WED AM News: Talking Trade with Kurt Bauer, Wisconsin Manufacturers & Commerce; Evers announces up to $100 million in state credits for Eli Lilly manufacturing facility

August 6, 2025

— In the latest episode of “Talking Trade,” Wisconsin Manufacturers & Commerce President and CEO Kurt Bauer emphasizes the state’s reliance on foreign markets for exported goods amid tariff-related uncertainty.

Bauer highlights the central role of manufacturing in Wisconsin’s economy, calling it “our economic supersector” for creating jobs and wealth in the state. It makes up 18% of state GDP, compared to 12% for the Midwest and 8% nationally.

The discussion explores how tariffs on raw materials are impacting exporters in Wisconsin. Bauer notes “our membership is a bit divided on this,” as some companies support the Trump administration’s tariffs while others are opposed.

“It really depends on what you make or what you grow, where you sell it, where you source inputs, what your supply chain looks like,” he said. “So it really depends on those different factors, on how you evaluate you’re in support of what the president is trying to do.”

Larger companies in WMC’s membership tend to be more opposed, Bauer says, noting tariffs have created uncertainty and confusion for many businesses. And while the situation has been “stabilizing a little bit,” pricing has remained a challenge due to market fluctuations, he added.

“Access to markets is critical, as I indicated, we’re a manufacturing state and we need to export,” he said. “You need to have access to those markets, and there are retaliatory tariffs that have come into place that make some of our U.S. goods unaffordable.”

But at the same time, the WMC members that support tariffs do so for “fundamental fairness” reasons and due to the opportunities they create, Bauer added.

“We have opened our markets to foreign products basically since World War II, and other nations have not reciprocated completely … some of our members are just frustrated that we’ve opened our markets and other nations have not reciprocated,” he said.

Meanwhile, frustration among foreign trade partners have led to “soft boycotts” of U.S. products, causing further challenges for already stressed supply chains.

“The president of course is trying to grow manufacturing and the supply chain in the United States, which we understand and support, but the reality is that you just can’t snap your fingers and create a manufacturer that can make a specialty component, a precision part,” he said.

Bauer says the tariff backlash has been particularly intense in Canada.

“With my counterparts in Canada from across the border, they’re frustrated, they’re angry, and we have seen a backlash,” he said.

The show is hosted by E.M Wasylik Associates Managing Director Ken Wasylik and M.E. Dey & Co. President and Managing Director Sandi Siegel.

Watch the full episode here.

“Talking Trade” is now available in audio form on Apple Podcasts and Google Podcasts. Subscribe and find more episodes here.

— Gov. Tony Evers announced Eli Lilly and Co. will be eligible for up to $100 million in state tax credits to boost its $4 billion investment in a Wisconsin manufacturing facility.

According to the Wisconsin Economic Development Corp., the $100 million in incentives are contingent upon the company creating at least 700 jobs and making at least $2.2 billion in capital investments.

The incentive package includes benchmarks for each year over the 12-year life of the enterprise zone with a cap on how many credits can be earned.

The Indianapolis-based company announced in December that it planned a $3 billion expansion of the Kenosha County manufacturing facility it had acquired earlier last year. The company expected to add 750 jobs to the more than 100 already working at the facility.

The guv’s office said the company’s acquisition, expansion and additional purchases of property upped the planned investment to $4 billion.

Evers yesterday praised the company’s “historic investment in our communities” as “great news for Wisconsin.”

Meanwhile, Lilly Executive Vice President Edgardo Hernandez said the company appreciates the partnership and leadership from the guv, WEDC, local officials and others.

“We look forward to contributing to the region’s strong legacy of innovation and economic vitality for years to come,” said Hernandez, who’s also president of the company’s manufacturing operations.

See the release.

— A national survey from Milwaukee-based Northwestern Mutual finds attitudes are mixed on the use of AI in the financial services industry.

The company yesterday released results from its 2025 Planning & Progress Study, including survey results focused on AI applications within financial services and daily life.

