“Supply chain gaps and the need for greater self-sufficiency set the stage for the current upward trend in reshoring,” says Harry Moser, founder and president of the Reshoring Initiative. “The risks of a Taiwan-China conflict or China voluntarily decoupling are focusing those concerns. Destabilizing geopolitical and climate forces have brought to light our vulnerabilities and the need to address them.

“The White House responded with the Inflation Reduction Act, Chips Act and Infrastructure Bill, offering some direction and financial security to the companies and industries intent on filling the gaps,” explains Moser, author of ASSEMBLY’s “Moser on Manufacturing” column. “These government actions are necessary in the short run, but are not sufficient, since they do not improve [America’s] uncompetitive cost structure.

“The current actions and momentum are a great start,” claims Moser. “A true industrial policy would accelerate the trend and increase U.S. manufacturing by 40 percent or 5 million jobs. Reshoring will reduce the trade and budget deficits and make the U.S. safer, more self-reliant and resilient.”

The Reshoring Initiative’s 2022 Data Report contains statistics on U.S. reshoring and FDI by companies that have shifted production or sourcing from offshore to the United States.

“We publish this data quarterly to show companies that their peers are successfully reshoring and that they should reevaluate their sourcing and siting decisions,” says Moser. “With 5 million manufacturing jobs still offshore, as measured by our $1.2 trillion a year goods trade deficit, there is potential for much more growth. We also call on the administration and Congress to enact policy changes to make the United States competitive again.”

To learn more about the reshoring report, click www.reshorenow.org.