A new index that tracks the share of American made manufacturing goods consumed in the U.S. market, showed that for the first time since 2009, the United States saw an increase in reshoring. The Index, referred to as the CRI, was developed by an organization called the Coalition for a Prosperous America (CPA). In a recent Industry Week article written by Jeff Ferry titled, “The U.S. Finally Saw Some Reshoring Action in 2019,” Jeff indicates that during 2019 the index showed a 0.8% increase in US manufacturing output while imports fell at the same time by 1.0%. The article points out that while these percentages may seem small, Americas gross manufacturing output is worth roughly $6.3 trillion, so even incremental increases are still very significant.
Over the preceding 17 years from 2002 to 2018, the U.S. gave up 8% of its market share to imported manufactured goods, which contributed to the loss of five million manufacturing jobs. The sectors that saw the largest uptick in year-over-year market share were Computers and Electronics (+4.02%), Furniture (+2.91%), and Wood Products (+2.01%). There are also some positive signs this trend may continue, such as the steel industry continuing to invest billions into the latest production technologies.
Read the Full Article Here: "The U.S. Finally Saw Some Reshoring Action in 2019"
