According to Jennifer Booton, with Fox Business, a report released by the Boston Consulting Group suggests that the U.S. could be experiencing a manufacturing renaissance by 2020. Her article, “Manufacturing Renaissance? Exports, Reshoring Could Bring 5M Jobs to US” reports that domestic manufacturers “are expected to surge, with domestic manufacturers standing to capture 2% to 7% of Western European and Japanese exports due to lower labor and energy costs, which would translate to as much as $90 billion in additional U.S. exports,” as shown by the BCG research.
This 2% to 7% could account for an additional $90 billion in exports and add up to 5 million jobs by 2020. All of this will be possible through the reshoring efforts made by companies due to low energy costs, low wage costs, and other factors.
Honda, Nissan, General Motors, Siemens, and Rolls Royce are all companies who have recently pulled some production back to the U.S. or have been making plans to do so.
“The signs pointing to continued export growth offer further evidence that the U.S. is poised for a manufacturing renaissance between 2015 and 2020,” said Harold Sirkin, a senior partner at BCG who coauthored the research.”
Find the full text of the article here.