomes the introduction of this critical legislation in the House,” said NEMA President and CEO Debra Phillips. “The bipartisan CIRCUIT Act will expand the list of entities included in the Advanced Manufacturing Tax Credit (45X) to include distribution transformers that are essential to building a reliable electrical grid. This will ease supply chain constraints and provide manufacturers with the certainty to scale onshoring and domestic production without fear of demand instability. We thank Reps. Russell Fry (R-SC) and Sharice Davids (D-KS) for their leadership to support our nation’s critical infrastructure and we encourage Congress to support new incentives for domestic transformer capacity such as through the CIRCUIT Act.”

This is the companion bill to the Senate’s CIRCUIT Act, introduced by Senators Jerry Moran (R-KS) and Catherine Cortez Masto (D-NV).

Read the full text of the bill here.

Congressman Fry serves on both the House Energy and Commerce Committee and the House Judiciary Committee. To stay up to date with Congressman Fry and his work for the Seventh District, follow his official Facebook, Instagram, and X pages and visit his website at fry.house.gov.