(Washington DC) U.S. Representative Zach Nunn, representing Iowa’s 3rd Congressional District, introduced bipartisan legislation to help prevent another infant formula shortage.
The Infant Formula Made in America Act of 2025, which is co-led by U.S. Representatives Chrissy Houlahan (PA-06) and Rosa DeLauro (CT-03), will diversify the formula supply chain by supporting small-sized manufacturers based in the United States.
Infant formula is the most highly regulated food. In the U.S., oversight and regulation of infant formula is akin to pharmaceuticals rather than food products. Due to the high and costly barriers to entry, there had not been a single new manufacturer registered with the FDA in 15 years until 2022.
Nunn said the Infant Formula Made in America Act of 2025 would create a transferrable tax credit for small, domestic infant formula manufacturers across the nation.
For any taxable year, manufacturers may receive a credit equal to 30% of their qualified investment. Additionally, this bill provides a production tax credit to allow companies to receive $2.00 per pound of infant formula produced.
