Advanced Manufacturing Fellowship Act of 1998

Advanced Manufacturing Fellowship Act of 1998 - Amends the Higher Education Act of 1965 to direct the Secretary of Education, by competitively selected contract, to establish an Advanced Manufacturing Fellowship program.

Requires any small business manufacturing enterprise that obtains an advanced manufacturing fellowship program to: (1) provide 80 percent of the cost of the salary and related benefits of the fellowship recipient; and (2) submit a yearly evaluation of the value and benefits obtained from program participation.

Requires fellowships to cover 20 percent of the costs of salary and related benefits of recipients, not to exceed the salary and related benefits available to similar individuals in similar employment, for one year of employment with a small business manufacturing enterprise.

Prescribes a competitive procedure for selection of fellowship recipients.

Limits to 20 the maximum number of such fellowships which may be awarded for employment in any single State.

Directs the contractor to provide for an appropriate public ceremony or ceremonies for, or other means of publicizing, the announcement of fellowship awards.

Makes individuals eligible for such fellowships if they are U.S. citizens who: (1) have received a masters or doctorate degree within the five years preceding the award in a science or engineering field of study; and (2) are or will be employed by a small business manufacturing enterprise. Makes an enterprise eligible if it: (1) has not more than 1,000 employees; and (2) is engaged in the manufacture of a product, or in the active development of a product that the enterprise will manufacture.

Authorizes appropriations.