Economic Manufacturing Quantities: The Right Amount and the Right Locations
Does your manufacturing firm have enough facilities creating the optimum number of products in the right locations? Read more
Tag Archive for: Manufacturing
Made in the USA – Reshoring Children’s Products
For all expecting and new parents, you probably have learned how quickly buying your child’s products adds up! So why would you be willing to pay more for an American-made product when you could purchase a similar product or even the “same” product, produced overseas, for half the cost? Read more
The American Flag: Made in USA and Creating Jobs in the Process
SARAH HOFFMAN/THE WORLD-HERALD
From left, Melissa Kleitsch, Diane Hynek and Laurie Bessler sew American flags at MSA Brand Products in the McBattas Packaging and Printing building in Fairbury, Nebraska. The former Swingster sewing factory — where Bessler worked for 17 years — has been transformed to produce and sell American flags made in the U.S.
The American flag flapping above the McBattas Packaging and Printing building on the north edge of town is unremarkable as flags go.
At 3-by-5-feet, it’s not especially large. Its colors, of course, are the standard red, white and blue, and it has 50 stars and 13 stripes. Read more
2.7 Million American Jobs Lost to China in 10 Years
There are roughly 5.1 million fewer American manufacturing jobs now than at the start of 2001. And China is to blame for more than one-third of American jobs lost, says a new report. Read more
The Rise of ‘Made by China’ in America
Later this year along the banks of the James River outside Richmond, Virginia, a paper products maker based in northeastern China will begin construction on a new U.S. manufacturing plant. The factory will churn the region’s straw and corn stalks into household products including napkins, tissue and organic fertilizer—all marked “Made in the USA.” Made by China, in America.
With Exports Rising, US Cities Expand Their Global Footprint
Daniel Acker | Bloomberg | Getty Images
Jack Brown Produce workers sort apples on a packing line in Sparta, Mich. The state, a big exporter of agricultural goods, is among U.S. regions raising its export profile.
It’s well-known American jobs have been lost to overseas competition. While work on U.S. manufacturing floors has declined, overseas markets have developed a growing appetite for American-made goods—from chemicals and wood products, to medical devices.
Made in USA Fuels New Manufacturing Hubs in Apparel
Photo: Victor Lytvinenko
Christel Ellsberg is an expert tailor and pattern maker for Raleigh Denim, which makes American-made jeans.
New York City, including Manhattan’s historic Garment District, is commonly known as a fashion capital of the world. But glimmers of new and revived apparel hubs are emerging in smaller cities, fueled by rising production costs overseas and a growing appetite for “Made in USA” goods. Read more
Documentary: Made by China in… America?
Documentary: Made by China in America? directed by Miao Wang about Chinese firms bringing manufacturing to the U.S. It is part of Morgan Spurlock’s “We the Economy” series (www.wetheeconomy.com).
When I was a baby, my mom waited in line at 3am with her ration ticket to pick up the monthly allowance of meat. As fortunate dwellers of China’s capital city, we received a little more than two pounds. In remote provinces, it was half or a quarter of that amount.
WeatherTech Fleshes Out Made-In-USA Message During Super Bowl
WeatherTech
New Balance, Saucony Vying For Soles of Military Recruits
Nearly every piece of gear that military recruits get when they show up for training is made here in the United States — but not their running shoes.
That is about to change, under a policy shift that could have big repercussions in New England. Read more
Military Bids Could Spur More Made in USA Shoes
What will the ramifications of all-American shoes manufacturing be here in Massachusetts?
Tony Post has a good idea what the answer would be. Read more
The U.S. Medical Device Industry
The United States remains the largest medical device market in the world with a market size of around $110 billion, and it is expected to reach $133 billion by 2016. The U.S. market value represented about 38 percent of the global medical device market in 2012. U.S. exports of medical devices in key product categories identified by the Department of Commerce (DOC) exceeded $44 billion in 2012, a more than seven percent increase from the previous year. Read more
Check Out New Balance’s Latest ‘Made in the USA’ Sneaker Collections
A “Made in USA” label is becoming a more actively coveted item. But local footwear brand New Balance has long been crafting a number of their sneakers domestically. Read more
The Case for ‘Made in America’
It’s about pride in what we do, not about protectionism. BY MARK DWIGHT
The Case for ‘Made in America’
I proudly add the “Made in USA” label to every product I manufacture in my San Francisco factory. Making bags in this country is fundamentally important to me and to my company–but maybe not for the reasons you think.
