{"id":970,"date":"2020-05-27T19:35:50","date_gmt":"2020-05-28T02:35:50","guid":{"rendered":"http:\/\/savingusmanufacturing.com\/blog\/?p=970"},"modified":"2020-05-27T19:35:50","modified_gmt":"2020-05-28T02:35:50","slug":"why-manufacturing-is-important-to-america","status":"publish","type":"post","link":"https:\/\/savingusmanufacturing.com\/blog\/general\/why-manufacturing-is-important-to-america\/","title":{"rendered":"Why Manufacturing is Important to America"},"content":{"rendered":"\n<h5 class=\"wp-block-heading\">This week\u2019s article begins a series of\nshort articles on why manufacturing is important to the America economy. Our\ncountry\u2019s Founding Fathers recognized the importance of developing a domestic manufacturing\nbase instead of continuing to rely on imports from England, France, and the\nNetherlands.&nbsp; They established the U.S.\npatent system and protected the developing manufacturing industry with tariffs\nto discourage imports.&nbsp; This allowed the\nUnited States to be the world\u2019s number one\nmanufacturer for more than 100 years, accounting for as much as 25 percent of\nglobal manufacturing&nbsp;output in 2007. In 2010, China overtook the\nU.S. to become the world\u2019s top manufacturing country by output.&nbsp; <\/h5>\n\n\n\n<h5 class=\"wp-block-heading\">The\nfirst reason why manufacturing is important is:&nbsp;\nManufacturing\nSupplies Millions of Jobs<\/h5>\n\n\n\n<p class=\"wp-block-paragraph\">Manufacturing is the engine that drives American\nprosperity and is the foundation of the U.S. economy and the basis for its\nmiddle class. In February 2020, manufacturing employed 12.6 million workers. According\nto the National Association of Manufacturers\u2019 <a href=\"https:\/\/www.nam.org\/facts-about-manufacturing\/\">facts<\/a> about\nmanufacturing, \u201cmanufacturers contributed $2.381 trillion to the\nU.S. economy in the fourth quarter of 2019, a new all-time high\u2026Overall,\nmanufacturing accounted for&nbsp;11%&nbsp;of GDP in the economy.\u201d <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In addition, \u201cFor every\n$1.00 spent in manufacturing, another $2.74 is added to the economy. That is the\nhighest multiplier effect of any economic sector. In addition, for every one\nworker in manufacturing, there are another five employees hired elsewhere.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The U.S. lost 5.8 million jobs in manufacturing from\nthe year 2000 to 2010 due to a combination of factors, such as the offshoring\nof jobs to Asia, especially to China, increased productivity of American\nworkers, automation, and robots, as well as the domestic outsourcing&nbsp;of service jobs within a manufacturing company,\nsuch as accounting and payroll services, janitorial services, cafeteria\/food\nservices, and legal departments. Thus, jobs that may have been classified as\nmanufacturing are now classified as service jobs.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The below chart shows that the U. S. has regained\nabout 1.5 million jobs since the end of the recession.&nbsp; <\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"700\" height=\"759\" src=\"http:\/\/savingusmanufacturing.com\/blog\/wp-content\/uploads\/2020\/05\/Growth-in-Mfg.-Employment-since-recession.png\" alt=\"\" class=\"wp-image-971\" srcset=\"https:\/\/savingusmanufacturing.com\/blog\/wp-content\/uploads\/2020\/05\/Growth-in-Mfg.-Employment-since-recession.png 700w, https:\/\/savingusmanufacturing.com\/blog\/wp-content\/uploads\/2020\/05\/Growth-in-Mfg.-Employment-since-recession-277x300.png 277w\" sizes=\"auto, (max-width: 700px) 100vw, 700px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">American workers achieve a high productivity rate year\nin and year out, and the growing trend of training in \u201cLean manufacturing\u201d has accelerated the increase in\nthe productivity of American workers <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In 2019, the ten states with the largest manufacturing\nworkforces were: &nbsp;California, Texas, Ohio,\nMichigan, Illinois, Pennsylvania, Indiana, Wisconsin, South Carolina, and New\nYork. California\u2019s manufacturing workforce of more than 1.2 million exceeds Illinois\nand Pennsylvania\u2019s combined manufacturing workforce <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A blog <a href=\"https:\/\/www.constructconnect.com\/blog\/economy\/series-1-7-rankings-states-industrial-sub-sector-jobs-weight-concentration-maps-manufacturing\">article<\/a> by Alex Carrick of\nJanuary 14, 2019 on the website <a href=\"http:\/\/www.constructconnect.com\">www.constructconnect.com<\/a>, states: &nbsp;\u201cThe five major contributors to U.S.\nmanufacturing employment are: &nbsp;transportation\nequipment, a 13.2% share; food manufacturing, 12.9%; fabricated metal products,\n11.7%; machinery, 8.9%; and computer and electronic products, 8.4%.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Michigan (with an 11.4% share) leads all states in number of transportation\nequipment jobs. It\u2019s followed by Indiana (8.2%). California and Ohio (each with\n7.3% shares) are tied for third. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">By a wide margin, California is out front among states in number of food\nmanufacturing jobs.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">California and Texas provide the most \u2018fabricated metal product\u2019 jobs; Ohio\nis in third spot. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Texas, which is big in oil and gas drilling equipment, is the nation\u2019s\nleader in machinery manufacturing jobs.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">More than a quarter of U.S. \u2018computer and electronic products\u2019 manufacturing\njobs are in California. Second-place Texas has only about one-third of\nCalifornia\u2019s contingent.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The sooner we reopen all manufacturing, instead of just allowing\nmanufacturers in critical industries to remain open, the sooner we will get\nmillions of manufacturing workers off the unemployment roles and back to\nproducing the goods we need to remain a strong industrial nation, while\nprotecting the health and national security of all Americans.&nbsp;&nbsp; <\/p>\n","protected":false},"excerpt":{"rendered":"<p>This week\u2019s article begins a series of short articles on why manufacturing is important to the America economy. Our country\u2019s Founding Fathers recognized the importance of developing a domestic manufacturing base instead of continuing to rely on imports from England, France, and the Netherlands.&nbsp; They established the U.S. patent system and protected the developing manufacturing [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-970","post","type-post","status-publish","format-standard","hentry","category-general"],"_links":{"self":[{"href":"https:\/\/savingusmanufacturing.com\/blog\/wp-json\/wp\/v2\/posts\/970","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/savingusmanufacturing.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/savingusmanufacturing.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/savingusmanufacturing.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/savingusmanufacturing.com\/blog\/wp-json\/wp\/v2\/comments?post=970"}],"version-history":[{"count":2,"href":"https:\/\/savingusmanufacturing.com\/blog\/wp-json\/wp\/v2\/posts\/970\/revisions"}],"predecessor-version":[{"id":973,"href":"https:\/\/savingusmanufacturing.com\/blog\/wp-json\/wp\/v2\/posts\/970\/revisions\/973"}],"wp:attachment":[{"href":"https:\/\/savingusmanufacturing.com\/blog\/wp-json\/wp\/v2\/media?parent=970"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/savingusmanufacturing.com\/blog\/wp-json\/wp\/v2\/categories?post=970"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/savingusmanufacturing.com\/blog\/wp-json\/wp\/v2\/tags?post=970"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}