Several recent forecasts have predicted difficult economic times in the years ahead. One primary reason given is the declining influence of the US Navy in promoting free oceanic trade. Without the Navy’s presence countries may become more parochial, and the major ones may try to exert greater control over what they view as their sphere of influence.
Should this be true it probably means a decline in manufacturing outsourcing to Asia in particular. To support that notion China faces some especially major problems.
For one, their population is aging and declining. Young people necessary as tax payers needed to support the aging are becoming fewer and fewer. Whenever rural populations move into cities birth rate declines and life spans seem to increase. While this is a trend throughout the advanced world, it’s especially true for China.
Fortunately for Proficient Sourcing LLC, the US is uniquely positioned to withstand this worldwide economic downturn better than most. If the above concerns you, we are positioned to assist you finding excellent and qualified manufacturing suppliers. Here is but a partial listing of what kind of manufacturing candidates we can provide.
One US advantage is we are not dependent upon exports, as China is. We also have enormous energy resources, oil and gas in particular. Some of the world’s best farming soil is in our mid section and our weather is reasonably good for farming. Thus, food supply is also not a likely major problem.
Our internal transportation system is also not a major barrier. While some countries have superior rail systems, we have an excellent river system, perhaps the world’s best for transporting goods internally as well as a good road system for trucking.
Compared to the rest of the world, it would appear looking to the US for manufacturing may be the wave of the future. Here’s an article that should excite all Americans:
What accounts for such economic strength? America’s size certainly helps. With 1/20th of the planet’s people, the United States is blessed with a larger workforce and a bigger consumer market than any other country save India and China. America has a younger population than other wealthy countries and a higher share of immigrants — two additional advantages.
Education and intellectual output are big pieces of the puzzle too. America’s schools have their shortcomings, yet the United States spends 37 percent more per student on education than the average country in the Organization for Economic Cooperation and Development, a group of about three dozen leading market democracies. One-third of working-age Americans have a college degree. Of the world’s 15 top-ranked universities, 11 are in the United States. US-held patents account for more than one-fifth of all patents recognized internationally, more than any other nation.
But what really turbocharges America’s economy is Americans’ productivity. The United States has the most productive workforce among the world’s major countries and regions, and it isn’t close. According to the Conference Board, the average American worker produces more in goods and services per hour than workers in the European Union, Japan, Latin America, or the Middle East. And China? An hour of labor by the average Chinese worker produces just one-fifth as much economic value as an hour of work by a typical American. Plus, those Americans keep growing more productive: Between 1990 and 2022, The Economist observes, US labor productivity climbed by 67 percent. It rose by only 55 percent Europe and 51 percent in Japan.
The above was from a featured article in Kentucky’s 4/28/23 Commonwealth Journal, “The Great American Wealth Machine”. It concludes with this encouraging tidbit:
Like every generation of Americans that preceded them, Millennials have the great fortune to live in the most economically dynamic country in the world. With luck their children will too. Instead of bad-mouthing America’s great prosperity machine, we should be celebrating it. Some things are falling apart in this country, but the economy isn’t one of them.
So any OEM’s needing manufacturing suppliers for any of a number of reasons, we at Proficient Sourcing stand ready to help with candidates from the US, where productivity rules! (513) 489-5252 will get our attention immediately.