Here at Rickshaw Bagworks, making our own products celebrates our passion for making things, not a protest of outsourcing or offshoring. I’m not a protectionist, and I’m not a Made-in-America zealot. We live in the modern global economy–I get it. In fact, my original plan was to import partially made bags from China and do only the final assembly in our shop.
But, alas, I’m a stubborn maker at heart. We soon found ourselves designing products we could produce from scratch in our own factory and getting excellent customer feedback for our made-in-San-Francisco goods. So we encouraged letting our manufacturing story be our crucial point of differentiation: We don’t just design what we sell; we make what we sell.
That’s always been my true love. In high school, I took wood and metal shop classes and started my own stained glass business, crafting windows, lampshades, and terrariums for my parents’ friends. Then I headed off to college, got a degree in engineering, and started working in Silicon Valley. My crafting days were over–or so it seemed. Twenty years later, I entered the bag-making business and reconnected with my dormant passion for making things. As fate would have it, that happened at a time and in a place particularly challenging for makers–but also full of opportunity.
Photo Credit: Rickshaw Bagworks
We live in an age when production is more often than not outsourced to anonymous contract manufacturers, predominantly in low-cost labor markets. There are good reasons for that and some horrific and well-publicized downsides. Though economies of scale and low-cost labor have yielded tremendous cost savings for consumers, it seems we may be approaching the limits of this business model, especially after factory disasters abroad have focused more attention on the poor working conditions and environmental impact of these practices. A small but growing group of “conscious consumers” care about the who, what, why, where, and how behind the products they buy. These customers want to connect with the companies they purchase goods from and share their enthusiasm with others like themselves.
So, does it really matter where it’s made? Yes, and no. I believe it’s less about precisely where we manufacture–though San Francisco has fabulous geographic cachet–than about making our own products in our own factory under our own brand name. It’s about connection and accountability–knowing and dealing directly with the maker and trusting the brand. Here at Rickshaw, we design and make what we sell. We own it. The buck starts and stops right here. Making what we sell is our primary differentiator. “Made in USA” is the where of our brand story.
Photo Credit: Rickshaw Bagworks
As a conscious consumer, I’m concerned about the environmental and social justice issues of manufacturing in less-developed, poorly regulated countries. As a maker, I’m optimistic that there’s a promising future for small-scale, innovative specialty manufacturing in America. In my bags, those “Made in USA” labels are shorthand for “quality products, made with integrity by a company that’s accountable and that cares for its employees, customers, business partners, and community, and for our shared planet.”
This is not something that’s exclusively American. Nor is it universally American. But I like to think it’s fundamentally American.
Photo Credit: Rickshaw Bagworks
FROM THE NOVEMBER 2014 ISSUE OF INC. MAGAZINE
Mark Dwight foundedhttps://www.rickshawbags.com/ Rickshaw Bagworks, a San Francisco maker of custom bags, and SF Made, a nonprofit focused on building the city’s manufacturing sector.
THE END OF AMERICAN MANUFACTURING?
The Road Ahead
Repost from Conway Goods: a small company committed to American Manufacturing.
We just finished our first year of business. We filed several patents, achieved UL® approval, built a supply chain and launched production. We have almost 80 committed retail accounts and growing. Read more
Why the US Will Power the World Economy in 2015
Why the US Will Power the World Economy in 2015 – The United States is back, and ready to drive global growth in 2015. [p][/p]
Toy Maker To Bring Lincoln Logs Production Back to U.S.
Production of Lincoln Logs coming back to U.S.A. Manufacturing will once again be made in the U.S.A. (Photo courtesy of K’NEX Brands)
A Montgomery County manufacturer of plastic injection molds and K’NEX construction toys is bringing production of one of its classic toy brands back to the United States from China.
