The Reshoring Initiative has released its 2016 Data Report and “for the first time in decades, more manufacturing jobs are returning to the United States than are going offshore. The combined reshoring and foreign direct investment (FDI) trends grew by over 10 percent in 2016, adding 77,000 jobs (tying the 2014 record) and exceeding the rate of offshoring by about 27,000 jobs. The 2016 results bring the total number of manufacturing jobs brought back from offshore to more than 338,000 since the manufacturing employment low of February 2010” (Press Release).
The 2016 report contains data on U.S. reshoring and FDI by companies that have returned U.S. production or sourcing from offshore and includes cumulative data from 2010 through 2016, with Q1 2017 highlights.
Additonal Reshoring Data
- Proximity to customers was the leading factor in 2016, followed by government incentives, skilled workforce availability and ecosystem synergies.
- The Southeast and Texas remain the top regions for reshoring and FDI, with the Midwest in second place due to its strong industrial base.
- Transportation equipment remained the strongest industry, accounting for nearly 40 percent of total jobs returned.
- Plastics/rubber and furniture saw the largest increases in industry ranking.
- FDI has remained stronger than reshoring. Both trends are based on the logic of producing in the local market, otherwise known as localization.
- Preliminary 2017 data trends are looking to be at least as good as 2016.
“Data for this report comes from the Reshoring Initiative Library of more than 4,000 published articles, privately submitted reshoring case studies and privately documented cases. The report provides data and analysis in 10 different categories, ranging from the number of manufacturing jobs gained, to reasons cited for reshoring, to a breakdown of data by industry, country, region and state. It also includes data on the nearshoring trend (Canada and Mexico).”
Read the complete report: Reshoring Initiative Data Report 2016: The Tide Has Turned