Chinese company manufactures in the United States: Is the United States about to become a manufacturing-based economy?

  • Automation and robots will bring manufacturing back to the U.S.

    Competition for products drives companies to try to keep their costs lower than their competitors. Accordingly, manufacturing left America when it became cheaper to produce items in Asia and ship them over here. It was cheaper in Asia because labor was cheaper and enormous cargo ships drove down the cost of shipping. Now, automation and robotics are replacing humans. Soon, shipping will be the cost that needs to be curbed. When that happens manufacturing will return to the U.S. However, it will not bring a lot of jobs because those jobs will be performed by robots and AI.

  • Regulations will fix it.

    Trump has made it clear that he wants to reduce regulations for manufacturing in the United States. He has also said that he wants to make it harder for businesses to take their manufacturing jobs overseas. For these reasons, it will become easier to manufacture in the United States and harder to manufacture in other places.

  • The US has a diverse economy.

    While the past five years have seen an unprecedented boom in the manufacturing sector and American businesses have made themselves incredibly attractive on the international stage, it is unlikely that America will become a purely manufacturing economy. There are various other key industries in the United States which will continue to flourish alongside manufacturing.

  • No, America will never be a manufacturing based economy again.

    The United States will not likely be a manufacturing-based economy ever again. The high cost of living, high taxes and strict regulations just make mass manufacturing un-competitive in America. However, America can be a place with strategic manufacturing factories for products that are difficult to produce elsewhere in the world.

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