The term “made in USA” is by no means a new concept. In fact, this once highly touted phrase has disappeared in the past due to oversea competition in manufacturing. But in recent times, American customers have been slowly warming up to the once-popular concept through improved domestic manufacturing infrastructure.
From the 40s to 60s, the USA was a major player in manufacturing. Just about 10% of all goods were imported into America during those times. In contrast, about half of all goods in America are being imported from third world countries today.
It’s no secret that the manufacturing in America has seen a substantial decline since the 70s. Cheaper alternatives have flooded the market, increasing competition that domestic manufacturers find a hard time keeping up with. This allowed American companies to make more profits with a significant reduction in their cost of labor and materials.
The Comeback of American Made
Fortunately, in the past few years, the focus has shifted back to made in USA products due to an increased demand and reshoring attempts by American manufacturers. The US Government has even encouraged companies to adopt domestic manufacturing through special programs like STEM and SELECTUSA programs.
The Consumer Reports National Research Center released in a recent report that suggests the term “Made in USA” has a great effect on American shoppers. The report concluded that 80% of Americans would choose American-made versus a similar product made overseas if given the chance. All in all, this is excellent news for the health of the American manufacturing industry.
Why Does Made in USA Matters?
The Made in America movement is helping re-establish America on the manufacturing map - Even though America was a major contributor to manufacturing for the world economy, it has declined significantly. The Made in America Movement (MAM) has stated that over 55 thousand manufacturers have left the USA since 2001, less than just two decades ago. This is a problem that needs to be solved.
Keeping manufacturing in the USA will create over 1 million jobs - A study suggests that if every single American in this country spend a measly 5% extra on Made in USA, they will help in creating a million jobs. Let’s take for example, a manufacturer creating an automobile part will depend on several sources for different parts and materials. There may be several employees working within the supply chain that ultimately create the automobile part for the company.
A big reason why people buy Made in USA is because the phrase is synonymous with high quality. Most Americans who buy American-made not only wants to support the economy and all that, but they truly believe the products are better quality. Not only is this true, but by buying American goods, you will be contributing to a leaner environment due to the strict environmental regulations our domestic manufacturers follow.