MANUFACTURINGU.S. Should Substantially Boost Support for Manufacturing USA Program, Issue National Industrial Manufacturing Strategy, Says New Report
To better compete globally, the United States should develop a comprehensive industrial strategy to align resources for manufacturing and maximize the national security and economic impacts of the collaboration among the key actors — small and large industry, engineering and science expertise, state and local government, and economic development stakeholders — needed to advance progress in manufacturing technology.
To better compete globally, the United States should develop a comprehensive industrial strategy to align resources for manufacturing and maximize the national security and economic impacts of the Manufacturing USA program, a proven model that connects the key actors — small and large industry, engineering and science expertise, state and local government, and economic development stakeholders — needed to advance progress in manufacturing technology, says a new report by the National Academies of Sciences, Engineering, and Medicine. Nearly all leading competitor nations have detailed national manufacturing strategies that are aligned with their national economic strategies and view manufacturing as crucial to their growth and national security, the report says.
Strengthening the Manufacturing USA program — a public-private partnership coordinated through the National Institute of Standards and Technology comprising 17 institutes that specialize in different types of advanced manufacturing — is essential for bolstering U.S. competitiveness in the next decade, the report says. The network of institutes is a vital national asset that plays a central role in aligning innovation efforts across government, industry, and academia, connecting American businesses of all sizes with state-of-the-art technology and translating the latest breakthroughs into industrial practice.
However, the report says, the nation is missing a coordinated framework to align industry and government efforts, which has led to under-resourcing federal manufacturing programs, including Manufacturing USA, and a lack of investments to scale up production in proven areas.
As a result, U.S. manufacturing productivity — once a hallmark of the economy — has declined markedly in the past 15 years, the report says. China has been the world leader of manufacturing output since 2011, and currently holds around 35 percent of gross world manufacturing, compared to 12 percent in the U.S. The U.S. trade deficit in goods has also risen sharply, reaching a record $1.2 trillion in 2025, which includes a major deficit in advanced technologies such as aircraft, semiconductors, and robots.
