Made in America label stages comeback at U.S. stores

NEW YORK: When Roger Simmermaker went shopping for clothes at a Florida mall in the mid-1990s, he wanted to buy American, but to his frustration, he couldn’t find anything made in the USA.

The experience motivated Simmermaker, an electronics technician by trade, to write “How Americans Can Buy American” – a guide to finding products manufactured in the United States, which were a scarce commodity at the time.

Nearly 20 years after writing the book, he has seen a big change, with the pendulum in full swing back toward a wider choice of American-made products. They are often available without the expected higher price tag.

“It’s definitely easier,” says Simmermaker, 47, who lives in Orlando and works for a defense contractor. “Especially in the last year or so, things have really changed.”

Those who believe in buying American-made goods from US-owned companies say it creates jobs and boosts the economy through reinvested profits and taxes.

Profit-driven US companies have their own reasons for locating factories, but manufacturers of goods ranging from refrigerators and dishwashers to laptops and tablets are starting to bring some of their production home, affording more opportunities for consumers with the patriotic conviction that Americans ought to buy American.

Better still, that “Made in the USA” label may no longer carry such a premium price tag. That’s because production and shipping costs in China and other foreign manufacturing centers are rising. Shifting some manufacturing back to the United States doesn’t necessarily mean manufacturers have to raise prices to compensate for higher labor costs.

To be sure, many industries are still dominated by imports – toys and textiles, for example. Still, Simmermaker and others who believe in buying American are seeing a broad shift.

“Reshoring” advocates were thrilled earlier this year when Wal-Mart Stores Inc., the world’s largest retailer, announced it was throwing its weight behind the movement. In January, the chain – known for its extensive selection of imported goods – said it would spend an additional $50 billion over the next 10 years on American-made products, “helping to onshore US production in high-potential areas like textiles, furniture and higher-end appliances.”

Likewise, Apple Inc. said it planned to build some of its iMac line in the United States instead of China. Ford Motor Co.Coleman Co. (part of Jarden Corp. ) and Master Lock Co. (part of Fortune Brands Home & Security Co.) all have said they’re returning some manufacturing to the United States. The list goes on.

WHAT IT MEANS FOR CONSUMERS 

While few companies will move production for patriotic reasons alone, the public relations boost that goes with a decision to bring jobs back to the United States is gravy.

“They run the numbers and say ‘We can deliver just as cheaply from a US operation as we can from, say, China.’ It has some nice extra benefits,” says Dan Seiver, chief economist for Reilly Financial Advisors, a wealth management firm in San Diego, California. “Whatever credit goes with it is fine”

With little pricing difference, the impact on US consumers might not be that obvious. But Simmermaker and other advocates also contend that products made in the United States are often higher-quality and safer than those made elsewhere.

There is a decided upside for the companies, too. Making products closer to their end-market allows them to be more nimble in terms of customizing and delivering products.

That was the case with Spreadshirt, a Germany-based custom shirt maker that recently opened a plant in Nevada to supplement the output of its existing facility in Pennsylvania.

In 2011, the company was running its Pennsylvania plant around the clock. To keep up with holiday demand, it was forced to send some work to a plant in Poland, said Mark Venezia, vice president of global sales and marketing for North America.

But the company quickly realized that the distance hurt overall costs and speed – to the tune of about $2 more per unit. “We didn’t lose money, but, obviously, it hurt our bottom line,” Venezia said.

Hunting for a new location led Spreadshirt to Henderson, Nevada, where facilities that met specifications were available at favorable terms, along with a pool of prospective workers.

“We just got this incredible deal that provided us so many benefits,” Venezia said.

 

Environmental Horror Perhaps China’s Biggest Export

The recent spate of sad and nasty ecological news coming out of China—nearly 3,000 dead pigs and 1,000 dead ducks found floating in a river that provides Shanghai with its drinking water—takes me back to my first visit to the country.

