Where is this manufactured?

I read yesterday that the manufacturing workforce here in America has plummeted by a staggering 20% over the last year alone. It makes one wonder what the underlying drivers are behind such a sharp decline, and whether there's any viable way to reverse this downward spiral. If we don't find a way to stabilize things and this trend continues, we’re going to end up looking just like Dubai—only without the luxury of having oil reserves to fall back on.

Look, the fact that fewer people are working in manufacturing isn't necessarily a bad thing. It’s just a reality of the modern era—a trend hitting every developed nation across America as productivity climbs and capital starts to pool in different places. 😁

You want to know why manufacturing is dead? It’s because it’s easier to just import everything rather than deal with the headache of raw materials, labor, regulations, and the government... I once pitched my own project to a major corporation—something that fit their lineup perfectly. A few days later, I read in the news that their production was tanking, customer numbers were dropping, and they were facing bankruptcy. So, I walk up to them with a product that already has a buyer lined up—pure export potential—but I don't have the capital to kickstart the production myself. Meanwhile, they have all the resources imaginable and could get this moving with a measly three or four thousand dollars.

slycanyon11 said:You want to know why manufacturing is dead? It’s because it’s easier to just import everything rather than deal with the headache of raw materials, labor, regulations, and the government... I once pitched my own project to a major corporation—something that fit their lineup perfectly. A few days later, I read in the news that their production was tanking, customer numbers were dropping, and they were facing bankruptcy. So, I walk up to them with a product that already has a buyer lined up—pure export potential—but I don't have the capital to kickstart the production myself. Meanwhile, they have all the resources imaginable and could get this moving with a measly three or four thousand dollars.

They’re just terrified you might actually strike it rich... it’s that classic "if the neighbor’s cow dies, we all celebrate" mentality.

We’ve had to scale back production because we simply can't collect on our receivables. It seems everyone wants goods on credit 🙄

slycanyon11 said:You want to know why manufacturing is dead? It’s because it’s easier to just import everything rather than deal with the headache of raw materials, labor, regulations, and the government... I once pitched my own project to a major corporation—something that fit their lineup perfectly. A few days later, I read in the news that their production was tanking, customer numbers were dropping, and they were facing bankruptcy. So, I walk up to them with a product that already has a buyer lined up—pure export potential—but I don't have the capital to kickstart the production myself. Meanwhile, they have all the resources imaginable and could get this moving with a measly three or four thousand dollars.

offtopic: okay, well, I happen to have 3 or 4 thousand bucks lying around, so why don't you tell me more about this product! 😉

ontopic: Manufacturing and factories are dying out because of cheap goods flooding in from Asia. Why is that stuff so cheap? Because of ultra-cheap labor in the East working for pennies on the dollar. We can barely compete with that, and in a global recession, the world just wants things dirt cheap. Quality doesn't even matter at that point—it just needs to be inexpensive. You could theoretically stop it by passing laws similar to what the US did back in the old protectionist eras to block massive imports. But then our own people would struggle even more. The only real options are either for our workers to slash their hourly rates to become globally competitive, or for us to slap on forced tariffs to force those imports to compete on our home turf. There isn't a second way. Otherwise, we’re headed for ruin, and we'll only ever be able to manufacture niche goods for the elite—and those kinds of industries don't last long in today's climate..

It's unlikely our people will just cut their wages—they'd end up making even less than they do now—and since we aren't part of that "global slavery" model yet, we can't easily bring in cheap labor from overseas or pay them in dollars to work in our factories (since we aren't quite as ruthless as some Western powers). So, really, we're looking at two choices: watch our industry crumble, or go full isolationist like the old protectionist days to shut out the cheap competition from the East. I don't see any other way. Raw materials can't get cheaper than what's coming out of Asia without the quality dropping to zero, so the only variable left is labor costs. We like to think our labor is already at rock bottom, but clearly, we're still too expensive for the West, which is why they prefer exploiting the East. Modern economics is basically built on this system where wealthy Western nations exploit poorer Eastern nations to make their economies bloom. Unless we stoop to that level and start exploiting people to work for us, we won't bridge that gap, even with a good product. Otherwise, our economy is destined to be nothing more than an elitist bubble.

Andrew Reed11 said:offtopic: okay, well, I happen to have 3 or 4 thousand bucks lying around, so why don't you tell me more about this product! 😉

ontopic: Manufacturing and factories are dying out because of cheap goods flooding in from Asia. Why is that stuff so cheap? Because of ultra-cheap labor in the East working for pennies on the dollar. We can barely compete with that, and in a global recession, the world just wants things dirt cheap. Quality doesn't even matter at that point—it just needs to be inexpensive. You could theoretically stop it by passing laws similar to what the US did back in the old protectionist eras to block massive imports. But then our own people would struggle even more. The only real options are either for our workers to slash their hourly rates to become globally competitive, or for us to slap on forced tariffs to force those imports to compete on our home turf. There isn't a second way. Otherwise, we’re headed for ruin, and we'll only ever be able to manufacture niche goods for the elite—and those kinds of industries don't last long in today's climate..

It's unlikely our people will just cut their wages—they'd end up making even less than they do now—and since we aren't part of that "global slavery" model yet, we can't easily bring in cheap labor from overseas or pay them in dollars to work in our factories (since we aren't quite as ruthless as some Western powers). So, really, we're looking at two choices: watch our industry crumble, or go full isolationist like the old protectionist days to shut out the cheap competition from the East. I don't see any other way. Raw materials can't get cheaper than what's coming out of Asia without the quality dropping to zero, so the only variable left is labor costs. We like to think our labor is already at rock bottom, but clearly, we're still too expensive for the West, which is why they prefer exploiting the East. Modern economics is basically built on this system where wealthy Western nations exploit poorer Eastern nations to make their economies bloom. Unless we stoop to that level and start exploiting people to work for us, we won't bridge that gap, even with a good product. Otherwise, our economy is destined to be nothing more than an elitist bubble.

Which specific American factory collapsed due to cheap Eastern goods? Perhaps the textile industry felt the brunt, but the decline in other sectors—like shipbuilding—is primarily a result of domestic mismanagement rather than foreign competition.
Cheap imports might impact an industrial giant like Germany, but we lack a manufacturing base here because there was never a clear vision or a solid strategy to make America a competitive industrial power. It is always easier to blame someone halfway across the world.

It’s not really about cheap imports from overseas hitting Germany; it’s more about how cheap labor out east makes it worth moving the whole factory there, which obviously kills local jobs. Sure, people buy cheap stuff from abroad, but that usually hits the mid-range market, and honestly, there's always someone willing to pay for luxury goods too. The reality is that the big industrial players who moved production away aren't even selling their products any cheaper than if they'd kept them at home. Just look at Nike, Adidas, those high-end designer brands, or even our own Magma. It’s all about padding the profit margins, not lowering the price tag.

Regarding why manufacturing is tanking here, I’m with Thomas Fowler84 on this one. Local production has been systematically gutted from the get-go, regardless of what's happening in the rest of the world.

Thomas Fowler84 said:Which specific American factory collapsed due to cheap Eastern goods? Perhaps the textile industry felt the brunt, but the decline in other sectors—like shipbuilding—is primarily a result of domestic mismanagement rather than foreign competition.
Cheap imports might impact an industrial giant like Germany, but we lack a manufacturing base here because there was never a clear vision or a solid strategy to make America a competitive industrial power. It is always easier to blame someone halfway across the world.

What kind of goods? A Chinese person makes everything now. Everything from basic commodities to watches and high-end electronics. Pretty soon they'll be mass-producing food, too.

Andrew Reed11 said:What kind of goods? A Chinese person makes everything now. Everything from basic commodities to watches and high-end electronics. Pretty soon they'll be mass-producing food, too.

Then please provide a specific example of an American factory that collapsed due to cheap imports from the East so we can better grasp your point.

Thomas Fowler84 said:Then please provide a specific example of an American factory that collapsed due to cheap imports from the East so we can better grasp your point.

