Global supply chain pressure have left U.S. manufacturing struggling to keep up with demands for countless products. It’s a predicament the country never wants to be in again. Now, the push for more domestic manufacturing and USA-made products is on the upswing. Finding something that was made in America is still a nice surprise. According to 2019 data from the U.S. Census Bureau, more than 80% of U.S. import dollars are spent on goods. Capital goods, like commercial aircrafts and semiconductors, make up $678 billion (27%) of all goods imported. But then, consumer goods come in swinging.
In 2019, the U.S. imported $654 billion of consumer goods. U.S. consumer spending is extremely dependent on these low-cost imported goods. Consumer spending drives almost 70% of the economy. But those American dollars aren’t always reinvested into local communities. According to ABC World News, if every American spent an extra $3.33 on U.S.-made products per year, it would generate nearly 10,000 new jobs in the country.
The push for more domestic manufacturing is longstanding, spanning federal administrations of both parties. The COVID pandemic served to increase the attention to it. Since 2020, while the world’s scientists and researchers worked to develop a vaccine, economic nationalism ignited. In the U.S., manufacturing struggled to keep up with pandemic-related demands for life-saving products. It became very clear that the U.S. was ill-equipped to quickly manufacture products in a crisis. Marketing products, of course, don’t rank at the same importance as healthcare products, but have an even higher percentage of imports in their makeup. Many are made outside the US, and then decorated here. After reaching a peak years ago, imports of promotional products have seen a relative decline in the past decade, compared to domestic manufacturing.
According to a survey by the Reshoring Institute, nearly 70% said that they prefer American-made products. More than 83% responded that they would pay up to 20% more for products made domestically. A “Made In America” label also enhances perception. Over 46% of respondents believe that products manufactured in America are of better quality than those manufactured in other countries.
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“Strength lies in differences, not in similarities.”
~ Stephen Covey