U.S. manufacturers of certain products must take advantage of predicted resurgence in the sector
Numerous statistics have recently surfaced suggesting a gradual but feasible revitalization of the U.S. manufacturing sector. Some have been national data, such as the uptick in the Institute for Supply Management (ISM) index, while others have been regional, including the Philadelphia Federal Reserve Bank's increase from -17.5 to 8.7 in its manufacturing activity index.
Additionally, at the beginning of October, the Boston Consulting Group (BCG) wrote a report claiming that certain industries were likely to benefit from these positive developments and return to the U.S. after their production had been partially or largely outsourced to foreign countries. These include fabricated metal products, machinery, electronics, plastics, transportation goods, appliances, electrical equipment and furniture.
American companies producing these products, or those that are somehow tangential to them, must move now to consolidate their existing strength and work to eliminate any problems. Specific strategies will vary based on individual companies, but generally, these businesses should improve their production methods in whatever way they can – allocating personnel and resources in more effective ways and upgrading their technology if necessary.
It may also be beneficial for companies affected by this trend to see if there are any markets for their products that they have not taken advantage of, including foreign countries and unexplored target audiences within the U.S.