It’s pretty clear you don't grasp the basic concept of market competition, so honestly, I can't even be bothered to explain it to you! 😉

Andrew Reed11 said:It’s pretty clear you don't grasp the basic concept of market competition, so honestly, I can't even be bothered to explain it to you! 😉

Is this an attempt at infantile trolling and condescension? If you cannot answer the question, no one is forcing you. Please refrain from posting comments like these in the future.
Believe me, my economic education far exceeds yours, yet I have no desire to be patronizing.

Thomas Fowler84, you’re honestly killing me with that idea... thinking you could just sit down and have a regular chat with her like that...
Just say: "exactly." 😂

I mean, I highly doubt someone out there buying a luxury tank or a Rolex isn't checking the build quality first, but hey, that's just my two cents...
Over in the East, they produce some seriously high-end stuff too, provided you're willing to pay the premium price tag...

The reality is, looking at things from a mainland perspective, nobody in the US would be crazy enough to try starting any kind of mass production here when you can just manufacture it overseas for a third of the cost and import it... we're simply too expensive for massive plants and heavy manufacturing, so we really ought to be pivoting toward specialized niche products and high-end finishing work instead...
Even someone like a major CEO wouldn't be mad enough to open an entire factory here; most of the heavy lifting happens in places like Singapore...😉

Thomas Fowler84 said:Then please provide a specific example of an American factory that collapsed due to cheap imports from the East so we can better grasp your point.

Just look at the textile industry and you'll have your answer. It was wiped out by cheap goods from China e.g. Duga Resa...

Hannah Reed3 said:Just look at the textile industry and you'll have your answer. It was wiped out by cheap goods from China e.g. Duga Resa...

Take a close look at the textile industry and you will find your answer. It was simply decimated by low-cost textiles from China e.g. Duga Resa...[/I]

I already mentioned the textile industry, but my question was regarding other American factories that failed due to inexpensive competition from the East rather than the incompetence of our own politicians. Of course, Chinese factories apply pressure through low pricing—though quality hasn't improved much either—but as long as we refuse to take responsibility for our own fate and instead hunt for scapegoats, there is no hope of digging ourselves out of this mess.

We simply can't compete with the East on pricing, nor can we hold our own against the West when it comes to technology. 😢

Sam Hughes46 said:We simply can't compete with the East on pricing, nor can we hold our own against the West when it comes to technology. 😢

I couldn't agree more.

Chris Stewart3 said:I read yesterday that the manufacturing workforce here in America has plummeted by a staggering 20% over the last year alone. It makes one wonder what the underlying drivers are behind such a sharp decline, and whether there's any viable way to reverse this downward spiral. If we don't find a way to stabilize things and this trend continues, we’re going to end up looking just like Dubai—only without the luxury of having oil reserves to fall back on.

If I recall correctly, our glorious First President had a Visionary American plan, similar to Andorra (or today's Dubai), focusing strictly on trade and a bit of tourism.

Back then, they couldn't even declare martial law to stop privatization (where everything would be produced for the state).

But hey, we're far too sophisticated for that!

So, off we go into privatization! (Though nobody seems to realize that those shares meant for the workers during those old buyouts should actually belong to them, not some mystery third party. Instead, those same employees are still paying for them via automatic bank drafts to whoever ended up holding the bag).

Market Economy, right? No problem at all—we’ve got plenty of cousins in high places!

Who cares about 200 million in debt if we aren't making anything anyway? And what about those poor souls left without work?

You say manufacturing employment fell by 20%? That basically accounts for everyone left in any kind of production in America.

Uncompetitive!?

As long as generalist managers are running every factory, may God help anyone trying to actually manufacture something.

Sure, cheap labor in the East works.

But look at Japan, Korea, China, and their peers—their industries are run by a Technocracy, not by socialites or history professors.

And where did they learn the ropes? You have 65,000 German engineers working in China today, training them and implementing new tech.

And us?

It turns out that sourcing raw materials, processing them into semi-finished goods, assembling the final product, certifying it, marketing it, selling it competitively, and actually turning a profit... well, it takes more than a year. It would be great if we could just dream it up today and have a pile of cash tomorrow.

Unless the entire American perception of work and life changes—which won't happen—maybe we'll produce something that's actually competitive, rather than just scraping by.

It's our own fault for believing every person who steps up to a podium.