Lincoln Logs, a classic toy brand developed nearly 100 years ago, is part of the K’NEX family of brands. Beginning next year, Pride Manufacturing in Burnham, Maine, will manufacture the Lincoln Logs product line. The Maine company is a manufacturer of engineered wood products.
Related Article: Production of Lincoln Logs in USA Creating Jobs [p][/p]
K’NEX Brands, which licenses the Lincoln Logs brand from Hasbro, has designed Lincoln Logs since 1999, but decided to build upon its reshoring initiative that it introduced in 2009, said Michael Araten, president and CEO of K’NEX and its subsidiary, The Rodon Group in Hatfield. As part of this initiative, K’NEX delivered the production of Tinkertoy products back to the U.S. in 2012, where it is mass produced by The Rodon Group.
Since The Rodon Group does not make wood products, it needed to find a manufacturer in the U.S.
“We kept at it and finally found a manufacturer in Maine who will manufacturer the Lincoln Logs,” Araten said. “It’s really about substituting our U.S. supply chain for the China supply chain.”
Now, the entire supply chain for the production of Lincoln Logs will be U.S.-based, Araten said.
K’NEX will continue to design Lincoln Logs in Hatfield.
“We’ve started production of the logs now, so we can have product on the shelf in July,” Araten said.
Next year, K’NEX will launch 10 new sets that are made in the U.S.: Horseshoe Hill Station, Country Meadow Cottage, Oak Creek Lodge, 100th Anniversary Tin, Collector’s Edition Village, Wrangler’s Ranch, Wolf’s Lodge, Mountaintop Hideout, Grand Pine Lodge and Colts Creek Command Post.
Next on the company’s agenda is to potentially bring production of toy motors back to the U.S. “That’s our next big initiative,” Araten said.
He said there are many reasons manufacturing is returning to the U.S. from China.
Chinese labor rates are rising dramatically, the U.S. is experiencing an energy boom, manual labor is being replaced by automated systems in U.S. manufacturing facilities and the flexibility and skills of the American workforce are strong, according to Araten.
China Trade, Outsourcing, and Jobs
Growing U.S. trade deficit and outsourcing with China cost 3.2 million jobs between 2001 and 2013, with job losses in every state. Read more
Manufacturers in U.S. Still Outpacing Rest of World
Yet strength of ISM index might be overstated, some say
U.S. manufacturers are still expanding at a rapid pace, unlike most foreign rivals.
Manufacturers in the U.S. barely slowed down in November even as major competitors around the world continued to scale back production. Read more
Chicken From China Labeled “Made In America”
Yet again another food scandal is among us as the U.S. Department of Agriculture recently agreed to allow four chicken processing plants in China to raise and slaughter their chickens in the U.S., export them to China for processing, and them ship them back to the U.S. These chickens will then be sold on every grocery store shelf in the United States with no country of origin labeling. What’s worse is that U.S. inspectors will not be on site at the processing plants in China before the processed chicken will be shipped to the U.S. Again, chicken from China labeled “Made In America”?
Read more“MADE IN USA” CLAIMS TRICKY FOR RECYCLED MATERIALS
Manufacturers of products made with recycled materials can’t claim offerings were “Made In USA” unless they can show that the materials originated domestically, according to the Federal Trade Commission (FTC) making it the “Made in USA” claims tricky for recycled materials. Read more
Ford Adding 850 New Jobs To Build 2015 F-150
Ford Adding 850 New Jobs To Build 2015 F-150. Ford announced today it will add 850 new jobs in Dearborn to build the all-new 2015 F-150 pickup that is the automaker’s most advanced pickup in 66 years.
The new hires will be sprinkled among the various facilities that make up the Ford Rouge Center in Dearborn. About 500 of the jobs will be at the Dearborn Truck Plant that assembles the pickup with three crews rotating over two shifts each day. Nearly 300 workers are for Dearborn Stamping and more than 50 will work at Dearborn Diversified, which also does stamping.
