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Published
Oct 29, 2014
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​Reshoring: "Made in America" gains momentum

Published
Oct 29, 2014

The number of large American manufacturers to relocate their manufacturing from China now stands at 20%, compared to the 13 to 16% we were seeing until now.

These are the findings from the latest survey by the Boston Consulting Group, which questioned American manufacturing companies (in all sectors) that make more than a billion dollars in revenue. A survey that shows that the share of companies who are planning on or considering relocating is now 24%, compared to 17-20% before.


Data from BCG


On average, the companies who replied judge that American productions will account for 47% of their overall production in five years. A 7% increase compared to the previous estimate. Only around 11% of production will remain in China, according to the estimates.

The enthusiasm for a return to Made in America is such that the United States judges Mexico as the most advantageous country in the ranking of production sites best adapted to answer to the American demand.

A return to production that will of course have an impact on employment, with half of companies surveyed predicting an increase of at least 5% in their American workers. Between 600,000 and a million jobs may be available by 2020, according to the BCG.

"We have been advising companies to look at the overall cost of production in the United States for a long time, and to consider the entire supply chain and not just obvious factors, like the cost of labor," the firm explains. "When companies adopt a holistic vision, the increasing benefits of the USA become obvious, especially if the productions are destined for the American market."

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