The West has done a very good job of exporting by example its own energy-sucking lifestyle, which is now deemed desirable by the burgeoning middle class in China.

The first time I was in western China, exploring a tributary of the Yangtze River, we got badly lost and ended up on a winding road leading through landscapes I’m sure the Chinese government that had given us the permit never intended for us to see.

All around forests were clear-cut, paper plants were built on rivers above towns, children with deformities were visible in outsized numbers on the streets, and the air was so hazy at midday that many people wore medical masks, even indoors. That was in 1996. Nearly three decades later, things have only gotten worse as China’s human population, energy needs and consumerism have all escalated.

dead pig china

In his new book, The Devouring Dragon, How China’s Rise Threatens Our Natural World, authorCraig Simons expands on the problem, suggesting that the ills of China are not just bad for the Chinese, but one of its biggest exports is now environmental calamity.

The country’s boom times, he contends, are impacting everything from dirty air and water around the globe to fast-climbing temperatures and fast-disappearing wildlife.

China, of course, is not to blame for the fact that the planet is screeching to an inevitable environmental meltdown. The U.S. and Europe have long led that charge thanks to healthy economies and the ability to earn and spend at will. The West has done a very good job of exporting by example its own energy-sucking lifestyle, which is now deemed desirable by burgeoning middle classes in China—and India, Russia, Brazil too.

But pollution created by the world’s biggest nation, 1.3 billion headed quickly to 1.5 billion, is accelerating global environmental problems on a scale not seen before. (Don’t forget those dead, floating pigs.)

 Simons’ China experience began as a Peace Corps volunteer the same year I first visited, in 1996. He has reported from there since. A few of the most egregious examples of China’s pollution exports and imports:
dead ducks china

- In 2011, China burned more than four billion tons of coal, almost half the world’s total and four times what was burned in the U.S. the same year. By comparison, in 1976, it was only burning 550 million tons.

- The illegal wildlife trade, from elephant tusks to tiger skin pelts and shark fins, is dominated by China’s demand. We are used to stories of excessive wedding parties where every table has a pot of shark fin soup on the table or miniature cityscapes carved from elephant ivory, but as Simons points out, some of the proudest  Buddhists in Tibet still wear tiger skin robes as a sign of success.

- China’s fat pocketbook and voracious energy needs are having an impact far from home wherever fossil fuels are dug out of the earth. The nation has funded natural gas pipelines from Turkmenistan to Kazakhstan, has put $35 billion into railroads “to transport copper and coal out of Africa and into the power plants of China,” and is currently building half of all the nuclear reactors under construction globally. China’s energy and food needs are so big the country is buying up existing power plants from Tanzania to Saudi Arabia and farmland across Russia, Australia and Argentina.

Read more of this post

Will shale gas decimate China’s toy makers?

reuters

By Clyde Russell Reuters

LAUNCESTON, Australia (Reuters) – Such is the impact of the shale gas revolution in the United States that it’s quite possible that babies born today will no longer play with plastic dolls and cars made in China.

It’s almost become a fait accompli that China is the world’s factory, but the early warning signs that this may be changing are starting to show.

The advent of cheap natural gas in the U.S. is threatening to displace expensive naphtha in the production of petrochemicals, the key building blocks for plastics, synthetic fibres and solvents and cleaners.

While the shale gas boom is certainly no longer a secret, up to now its main impact has been in displacing coal in power generation in the U.S., and making inroads as both a heating and transport fuel.

While the U.S. is planning to export some of its shale bounty as liquefied natural gas, in effect it is already exporting more energy in the form of coal, which has helped keep Asian prices soft even in the face of record Chinese and Indian imports.

The same sort of dynamic is likely to start hitting the Asian petrochemical sector in the next few years, as U.S. output ramps up on the back of cheap natural gas and producers from India to China struggle to compete given their reliance on oil-derived naphtha.

Read more of this post

Do you want to know what country your food comes from?

We think you do and an overwhelming 92% of American’s say -YES in a recent Boston Consulting Group survey of consumers.

Sadly, the WTO (World Trade Organization) doesn’t see it that way.  The WTO has ruled that U.S. producers of beef, poultry, lamb and other agriculture products must remove the current legislated Country of Origin Labeling from their packages by May 23rd. (less then 2 short months away)
So, now consumers will lose the transparency in their food supply that for years they have fought for.  Scary, but true.
What is even scarier is that mainstream media hasn’t picked up on this story in a major way so, many consumers don’t even know what is about to happen in May to the packaging of the goods they buy everyday for themselves and their families.
So, what can you do about it.

1st Let your Grocer, Retailer and Producer know this is important and you want to know where your food comes from
2nd tell them we have an independent solution for you to know and you want to see the label “Product of USA Certified”.

Our company is the  leader in independent, 3rd party certification of the Product of USA Certified claim.  We are a voluntary certification that producers can use on their product and packaging to let consumers know –that they are proudly – PRODUCT OF USA CERTIFIED.

U.S. consumers have the right to now where their food comes from and producers have the right to voluntary market their products with our trademarked certification.

We are the solution that consumers and producers are looking for.

Contact us today for more information.

Product of USA Certified

Please get the word out and follow us on
Facebook Twitter Website

“Trust but Certify”

US Swipes at China for Hacking Allegations

chinese

The U.S. has taken its first real swipe at China following accusations that the Beijing government is behind a widespread and systemic hacking campaign targeting U.S. businesses.

Buried in a spending bill signed by President Barack Obama on Tuesday is a provision that effectively bars much of the federal government from buying information technology made by companies linked to the Chinese government.

It’s unclear what impact the legislation will have, or whether it will turn out to be a symbolic gesture. The provision only affects certain non-defense government agency budgets between now and Sept. 30, when the fiscal year ends. It also allows for exceptions if an agency head determines that buying the technology is “in the national interest of the United States.”

Still, the rule could upset U.S. allies whose businesses rely on Chinese manufacturers for parts and pave the way for broader, more permanent changes in how the U.S. government buys technology.

“This is a change of direction,” said Stuart Baker, a former senior official at the Homeland Security Department now with the legal firm Steptoe and Johnson in Washington. “My guess is we’re going to keep going in this direction for a while.”

In March, the U.S. computer security firm Mandiant released details on what it said was an aggressive hacking campaign on American businesses by a Chinese military unit. Since then, Treasury Secretary Jacob Lew has used high-level meetings with Beijing officials to press the matter. Beijing has denied the allegations.

Congressional leaders have promised to push comprehensive legislation that would make it easier for industry to share threat data with the government. But those efforts have been bogged down amid concerns that too much of U.S. citizens’ private information could end up in the hands of the federal government.

As Congress and privacy advocates debate a way ahead, lawmakers tucked “section 516″ into the latest budget resolution, which enables the government to pay for day-to day operations for the rest of the fiscal year. The provision specifically prohibits the Commerce and Justice departments, NASA and the National Science Foundation from buying an information technology system that is “produced, manufactured or assembled” by any entity that is “owned, operated or subsidized” by the People’s Republic of China.

The agencies can only acquire the technology if, in consulting with the FBI, they determine that there is no risk of “cyberespionage or sabotage associated with the acquisition of the system,” according to the legislation.

The move might sound like a no-brainer. If U.S. industry and intelligence officials are right, and China is stealing America’s corporate secrets at a breathtaking pace, why reward Beijing with lucrative U.S. contracts? Furthermore, why install technical equipment that could potentially give China a secret backdoor into federal systems?

But a blanket prohibition on technology made by the Chinese government may be easier said than done. Information systems are often a complicated assembly of parts manufactured by different companies around the globe. And investigating where each part came from, and if that part is made by a company that could have ties to the Chinese government could be difficult.

Depending on how the Obama administration interprets the law, Baker said it could cause problems for the U.S. with the World Trade Organization, whose members include U.S. allies like Germany and Britain that might rely on Chinese technology to build computers or handsets.

But in the end, Baker says it could make the U.S. government safer and wiser.

“We do have to worry about buying equipment from companies that may not have our best interests at heart,” he said.

———

Follow Anne Flaherty on Twitter at https://twitter.com/AnneKFlaherty.

Also Read

 

Source: 
http://news.yahoo.com/us-swipes-china-hacking-allegations-193407762.html

China in world’s top five arms exporters

By Michael Martina | Reuters

China Arms

(Reuters) - China has become the world’s fifth-largest arms exporter, a respected Sweden-based think-tank said on Monday, its highest ranking since the Cold War, with Pakistan the main recipient.

China’s volume of weapons exports between 2008 and 2012 rose 162 percent compared with the previous five-year period, with its share of the global arms trade rising from 2 percent to 5 percent, the Stockholm International Peace Research Institute (SIPRI) said.

China replaces Britain in the top five arms-dealing countries between 2008 and 2012, a group dominated by the United States and Russia, which accounted for 30 percent and 26 percent of weapons exports, SIPRI said.

“China is establishing itself as a significant arms supplier to a growing number of important recipient states,” Paul Holtom, director of the SIPRI Arms Transfers Programme, said in a statement.

The shift, outlined in SIPRI’s Trends in International Arms Transfers report, marks China’s first time as a top-five arms exporter since the think-tank’s 1986-1990 data period.

Chinese Foreign Ministry spokesman Hong Lei, asked about the report, said China was a responsible arms exporter which strictly adhered to international law.

Read more of this post

Hotels bet guests will favor furnishings made in USA

usatoday logo

Montague Furniture

By:Barbara Delollis USA Today

When you walk into a hotel in the U.S. today, you’ll see many items – chairs, draperies, lamps – that were made in China, Vietnam, Malaysia or elsewhere overseas.

But that’s gradually changing, hotel designers and furniture makers tell Hotel Check-In.

There’s a small but growing trend among hotels to buy more items from local, regional or U.S. vendors.

Hotel owners, developers and designers are increasingly deciding it’s worth it, even if they pay a little extra for a U.S. product.

Why? There’s time and risk involved with ordering items from overseas, plus showcasing locally made goods can give the hotel a patriotic or community-minded spin.

Examples:

  • The Hyatt Regency Minneapolis recently finished a $25 million revamp that used “Made in America” as its central theme. More than three-quarters of the items purchased for the renovation came from the USA, says designer Michael Suomi of New York-based Stonehill & Taylor. The guest bathroom counter tops, for instance, feature granite quarried locally and purchased from a century-old Minnesota company.
  • The Ritz-Carlton Lodge, Reynolds Plantation, in Greensboro, Ga., is in the midst of redecorating to give guests a lighter, more modern look with many U.S.-made products, says Megan Ybarra of the Dallas-based interior design firm Duncan Miller Ullman. The hotel found wall coverings from Kentucky, guestroom carpet from Georgia, and a Texas metalwork firm was hired to custom-make the metal branches that form the base of guestroom ottomans, she says.
  • The InterContinental Chicago’s 477-room renovation emphasizes locally-sourced materials and furniture, says Dan Egan, the hotel’s sales and marketing director. Guest rooms contain drapery from Union, Ill., headboards from Jasper, Ind., wall covering from York, Penn., and room signage in hallways from McCook, Ill.
  • Montague, a 20-year-old guestroom furniture maker, last April invested in its first-ever factory – and it’s located in North Carolina, says Misty Delbridge, who runs the company’s U.S. division. It made sense, because hotel owners are increasingly seeking products made here and the factory was in danger of closing down, she says. A Hilton hotel in Texas, for instance, is having the company prepare two model rooms for a renovation – one outfitted with furnishings made in Vietnam and the other with furnishings made in the U.S., she says. Montague still has about 70% of its products produced in China and Malaysia.

No. 1 priority: Put heads in beds

Another factor driving the growth in U.S.-sourced products is hotels’ rush to renovate in as small a window as possible so that rooms can stay filled with paying customers, says Delbridge. It’s especially true in New York City, where some hotels can be sold out or almost sold out most nights of the year.

“If the cost (to purchase U.S.-made furniture) is 10% higher and the hotel can gain revenue back in six to eight weeks, they’re all about it because then they could have a ‘Made in America’ story and gain revenue,” Delbridge says. “These companies wouldn’t do it just for the story. There’s got to be an advantage in it for them.”

Hotel renovations are faster paced than building new hotels from scratch, notes Ybarra, who worked on the Ritz-Carlton Lodge project. It typically takes about 18 months to renovate a hotel, which since the recession has been the most common activity among hoteliers, vs. about three years to build a new one, she says.

“Our clients are willing to pay an extra dollar or two to not have the hassle of waiting,” Ybarra says. There’s also the risk of complications, she says, citing long waits at U.S. Customs and a time when pirates took over containers filled with items for a Turks and Caicos hotel.

Read more of this post

U.S. Demands China Block Cyberattacks and Agree to Rules

CPA Logo 2

Reposted from The New York Times

nyt thumbnail

Mark Landler and David Sanger  |  March 11, 2013  |  The New York Times

WASHINGTON — The White House demanded Monday that the Chinese government stop the widespread theft of data from American computer networks and agree to “acceptable norms of behavior in cyberspace.”

The demand, made in a speech by President Obama’s national security adviser, Tom Donilon, was the first public confrontation with China over cyberespionage and came two days after its foreign minister, Yang Jiechi, rejected a growing body of evidence that his country’s military was involved in cyberattacks on American corporations and some government agencies.

The White House, Mr. Donilon said, is seeking three things from Beijing: public recognition of the urgency of the problem; a commitment to crack down on hackers in China; and an agreement to take part in a dialogue to establish global standards.

“Increasingly, U.S. businesses are speaking out about their serious concerns about sophisticated, targeted theft of confidential business information and proprietary technologies through cyberintrusions emanating from China on an unprecedented scale,” Mr. Donilon said in a wide-ranging address to the Asia Society in New York.

“The international community,” he added, “cannot tolerate such activity from any country.”

In Beijing, a spokeswoman for the Chinese Foreign Ministry, Hua Chunying, did not directly say whether the government is willing to negotiate over the proposals spelled out by Mr. Donilon. But at a daily news briefing Tuesday she repeated the government’s position that it opposes Internet attacks and wants “constructive dialogue” with the United States and other countries about cybersecurity issues.

Until now, the White House has steered clear of mentioning China by name when discussing cybercrime, though Mr. Obama and other officials have raised it privately with Chinese counterparts. In his State of the Union address, he said, “We know foreign countries and companies swipe our corporate secrets.”

Read more of this post

China’s hacking, brought to you by U.S. trade policy.

 

 

China and US Flag

Dear Friend,

Washington still doesn’t get it. We’ve known for years that China hacks government networks, industry computers, and advocacy groups like ours.

A study released last week by a Virginia-based cyber-security company confirms this: The Chinese military is responsible for a series of sophisticated computer hacking attacks on more than 140 American companies.

These hackers have stolen everything from product design blueprints to business strategies, and have also made a persistent effort to gain access to the controls of our infrastructure, including oil and gas pipelines and our electrical grid.

The Obama administration has known about China’s cyber hacking for some time. But the White House has sat on its hands because it believes calling Beijing out for cheating could undermine our overall relationship. In fact, the Administration still sometimes refrains from specifically identifying China as the hacking extraordinaire it’s proving itself to be.

News flash: When China uses its military to steal from American companies, it undermines our relationship. And when it starts groping for a hand on our power switch, we need to rethink what we’re getting in return.

Our official strategy — twisting like a pretzel to avoid offending the Chinese government (even when we catch them stealing from us) — is clearly not working. So why not try something else?

We run an enormous trade deficit with China every year, including a record $315 billion in 2012.  China uses that money to spy on us. So here’s an idea: Why not use our trade relationship to force Beijing to play by the rules?

Contrary to what some Washington insiders suggest, getting tough on China’s cheating won’t start a trade war. Just like anyone else, China responds to pressure. In fact, when Washington has actually moved to address China’scurrency manipulation, Beijing has responded by budging the value of its currency incrementally (see the chart, above).

Yes, we have a large, complex relationship with China.  But it’s really not rocket science: Calling out Beijing for flouting the rules gets results, a point I made this morning in an editorial for CNBC.

If China’s cyber-hacking concerns you, keep yourself up to date.  Follow the conversation on our blog, ManufactureThis, and on TwitterFacebookPinterest, and Tumblr.

Together, we can keep it Made in America!

Sincerely,

Scott Paul
President
Alliance for American Manufacturing (AAM)

It’s Cool Again to be ‘Made in America’

advertising age logo

Advertising Age the new emerging market

Domestic Goods Are All the Rage — But Are They Good for the Bottom Line?

By:  Published: February 18, 2013

Not since the 1970s has “Made in America” been such a hot way to market your product.

On one end is Walmart‘s promise to buy an additional $50 billion in U.S.-made merchandise over the next decade; on the other are designers touting investments in New York’s shrinking garment district as a way to justify higher prices.

At the Financial Times’ New York Conference last month, Brunswick Group executive Susan Gilchrist said that Made in America is “not just about the PR opportunities. Purely from an economic view, China is losing its cost advantage.”

In 2001, the average hourly wage in China was 58¢, according to data from the Boston Consulting Group. By 2015, it will be $6. Combine that with the high productivity of American manufacturers and low energy costs, and the cost gap will close for most categories of goods to just 7% by 2015.

It’s making more business sense to manufacture in the U.S. But does it make marketing sense as the focus of a brand’s message?

In a September survey of more than 1,000 Americans by the Boston Consulting Group, more than 80% said they preferred U.S.-made goods, and that they would pay more for said goods. The same questions were asked of 1,000 Chinese consumers: 47% prefer Made in America.

Yet actions and sentiment are two different things: It often comes down to quality vs. a deal. When American-made goods deliver both, it works. “Consumers are starting to make a different tradeoff,” says Harold Sirkin, senior partner and managing director at BCG and author of the study. “Retailers are able to sell goods at a slight premium, but not too much.”

The push has support from celebrities such as Martha Stewart and Jay-Z. And American manufacturing is the raison d’etre of year-old ad agency Made Movement.

“Made in America will succeed for the same reason organic has succeeded,” said Dave Schiff, a founder of the shop. “Just like people didn’t want to eat food that was poisoning them, they want to live in a better economic climate.”

Made in America is nothing new for some brands. New Balance, American Apparel, Red Wing and Pendleton have been producing in the U.S. for years.

Others are making a push to sell more U.S.-made products. Apple recently announced it would bring some Mac production back to the U.S. And apparel brands like Club Monaco have launched lines and products marketed specifically as “Made in the USA.”

Walmart, meanwhile, sells more than $400 billion of goods each year, so some analysts say its commitment is meaningless when it comes to the bottom line. But Walmart spokesperson Randy Hargrove said that two-thirds of its products are “made here, sourced here, or grown here.” Most of that, of course, is food — Walmart is the nation’s largest grocer. This new batch of funds will help create jobs in areas where Walmart typically spends overseas, such as apparel, sporting equipment and furniture.

Request a Reprint of this article.

Source: 
http://adage.com/article/news/cool-made-america/239846/?utm_source=daily_email&utm_medium=newsletter&utm_campaign=adage

To learn more about Made in USA Certification: 
http://www.USA-C.com

MADE IN USA CERTIFIED LOGO

Follow

Get every new post delivered to your Inbox.

Join 98 other followers

%d bloggers like this: