H.R. 4128 — CIRCUIT Act

This section expands the advanced manufacturing production credit under IRC §45X to include distribution transformers (as defined in 42 U.S.C. §6291(35), i.e., certain liquid-immersed or dry-type transformers rated up to 34.5 kV for distributing electricity). It provides an elective credit equal to 10% of production costs for such transformers produced and sold after 90 days after enactment. (The credit supports U.S. production of clean energy components such as solar wafers, wind turbine blades, and inverters.)