Total employment at the Rouge complex will be more than 5,500 with the latest hires and almost 5,000 will be hourly workers.
Ford is not taking new applications. The automaker has identified the new hires from its large pile of applications, and some have already begun training. All will be clocking in over the next couple months.
“This is one of the proudest moments I have had in my life,” said Jimmy Settles, head of the Ford department of the UAW, and a third-generation Rouge complex worker.
The $2 billion spent to revitalize the Rouge complex that consists of five plants makes it possible to do things never before done in the auto industry, said Bruce Hettle, vice president of North America manufacturing, at an event this morning announcing the additional employees.
- About 500 of the jobs will be at the Dearborn Truck Plant that assembles the pickup on three shifts. Nearly 300 workers are for Dearborn Stamping and more than 50 will work at Dearborn Diversified which also does stamping.
The Dearborn Truck Plant just finished gutting and rebuilding its body shop to make the 2015 model with an aluminum body instead of the steel bodies used since 1948. Pre-production models are running through the body shop now and are scheduled to run down the full line starting Oct. 20, but that date might be moved up to this week.
The carefully orchestrated launch is on track, said Joe Hinrichs, Ford president of the Americas. Production vehicles will start “in a matter of weeks,” but Hinrichs would not say when Job One will be. Trucks will start arriving in showrooms by the end of the year.
Ford Adding 850 New Jobs To Build 2015 F-150
The plant runs with three crews but more workers are needed because this next-generation pickup has more features and technology. And building a body from aluminum instead of steel requires all new processes — such as adhesives instead of welding — as well as new manufacturing equipment.
Additionally, some of the stamping work has been brought to the complex, work that had been done by suppliers or other Ford facilities, said Bernie Ricke, president of UAW Local 600, who is pleased with the additional jobs.
Ford has pledged to quickly get production up to full speed because of the sheer volume and importance of the truck. Ford sold 763,400 F-Series last year and analyst Adam Jonas of Morgan Stanley estimates Ford’s trucks generate more than 90% of the automaker’s global auto profits.
Ford built up its inventory of outgoing 2014 models to bridge the gap until there are enough 2015 models to satisfy dealers. That will take a while because just as Dearborn Truck hits its production stride, the Kansas City plant in Claycomo, Mo., will go down for six weeks in the first quarter of 2015 to rebuild its body shop to switch to the new truck.
Jonas has written a number of reports expressing concern about the impact of the changeover on Ford’s profitability, but Hinrichs said today the launch is going according to plan, processes are being validated and people are being trained. In the end, Wall Street will be won over by the vehicle itself, he said of the truck that sheds 700 pounds, which will improve its fuel economy.
As part of the national contract negotiated with the UAW in 2011, Ford pledged to create 12,000 hourly jobs in the U.S. by 2015. The automaker has already exceeded that commitment: Last month’s announcement of a second shift of 1,200 workers at the Kansas City plant to make the Transit commercial van brought the total to more than 14,000. More than 3,000 have been added in 2014. Factoring in salaried workers as well, Ford has hired more than 23,000 employees since 2011.
The signs of health are not going unnoticed by the UAW, which has a new contract to negotiate next year.
“It’s always nicer negotiating with a company making lots of money than a company in distress,” Ricke said. Priorities for a new contract in 2015 include economic gains, looking after retirees and continued investment in jobs, he said.
“Ford’s announcement is more positive news for the citizens of Michigan and a further sign of the comeback of Michigan, manufacturing and the auto industry,” said Michigan Gov. Rick Snyder in a release.
Ford will have added almost 5,000 jobs in southeastern Michigan since 2011 including:
■ 850 at Ford Rouge Center including the Dearborn Truck Plant
■ 1,800 at Michigan Assembly Plant
■ 1,700 at Flat Rock Assembly Plant
■ 250 at Rawsonville Plant
■ 240 at Van Dyke Transmission Plant
■ 150 at Livonia Transmission Plant
Jobs are slowly making their way back into the U.S.A. Do you see this happening in your area? Let us know your thoughts in the comments below.
