I attended the annual Women in Manufacturing Summit earlier this week. There were over 2,100 people at the Summit in Boston which offered more than 60 educational sessions. I was fortunate to attend the presentation on Reshoring by Rosemary Coates, Executive Director of the Reshoring Institute.
After a summary of how US manufacturing got to where we are today, she spoke about the changes in the past few years that have affected reshoring. In addition to the obvious, the pandemic, other changes include:
- Travel Restrictions
- Lean Methodology
- Trade Wars
- Supply Chain Interruptions (shipping accidents and strikes)
- War in Ukraine
- Uyghur Forced Labor Prevention Act (UFLPA), etc.
There are now many incentives for reshoring. From tax reforms and incentives to a stronger than ever Made in America mentality, reshoring is becoming a competitive option for many large companies. That’s not to say it’s for everyone. In Rosemary’s presentation she stated that products like apparel and toys would remain offshore. However, semiconductors, pharmaceuticals (some would argue medical devices) and plastics are being reshored. There are a variety of reasons these markets are being reshored to reduce the impact of supply chain disruptions.
Large companies are rethinking their global sourcing and manufacturing strategies. A recent article in Industry Today addresses the need for manufacturers to bolster their supply chains. One way to do this is to ensure they have local and regional suppliers.
If your customers/prospects are investing in their supply chain, be sure you’re top of mind. How often are you communicating with them? Have you done enough research to understand their interests. Are you engaged with more than one person at the company?
If you need to build a communication strategy that takes advantage of reshoring, Contact Us and we’ll be happy to help.