Reshoring Rides the EV Battery Wave, Taking Aim for Another All-Time High
Reshoring + FDI manufacturing job announcements are continuing to outpace recent records, adding 101,500 jobs in 2023 Q1.
Top takeaways:
- 2023 Q1 reshoring + FDI jobs announced are up 11% from 2022.
- If the current rate continues, reshoring and FDI will total over 400,000 jobs in 2023.
- Electrical Equipment remains the top industry due to continuing large investments in EV batteries. The industry moved from 42% of total jobs announced in 2022 to 47% in 2023 Q1.
Supply chain gaps and the need for greater self-sufficiency set the stage for the current upward trend in reshoring. The risks of a Taiwan-China conflict or China voluntarily decoupling are focusing those concerns. Destabilizing geo-political and climate forces have brought to light our vulnerabilities and the need to address them. The White House responded with the Inflation Reduction Act, Chips Act and Infrastructure Bill, offering some direction and financial security to the companies and industries intent on filling the gaps. These government actions are necessary in the short run but are not sufficient since they do not improve the U.S.’ uncompetitive cost structure. A true industrial policy would level the cost playing field via comprehensive actions such as massive skilled workforce investments, a 25% lower USD and retention of immediate expensing of capital investments.
“The current actions and momentum are a great start. A true industrial policy would accelerate the trend and increase U.S. manufacturing by 40%, 5 million jobs. Reshoring will reduce the trade and budget deficits and make the U.S. safer, more self-reliant and resilient,” said Harry Moser, Founder and President of the Reshoring Initiative.
Read the full report:
About the Report
The Reshoring Initiative’s 2023 Q1 Data Report contains data on U.S. reshoring and FDI by companies that have shifted production or sourcing from offshore to the United States.
“We publish this data quarterly to show companies that their peers are successfully reshoring and that they should reevaluate their sourcing and siting decisions,” said Harry Moser, founder and president of the Reshoring Initiative. “With 5 million manufacturing jobs still offshore, as measured by our $1.2 trillion/year goods trade deficit, there is potential for much more growth. We also call on the administration and Congress to enact policy changes to make the United States competitive again.”
About the Reshoring Initiative
A 55-year manufacturing industry veteran and retired President of GF Machining Solutions, Harry Moser founded the Reshoring Initiative to move lost jobs back to the U.S. He was named to the Industry Week and Association for Manufacturing Excellence (AME) Halls of Fame for his efforts with the Reshoring Initiative. Additional information on the Reshoring Initiative and its many sponsoring associations and companies is available at www.reshorenow.org.
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The Reshoring Initiative provides the media with custom analyses of specific regions or industries.
Contact Harry Moser to inquire.
MEDIA CONTACTS:
Harry Moser, President
Reshoring Initiative
847.867.1144
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