U.S. MANUFACTURINGBringing Manufacturing Back to the U.S. Requires Political Will, but Success Hinges on Training American Workers
The lack of manufacturing competitiveness in the U.S. leaves the U.S. vulnerable to shortages of critical goods during times of geopolitical disruption and global competition. The strategies the U.S. employs in bringing back manufacturing, along with innovative practices, will be key to ensure national security.
Supply chain disruptions during COVID-19 brought to light how interdependent nations are when it comes to manufacturing. The inability of the U.S. to produce such needed goods as test kits and personal protective equipment during the pandemic revealed our vulnerabilities as a nation. China’s rise as a global production superpower has further underscored the weaknesses of American manufacturing.
In addition to fixing supply chain disruptions, bringing manufacturing back to the U.S. will benefit national security. Advanced computer chips, for example, are disproportionately made by a single firm, the Taiwan Semiconductor Manufacturing Co. These microchips are critical to smartphones, medical devices and self-driving cars, as well as military technology. TSMC, from a U.S. national security perspective, is located too close to China. Taiwan’s proximity to China makes it vulnerable because the Chinese government threatens to use force to unify Taiwan with the mainland.
My research and that of others examines how the lack of manufacturing competitiveness in the U.S. leaves the U.S. vulnerable to shortages of critical goods during times of geopolitical disruption and global competition. The strategies the U.S. employs in bringing back manufacturing, along with innovative practices, will be key to ensure national security.
Strengthening National Security
President Joe Biden has signed two bills that propose to rebuild American manufacturing. The CHIPS and Science Act of 2022 will provide US$52.7 billion for American semiconductor research, development, manufacturing and workforce development.
The Inflation Reduction Act of 2022 will invest $369 billion to promote a clean energy economy, in part by offering generous incentives for U.S.-made electric cars.
Training workers for new advanced manufacturing is another key factor in strengthening a sector that has become increasingly reliant on technology. In fact, while the number of jobs in American manufacturing fell by 25% after 2000, manufacturing output did not decline. Still, American manufacturing is facing a massive shortage of labor, especially among those workers with skills needed to power a new generation of manufacturing.
This need to train a new group of skilled workers explains why federal funds in the CHIPS Act are set aside for workforce development. Complementing federal legislation are programs such as America’s Cutting Edge, a national initiative that provides free online and in-person training designed to meet the growing need in the U.S. machining and machine tool industry for skilled operators, engineers and designers.
