The State of American Manufacturing 2017

This article provides an insight into the state of American manufacturing through five snapshots based on research data. Two recent trends—outsourcing and digital services—have enabled manufacturers to stretch that old definition to the breaking point and made it difficult for statistics to capture the entirety of the manufacturing sector. Research and development supports better design and engineering, which add the majority of value to high-value products and the industrial processes needed to make them. Experts suggest that manufacturers are hiring people with the right skill sets. In a 2015 Deloitte Consulting and Manufacturing Institute survey, 80% of manufacturers reported a moderate or serious shortage of qualified applicants. Chinese exports have depressed entire manufacturing-oriented communities, leading to widespread unemployment and lower wages as local markets failed to adjust to this onslaught. However, it is believed that cheaper, more capable robots working with people might improve the economics of domestic production.