What is Reshoring?
The reshoring trend has influenced many companies to move their manufacturing needs from offshore sources to sources in America. Reshoring has become more popular because many are realizing the benefits to working with U.S. manufacturers. Although the face value price tag of overseas products may seem ideal, complications add up over time.
Over the long term, machinery from the United States saves both time and money. This is beneficial to manufactures and the companies that commission them. For companies, this means better quality products with lower risks. For manufacturers, reshoring means more employment opportunities and higher potential for company growth.
Top reasons to reshore manufacturing:
1. U.S. manufacturing is cheaper and better quality when taking issues such as maintenance costs, damage caused during travel, freight costs, insurance, and other overseas complications into account. The potential for future savings is driving the momentum for reshoring. China is normally assumed to be the cheapest option but this is only true in the short term.
2. Delivery from overseas can take anywhere from 1 to 2 months. Additionally, standard issues that come with long distance traveling, such as customs inspections and delays, should be factored in.
3. China’s infrastructure is strained, which will make their low prices less reliable. In the coming years, China will face labor shortages that will, coupled with high tax burdens on factories, raise labor prices.
4. Some of the qualities you’ll find at a U.S. manufacturer include: superior quality, reliable customer service, advanced technology, increased productivity, and highly trained technicians. These qualities are difficult to find overseas due to distance, language barriers, and less access to technology and trainer workers.
5. CNC machining allows manufacturers to precision machine products with the details you need. This process is easier with smaller, nimble and more local manufacturers as opposed to large foreign factories.
6. Speed and innovation, top qualities of U.S. manufacturers, are quickly becoming just as important as price. Rapidly developing technology and shortened life expectancy of products have set new standards for machining processes.
Overall, the reshore manufacturing initiative is beneficial to companies, manufacturers, and the U.S. economy. When deciding which machinery manufacturer to reshore with, consider Covert Manufacturing. We work with many clients who brought their overseas manufacturing to us for increased quality and reliable service.
Why Reshore With Us?
Companies are reshoring with Covert Manufacturing to produce products that they were formerly commissioning from Europe or Asia. Our reshoring customers know that it is leaner and more economical to produce local. Plus, our processes at Covert Manufacturing are leaner and more efficient when we are producing for a local company.
On both ends, reshore manufacturing trends provide a strong competitive advantage. With reshoring, your product does not sit on a boat for months and we can work together to precision machine the exact product your company needs. Additionally, with inflation in China and increasing overseas labor prices, offshoring is no longer a viable option.
Whether you want to cut your lead time or regain control of your quality machinery, reshoring with Covert Manufacturing will give your company a competitive advantage and bring opportunities back to the States. Contact a representative at Covert Manufacturing today and learn more about our lean manufacturing processes.