Increased Investment in U.S. Manufacturing

U.S. manufacturing has been on the upswing for a little while now, and there are finally enough signs of positive trends that industry experts are hopeful for the industry’s long-term prospects. Investment in American factories has grown, spurring corporate investment and a turnaround in hiring.

American manufacturing companies are expected to increase their spending on equipment by 7 percent in 2014, up to a total of about $211 billion according to this article published online by The Wall Street Journal. The article cites a few cases of companies investing hundreds of millions of dollars into factory facilities in Alabama, Louisiana and North Carolina. Some of this investment is even coming from foreign companies, bringing money into the country instead of the other way around.

Employment levels within manufacturing industries are still at a level below what U.S. manufacturers enjoyed in 2007, before the country’s recession. However, since reaching its lowest point in 2010, total jobs in American manufacturing increased by 5 percent to about 12 million jobs. As investment in U.S. manufacturing facilities improves, we’ll need even more workers to fill the positions at those companies as well.

The United States currently endures a pretty massive trade deficit between foreign imports and domestic exports, indicating that it’s spending more than it’s producing. However, that gap also tightened up by $6 billion over the past year. That’s a pretty small piece of the total pie, but it is an encouraging sign that American manufacturing is exporting more than in recent years.

There are still a few issues confronting our country’s manufacturing goals that we may need to address before returning to prosperity. Many areas of our country are experiencing a shortage of skilled workers, and our businesses deal with higher taxes than in other countries. Still, the comparatively flat wages earned by our workers, as well as reduced energy costs within our country, has been encouraging far more investment in our economy.

Marshall Fabrication Machinery is on hand whenever you need metalworking machinery to handle your manufacturing jobs. From plate rolls to angle rolls and more, we provide the top quality in factory and machining equipment that your business deserves.