Reshoring Adds 171,000 Jobs in 2017

May 2018

Reshoring Adds 171,000 Jobs in 2017: Implications for the Trade Debate 171,000 U.S. Reshoring and Foreign Direct Investment (FDI) jobs announced in 2017, up 2,800 percent since 2010 The total number of manufacturing jobs brought to the U.S. from offshore is now over half a million since the manufacturing employment low of 2010, providing strong evidence that jobs can continue to be successfully brought back. Industry Week's "Reshoring is on the Rise: What it Means for the Trade Debate" discusses how reshoring can lower the trade deficit. Source: Reshoring Initiative 2017 Data Report

In the News A recent report favors the U.S. drive for increased competitiveness. Research by Oxford Analytics shows Chinese indexed unit labor costs rising rapidly again after several years of stagnation.   Indexed Unit Labor Cost in Manufacturing in Selected Countries See the Newsletter Supplement for related articles on trend topics, including: U.S. tax cuts to increase German investment in U.S. by 39 billion Euro; problems with import overhead and currency fluctuations; and the impact of trade on U.S. manufacturing. Our Current Initiatives We are continually developing tools to help the reshoring trend grow. Here are some of the products we are working on: Import Substitution Program (ISP): Helps manufacturers, trade associations, equipment sellers, MEPs and economic development organizations identify and qualify major relevant importers and convince them to reshore. It also helps to identify supply chain gaps that can be filled by FDI. Contact us for help. Competitiveness Toolkit: Enables the government to select the optimal national policies to bring back a desired number of the five million offshored manufacturing jobs. Back Office Reshoring Research with Projected 50% savings vs. offshore:  The Reshoring Initiative and Intellilink have joined forces to conduct the research. The purpose is to confirm the value proposition of reshoring back office processes (BOP) by using local U.S.-based staff and Robotic Process Automation (RPA) software. If the project is successful, the participating company will achieve higher productivity and an ongoing 50% cost savings vs. offshore outsourcing. The U.S. will have the potential to bring back up to one million BOP jobs. We are seeking a suitable company to participate in the study. Follow the link for details and participation benefits. Manufacturing Reshoring Survey: Results will be released by mid-May. You can then visit this blog to find out: (1) why companies produce and source so much offshore; (2) how big the price gap is, U.S. vs. offshore; and (3) what national and corporate policy changes are needed to make more reshoring viable for individual companies. Second National Reshoring Award: Submit your reshoring case. The 2018 Award competition is sponsored by PMA (Precision Metalforming Association) and the Reshoring Initiative. We can help you reshore now, in time to meet the September 1, 2018 deadline. The Reshoring Initiative would like to have similar Reshoring Awards for other industries. Contact us with ideas.