The Power of Buying American-Made Products

Thanks to rising wages in China and increased costs of transporting goods from overseas production facilities to American retailers, USA manufacturing companies are changing tack when it comes to outsourcing their manufacturing activities. General Electric, Apple, and Google are just a few of the industry giants that have decided to manufacture some of their products in America. The trend of reshoring--moving manufacturing activities back to USA manufacturing plants--has the power to change the manufacturing industry as we know it.

Manufacturers of American products now have unprecedented opportunities to buy materials from other USA manufacturing companies. This is predicted to have a positive effect on the manufacturing industry. The industry is currently in a slump. Agustino Fontevecchia of Forbes.com states that the manufacturing ISM report for May 2013 showed its lowest reading since 2009. Fontevecchia attributes the slump to a reduced demand for certain products and the economic effects of the government sequester.

Buying American-made product components gives manufacturing companies opportunities to contribute to the rebirth of the USA manufacturing industry. Many customers now pay attention to where products are made, so investing in American products can help manufacturing companies make more money. Some customers also place a high level of importance on the social responsibility of USA manufacturing companies. Buying American-made product components is just one way to demonstrate your company's commitment to corporate social responsibility.

If your company buys American-made materials, you also have the opportunity to improve the safety of your products. Safety regulations are not as strict in some countries as they are in the United States, so buying components produced in those countries could put your workers or your customers at risk for serious injuries and illnesses. Counterfeit ingredients have found their way into drugs produced in China, putting consumers at risk of harm. Some drywall manufactured in China between 2001 and 2009 contained volatile chemicals that emitted sulfurous compounds and caused copper pipes and wiring to turn black. Your company can prevent these issues by purchasing product components from USA manufacturing companies.

If your company cannot find product components made in the United States, it can harness the power of buying American-made products in other ways. A number of USA manufacturing companies make building products in the United States, so consider buying these products when building new production facilities. Buying American-made building products has the potential to create new jobs and improve the economy.

It is clear that buying American-made products has several benefits for manufacturers. When you buy products made in the United States, you demonstrate a commitment to social responsibility and have the opportunity to attract new customers. Buying American-made products also makes it easier to control the quality of finished products and creates new jobs for American workers. That is why every business should consider buying materials made by USA manufacturing companies.  

(Photo courtesy of Michael Elliott / freedigitalphotos.net)