Do you know how your manufacturing can take advantage of federal and local incentives, the current labor market and the desire for “Made in the US” goods?
The tide of public sentiment towards outsourcing has sifted as a result of the economic downturn, lingering unemployment and the publicized horrendous human toll on foreign workers. Government, at all levels, is jumping on the bandwagon with incentives and programs to support local manufacture and employment. Companies large and small are highly publicizing their return to manufacturing to the US. In an earlier Blog, “5 things to consider when Reshoring”, we identified the political environment and public sentiment as crucial in manufacturing location decisions. In today’s blog we will consider how public sentiment and government incentives play into a reshoring decision.
Our November elections put on display the deluge of public sentiment created in the economic downturn and the resulting lingering unemployment. Add to that the frequent appalling events that have cost many humans lives in sub-standard foreign factories, the foreign bribery investigations, the political unrest in the Middle East and you have a perfect storm. American’s appear to be waking from the lowest cost at any cost buying pattern to being consciously concerned where the products they purchase are manufactured.
Made in America is making a come back not as just an empty slogan but as both a positive jobs market message and as a result of higher quality American goods. A recent poll indicated that over 80% of Americans are willing to pay more for U.S.-made products. Why? 93% of the people say it’s because they want to keep jobs in the USA. Other surveys indicate that for similar products U.S.-made vs. China, the average American is willing to pay up to 60% more for U.S.-made wooden baby toys, 30% more for U.S.-made mobile phones and 19% more