New Balance Shoe: Materials Aren’t All Made in USA
The assembly line at a New Balance factory in Boston in 2012. Associated Press
New Balance—the iconic U.S. sneaker maker—has long marched to its own drummer on “Made in USA” labels. Read more
Lincoln Logs to be ‘Made in USA’ Again Creating Jobs in the Process
Lincoln Logs, the popular building toy created nearly a century ago by a son of architect Frank Lloyd Wright, is coming home to the U.S. Read more
Is New Balance Making the U.S. Military’s Only Training Shoe?
Training shoes, the last part of U.S. military uniforms that isn’t required to be 100 percent U.S.-made and -sourced, could soon go all-American. How New Balance could be set to profit.
Why ‘Made in the USA’ is hard for Walmart to achieve
An “Assembled in the USA” stamp is seen at the side of a box containing a 32-inch television set in the warehouse of Element Electronics, in Winnsboro, South Carolina. Element’s 315,000-square-foot plant in South Carolina has six assembly lines making 32- and 40-inch TVs that are now available in all of Walmart’s more than 4,000 U.S. Stores. REUTERS/Chris Keane
Walmart has pledged to buy an additional $250 billion in US-made products. But finding quality, low-cost US made goods is proving a challenge. How Walmart is acting as a catalyst for ‘Made in the USA’ manufacturing.
To Close the Skills Gap in Manufacturing Careers, Close the Gender Gap
Will the STEM skills gap close if more women join the STEM workforce?
U.S. Manufacturing Becoming Low Cost
Picture Eugene Hoshiko, File/Associated Press
U.S. manufacturing becoming low cost over the past decade compared with factories in China, Brazil and most of the world’s other major economies.
So says a new private study, which found that rising wages and higher energy costs have diminished China’s long-standing edge over the United States. So has a boom in U.S. shale gas production. It’s reduced U.S. natural gas prices and slowed the cost of electricity.
The Boston Consulting Group is issuing a report on its study of manufacturing costs in the 25 biggest exporting countries. Only seven of those countries had lower manufacturing costs than the United States did this year. And since 2004, U.S. manufacturers have improved their competitiveness compared with every major exporter except India, Mexico and the Netherlands.In 2004, for example, manufacturing in China cost 14 percent less than manufacturing in the United States. By this year, the China advantage had narrowed to 5 percent. If the trends continue, Boston Consulting found, U.S. manufacturing will be less expensive than China’s by 2018.
Over the past decade, labor costs, adjusted to reflect productivity gains, shot up 187 percent at factories in China, compared with 27 percent in the United States. The value of China’s currency has risen more than 30 percent against the U.S. dollar over the past decade.
The higher Chinese currency made goods produced in China and sold abroad comparatively more expensive. And foreign goods became comparatively more affordable in China.
Chinese electricity costs rose 66 percent, more than double the United States’ 30 percent increase. The start of large-scale U.S. shale gas production in 2005 has helped contain electricity bills in the United States and neighboring Canada and Mexico.
China, too, has reserves for shale gas. But it will need years to develop them.
“This is not something you can turn on overnight,” said Justin Rose, a partner at Boston Consulting and co-author of the study.
Brazil has lost even more ground than China. In 2004, manufacturing was 3 percent cheaper in Brazil than in the United States. By 2014, Brazil was 23 percent more expensive. Brazilian factories didn’t improve efficiency enough to offset rising energy and labor costs.
The countries where manufacturing was cheaper than in the United States are Indonesia, India, Mexico, Thailand, China, Taiwan and Russia.
Australia was the most expensive country for manufacturing. Its costs were 30 percent higher than those in the United States.
The survey doesn’t include transportation costs, which vary depending on where goods are shipped. Several countries also face obstacles not captured by Boston Consulting’s manufacturing cost index — from corruption to inefficient government bureaucracies.
SOURCE: Washington Post
American Company Goes To The Mat For ‘Made In America’
At a time when flag-waving couldn’t be more in fashion, David MacNeil knows a thing or two about standing up for American products. Or at least resting your muddy boots on them. While creating jobs in the process.
