The landscape of US manufacturing is undergoing a profound transformation as the nation strategically focuses on reshoring and bolstering domestic production. In recent years, both federal and state governments have taken proactive measures by introducing a variety of incentives to entice manufacturers back to their home turf. However, this promising scenario is often clouded by the intricate web of regulations, which, at times, seem to counteract the very incentives designed to spur growth. This article delves into the spectrum of federal and state incentives, the optimal strategies to access them, and the critical imperative for a balanced regulatory framework.

Over the last few decades, the trend among American manufacturers has been to explore outsourcing opportunities in China. They were enticed by the prospect of reduced labor costs, affordable rents, and less stringent regulations. However, a confluence of factors, including disruptions in the supply chain caused by the pandemic and broader macroeconomic issues, has compelled companies to reassess this strategy. As we previously discussed during a past call to action during the great confusion of 2020, the approach is straightforward: U.S. manufacturers should reclaim what was once theirs and bring manufacturing back to the U.S.

Back in early 2020, I published a couple articles aimed at encouraging US Manufacturers to stay the course and go on the offensive while global supply chains hemorrhaged amidst geopolitical turmoil. Now is the Time to Take it Back and Manufacturing Companies, Keep the Faith and Soldier On were calls to action during a time of great confusion and chaos – periods which have consistently proven to be the right time to rise above the noise and come out on the winning side.

Uncertainty is plaguing everyone’s world view now with how the past year has unfolded and how that will project forward into the future. One thing is for certain, top operations leaders share similar concerns as they evaluate their business driving into 2021. In this recent Supply Chain Dive opinion poll, executive leaders voted on their top concerns: