Made in the USA… and China: Why the new paradigm will be to manufacture in both China and America. And Southern U.S. states will win big on jobs.

If I had told you in the summer of 2009 that America’s long-suffering manufacturing industries would lead the lackluster recovery from the Great Recession, you probably would have wondered what I was reading—or smoking.

I would have been correct, however. As a June 1 report from the Institute for Supply Management (ISM) noted, May 2011 marked the 22nd consecutive month in which U.S. manufacturing expanded. Exports have driven much of the growth. Last year, for example, U.S. exports increased more than 20 percent, according to the Census Bureau, and some 85 percent of those exports were manufactured goods.

It comes as no surprise that manufacturing employment also is on the rise, with related jobs increasing last year for the first time since 1997.

The good news about U.S. manufacturing is no fluke. For reasons I will explain below, the manufacturing renaissance should continue for years to come. Read more of this post

A Welcome Rise in Manufacturing Jobs in The USA

Are manufacturing jobs on the rise?

Are manufacturing jobs on the rise?

By Editorial Board of The Washington Post Published: January 12

FAIRLY OR UNFAIRLY, President Obama gets blamed for economic disappointments on his watch. By the same token, he gets to crow when things go well — whether he deserves credit or not. So he was entitled on Wednesday to trumpet the fact that U.S. manufacturing employment grew by 334,000 jobs over the last two years — the strongest two-year growth since the late 1990s. That’s good news for Mr. Obama’s reelection campaign, for the people who got jobs — and for the country, which had been shedding manufacturing jobs even before the Great Recession.But let’s put the celebration in context. U.S. manufacturing is hardly as weak as it is sometimes portrayed. In 2009, U.S. manufacturing output was equal to that of Germany, Italy, France, Russia, the United Kingdom, Brazil and Canada combined, according to the United Nations. In 2010, U.S. manufacturers produced nearly $1.8 trillion in goods (in constant 2005 dollars), about $100 billion more than China did.

Crucially, the United States managed that with only about a tenth as many workers as China employed; indeed, swift increases in output per worker are one big reason why this country lost 8 million factory jobs since manufacturing employment peaked at 19.6 million in mid-1979. That’s the price of competitiveness.

Of course, in many areas even the most productive U.S. firms could not beat China’s low wages. That has begun to change, as companies return production to the United States from China and other low-wage countries — a trend Mr. Obama labeled “insourcing.” Read more of this post

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