That is the question facing many manufacturers these days, both inside and outside of the housewares industry. As the economic makeup of China changes, so does the financial model that U.S. manufacturers use to determine the feasibility of manufacturing products 8,000 miles away. Together with the decision on financial feasibility, many manufacturers are also taking a hard look at the newly emphasized importance of the term “Made in U.S.A.” Current intelligence indicates that there is an increased importance being placed on products “Made in U.S.A.” by consumers and therefore by retailers as well.
Whether you consider it a unique phenomenon or movement that could have been foretold years ago as part of the normal evolution of a developing country, the socio-economic makeup of the Chinese lower and middle classes is changing, making it more expensive to develop, manufacture and ship product to the U.S.
But when does it make sense to bring manufacturing back to the U.S.?
- What are the critical supply chain costs and risks associated with offshore product development that I may be missing?
- Is it time to capitalize on the “Made in U.S.A.” brand concept?
- Ultimately, when are the scales going to tip back in favor of U.S. manufacturing so that I position my business to respond quickly?
To help you answer some of these questions, IHA has partnered with Harry Moser of the Reshoring Initiative (http://www.reshorenow.org/) to help you carefully answer a host of questions regarding your business and determine the right answer to these difficult questions. Mr. Moser, though the Reshoring Initiative, has spent years developing a tool to assist you in evaluating all of the difficult aspects of offshore manufacturing, many of them containing hidden costs.
Mr. Moser hosted an educational session at the 2012 International Home + Housewares Show and highlighted some success stories in the housewares industry associated with reshoring. Click here (location TBD) to obtain a copy of his PowerPoint presentation. He also participated in a panel discussion hosted by the White House on the topic of insourcing (reshoring) manufacturing to the U.S. To learn more about reshoring, click here to view the White House YouTube video http://www.youtube.com/watch?feature=player_detailpage&v=CU4s1fhjKUg#t=2956s
U.S. manufacturers of plastics
Are you at the point where you would like to discuss the manufacture of your product in the U.S. but you don’t know where to begin? Does your entire product or components of your product contain plastic?
IHA has teamed-up with the Plastics Industry Trade Association to assist in your search for mold-makers, plastics processors, suppliers of resin, equipment manufacturers of plastics products, and more. Visit the member site for the Plastics Industry at http://www.plasticsindustry.org/membership/directory/ and you’re just a couple of mouse-clicks away from finding a host of plastics suppliers who are eager to assist you.
For more information on reshoring please contact:
Dean Kurtis, IHA