Targets real purchases
The bill focuses on documented replacement of foreign-manufactured tangible goods with similar West Virginia-made goods.
Model legislation
SB939: West Virginia Reshoring Manufacturing Act.
SB939, the WV Reshoring Manufacturing Act, is a performance-based, time-limited reshoring incentive designed to help West Virginia businesses replace foreign-made goods with goods manufactured in West Virginia.
What it does
A state tool for turning imports into in-state production.
SB939 creates a reshoring tax credit for eligible taxpayers that document the replacement of imported goods with similar goods manufactured by a qualified West Virginia manufacturer. The purpose is to move purchasing, production, jobs, industrial capacity, and taxable activity back into the state.
Rewards verified activity
Credits are based on verified initial reshoring value and verified continued reshored activity value, supported by an independent CPA verification report.
Builds lasting demand
The incentive is strongest at the initial switch, then steps down over repeat purchases to encourage sustained in-state supply relationships.
How SB939 works
Performance-based, capped, verified, and time-limited.
Guardrails
The bill is built around proof, accountability, and a defined sunset.
SB939 requires eligible taxpayers to apply through the state economic development division, document baseline import value, prove commercial comparability of replaced goods, and file a reshoring activity verification report. The taxpayer carries the burden of proof by clear and convincing evidence.
Qualified manufacturer
The supplier must maintain a physical manufacturing facility in West Virginia and perform the primary production of the reshored product in the state.
Tax application
The credit applies against West Virginia corporation net income tax and personal income tax in the order provided by the bill. It does not apply to employer withholding taxes.
Sunset
The article is proposed to take effect July 1, 2027, applies to taxable years 2027 through 2032, and expires December 31, 2032 unless reauthorized by the Legislature.
Modeled impact
SB939 turns a short-term incentive into long-term production.
The SB939 one-page analysis identifies approximately $636.9 million in tier 1-3 West Virginia reshoring opportunity in 2025 to-date imports. Under a 50% capture scenario, the model estimates $318.4 million in reshored activity, $668.7 million in expanded business activity using a 2.1x multiplier, $69.1 million in total tax collections, and roughly 3,410 jobs added.
NRC role
A model for state-level reshoring legislation.
NRC helps states adapt the SB939 framework to their own manufacturing base, import profile, tax structure, workforce needs, and economic-development priorities. The model is not one-size-fits-all. It is a practical starting point for states that want measurable import substitution, transparent verification, and performance-based public policy.
Data foundation
Use import, export, employer, and manufacturing-capacity data to identify where a state has realistic replacement opportunities.
Legislative design
Shape definitions, eligibility, credit rates, caps, verification, carryforward rules, and sunset provisions around state priorities.
Implementation support
Connect manufacturers, importers, economic developers, higher education, and public officials so legislation can become actual projects.
Official source
SB939: WV Reshoring Manufacturing Act.
The official West Virginia Legislature text identifies SB939 as creating the West Virginia Reshoring Manufacturing Act by adding Article 13NN to Chapter 11 of the West Virginia Code. The bill establishes findings, definitions, the reshoring tax credit, eligibility and verification requirements, tax application rules, carryforward and forfeiture provisions, rulemaking authority, burden of proof, sunset, preservation of earned credits, and an effective date.
State policy support
Use SB939 as a starting point for your state.
NRC can help translate the West Virginia framework into state-fit legislation, policy briefs, fiscal analysis, and chapter-level implementation.