Reshoring

Mark Perry points out an article about a company called Taphandlers that moved their production to the US from China because the cost advantage had disappeared.

The post: “Back in the USA” –Seattle Manufacture Provides A Lesson on Reshoring. Expect More of It. Lots More.

Reasons summarized:

  • big increases in labor costs
  • long lead time due to shipping
  • currency appreciation
  • increasing shipping costs

Summary of summary:

Look for more and more manufacturing production to come back to the U.S. from China in the future, as China’s once-significant labor cost advantage continues to shrink.

One thought on “Reshoring”

Leave a Reply

Your email address will not be published.