Freddy Swan

We’re not betting heavily on this prediction and don’t hold your breath, but I’m guessing there is going to be a rebirth of manufacturing here in the United States.Over the past decade, many manufacturers in the United States abandoned their factories and outsourced their work to the Far East and China to get their products made. Recently, however, there have been several signs that have lead me to believe that more and more products will be begin to be manufactured here on our home land. This is why:

Rising Labor Costs – China’s labor costs are going up and labor availability is not as plentiful as it was in the earlier years when people were anxious to migrate to the new factories, jobs and money.

Increased Material Costs – Raw materials are not as readily available to China’s factories at costs that make economic sense.

USA Productivity Gains – Productivity gains in the United States have been spectacular as new technology has been applied in the work place. We think the United States may rank 1st or 2nd in the world of productivity.

Shipping Bulky Items Uneconomical – Physical distribution costs trends have not favored China in shipping big items with lots of air thats found in many products.

Patriotic Movement – Finally, national patriotism, backed by government largess, has encouraged factories to locate in the U.S.

Now, I’m no manufacturing guru, so feel free to check my facts. But, what I do know is marketing and advertising.

So, look for advertising agencies and their manufacturing clients who are modernizing factories in the United States to begin to capitalize on this trend with “Made in the USA” as a strong part of their pitch.

What do you think? Am I way off or right on target? Give us your opinion.

 

 

 

 

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