When asked whether they trust humans or artificial intelligence more to handle various tasks such as creating a retirement plan, managing a budget or recommending financial products, respondents overwhelmingly preferred humans.

And across all the tasks outlined in the survey, a greater share of respondents said they trusted both humans and AI the same compared to those that trust AI more than people.

As one example, 56% said they trusted humans more to create a retirement plan while 13% trust AI more, 21% trust both the same and 10% said they weren’t sure. This breakdown was roughly similar for all nine of the financial services tasks included in the survey.

But at the same time, 47% of respondents said they would prefer to work with a financial advisor who understands and uses AI to help their clients. Fourteen percent said they strongly agree with this statement and 32% said they agree, while 17% disagree and 13% strongly disagree. Another 24% weren’t sure.

Meanwhile, 31% of respondents said they’re currently using AI in their work or personal life, while 63% said they aren’t using the technology and 6% weren’t sure.

On behalf of Northwestern Mutual, the Harris Poll conducted the online survey in January with 4,626 adult respondents, including 969 “high net worth” respondents with qualifying assets totalling $1 million or more.

See the release and results.

— The state’s Home Energy Rebate Programs have paid out more than $2 million since launching, helping state residents make energy-efficient home upgrades.

That’s according to a release from Gov. Tony Evers and the state Public Service Commission touting the one-year anniversary of the programs.

They’re funded with $149 million from the Inflation Reduction Act, the release shows, allocated to Wisconsin for the HOMES Program and the HEAR Program.

While the former funds “whole-home” energy efficiency upgrades like insulation and ventilation, the latter provides discounts to low- and moderate-income households for efficient appliances and other installations. Both are administered by the state’s Focus on Energy program.

See the release.

— St. Croix Hospice will acquire Mayo Clinic Health System’s hospice operations in northwestern and southwestern Wisconsin under a newly announced agreement.

The Minnesota-based hospice service provider currently has 85 locations spread across the Midwest, and cares for about 5,600 patients in the region.

Dr. Richard Helmers, vice president of Mayo Clinic Health System Wisconsin, says the earlier transition of services of the MCHS Mankato program to St. Croix Hospice was done in a “thoughtful and patient-centric” way.

“Over the past several years, we’ve built a strong collaborative relationship with St. Croix Hospice, grounded in a shared commitment to compassionate, high-quality end-of-life care,” Helmers said in a statement.

The agreement, which is expected to close later this quarter, builds on this longstanding partnership. St. Croix Hospice was already serving as the lead agency for hospice patients referred outside the health system.

The acquisition follows last year’s purchase of other hospice programs in Iowa and Nebraska, which closed in the fourth quarter, according to the announcement. St. Croix Hospice CEO Heath Bartness points to the “emerging trend” of health systems selling off their hospital-based post-acute care services.

“We appreciate our long-standing referral relationship with MCHS and are pleased that St. Croix Hospice was selected to continue their tradition of clinical excellence in hospice care,” Bartness said in a statement.

See the release.

— The Medical College of Wisconsin held a ribbon-cutting ceremony for the new Center for Cancer Discovery at its Milwaukee medical campus.

The 161,000-square-foot facility will serve as a hub for the college’s cancer research efforts, including the more than 220 active clinical trials under the MCW Cancer Center’s research programs. It also includes a new BioHub incubator space for biotech startups led by researchers.

Once the relocation process is complete in October, the new Center for Cancer Discovery will house more than 300 scientists and other staff.

“Now, anchored by the Center for Cancer Discovery, hundreds of basic, clinical, and population scientists will be located together, allowing for innovative ideas to move from the bench to a patient’s bedside and to the community faster,” said Gustavo Leone, senior associate dean for cancer research at MCW and director of the college’s cancer center.

The $150 million project got state support through a $10 million grant, the announcement notes.

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AGRIBUSINESS

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CONSTRUCTION

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ECONOMY

– Evers announces $100 million tax credits deal with Eli Lilly for Kenosha County development

– $100 million in state tax credits announced for Eli Lilly development in Kenosha County