U.S. knowledge- and technology-intensive industries added value even during pandemic downturn
A recent National Science Board’s Science and Engineering Indicators report on the knowledge- and technology-intensive (KTI) industries analyzed production, trade and enabling technologies of KTI industries and found that KTI industries contributed 11 percent to both U.S. GDP ($2.3 trillion) and global GDP ($9.2 trillion) in 2019. Even though overall U.S.
NIST issues final rules to prevent improper use of CHIPS Act funding
The CHIPS and Science Act (Act) established guardrails to prevent funding recipients from using the money to support the development of semiconductor manufacturing and technology in foreign countries of concern, including North Korea, China, Russia, and Iran. On September 25, 2023, the CHIPS Program Office CPO published the final rules for preventing improper use of CHIPS Act funding.
The US lags behind other top countries in its proportion of manufacturing value added to GDP, World Bank data reveals
Manufacturing in the U.S. accounts for 90% of private-sector R&D, employs 80% of the nation’s engineers, and contributes trillions to the economy—according to Deloitte—with every dollar spent in manufacturing leading to an additional $1.81 added to the economy. However, despite its key importance, the U.S.
Useful Stats: Is US manufacturing productivity on a decline? A detailed look at BLS OPT data.
Despite a $4.1 trillion increase in annual output since 1987, manufacturing industries in the United States have been declining in both their labor productivity and share of output. The Bureau of Labor Statistics’ labor productivity (output per hour) index, tied to 2012 values, for manufacturing industries has dropped by nearly five points since its all-time high of over 101 in Q2 2013.
Global Evidence on the Decline and Recovery of Rust Belt Cities
This article, written by Leonardo Vasquez and reproduced from the April 2024 issue of NBER Digest, is a summary of NBER Working Paper 31948, prepared by Luisa Gagliardi, Enrico Moretti, and Michael Seranfelli.
NIST announces intent to open competition for Manufacturing USA Institute focused on AI
The Office of Advanced Manufacturing at the National Institute of Standards and Technology (NIST), an agency of the U.S. Department of Commerce, intends to announce an open competition for a new Manufacturing USA institute.
MoU hopes to accelerate battery manufacturing in the US
An MOU between the Korean Institute for Advancement of Technology, the Korean Battery Industry Association, the Korean Electronics Technology Institute, and the NAATBatt Association, aims to bring Korean battery manufacturers to the U.S.
The characteristics and implications of Robot Hubs around the US
A recent project from the National Bureau of Economic Research used data from the Annual Survey of Manufactures to study the characteristics and geography of investments in robots across U.S. manufacturing establishments and find whether it revealed any impact on the economy. The team found that robotics adoption and intensity is more closely related to the size of the establishment than it is to its age. The study presents results on the distribution of robots in U.S.
Initiative for a Competitive Inner City (ICIC) recommends policies to increase racial equity in manufacturing supply chains
Three pieces of federal legislation enacted in 2021 and 2022—the Infrastructure Investment and Jobs Act (IIJA), CHIPS and Science Act (CHIPS Act), and Inflation Reduction Act (IRA)—collectively authorize nearly $1.5 trillion to reshape America’s industrial landscape. But will this money help the 107 Black-owned and 151 Hispanic-owned companies in the manufacturing supply chains that the legislation is designed to support?
Manufacturing Day opens doors and minds on career opportunites
Working together to address the skilled labor shortage in manufacturing, manufacturers across the nation participate in Manufacturing Day as an opportunity to change perception. Always the first Friday in October, thousands of manufacturers open their doors to the public to exhibit what they do in modern manufacturing. Many community and technical colleges also participate to educate the public on the changing nature of the industry and highlight the skills required for a well-paid career in the field.
Manufacturing USA approaches 200,000 engagement milestone
The number of workers, students and educators participating in the Manufacturing USA institutes’ portfolio of programs, research projects and training courses grew seven-fold to surpass 191,000 individuals in 2017, according to the network’s new annual report. With a network of 14 individual institutes supported by the departments of Commerce, Defense and Energy, the Manufacturing USA initiative saw tremendous growth during 2017, including six institutes that went online just during the year.
DOE announces intent to issue funding opportunity for cybersecurity institute for energy efficient manufacturing
The U.S. Department of Energy’s (DOE) Office of Energy Efficiency and Renewable Energy (EERE) announced their intent to issue a Funding Opportunity Announcement (FOA) establishing a new Clean Energy Manufacturing Innovation Institute. The institute will develop technologies that will advance U.S. manufacturing competitiveness, energy efficiency and innovation.
Manufacturing wage growth supporting Appalachian economy
Earnings for Appalachian manufacturing workers grew 3.4 percent from 2012 through 2017 to an average of $63,583. The growth is in the Appalachian Regional Commission’s Industrial Make-up of the Appalachian Region, 2002-2017, which reviews employment and wages by sector across the region. Appalachian workers overall saw earnings increase by 3.7 percent over the five years.
Useful Stats: GDP by County and Industry Contribution
This edition of Useful Stats examines the Bureau of Economic Analysis’ first full release of county-level gross domestic product (GDP) data. Specifically, this analysis considers total county GDP in 2018 and the contributions to each county’s GDP by industry.
This edition of Useful Stats examines the Bureau of Economic Analysis’ first full release of county-level gross domestic product (GDP) data. Specifically, this analysis considers total county GDP in 2018 and the contributions to each county’s GDP by industry.
While finance and insurance in New York ($222.5 billion) accounted for the single largest contribution to both total county GDP and total U.S. GDP in 2018 — followed by real estate and rental and leasing in Los Angeles ($150.2 billion) — the manufacturing sector was the highest contributor to county GDP in the greatest number of counties. Manufacturing was the primary source for county GDP in 927 out of more than 3100 counties — accounting for nearly $2.3 trillion of total U.S. GDP in 2018. Government and government enterprises (768 counties) accounted for the second most frequent leader in county GDP contributions — totaling $2.4 trillion nationally — followed by real estate and rental and leasing (647 counties) — totaling $2.7 trillion nationally. The next closest industry was agriculture, forestry, fishing and hunting which was the top contributor to GDP in only 209 counties — and only accounting for a national total of $138.4 billion.
The map below shows counties with manufacturing, government, real estate, mining, and agriculture as their predominant industry. The map shows that manufacturing is the leading industry in counties in the Midwest and South while agriculture is centered primarily within the Plains region.
Manufacturers needed in COVID-19 response
The White House has reached out to the National Association of Manufacturers to seek volunteers who can donate and provide and/or produce within two weeks large-scale quantities of critical supplies to help the nation respond to the COVID-19 pandemic. Those that may have the ability to produce needed supplies are urged to respond to the survey found here.
NIST seeking pathways for including non-federal manufacturing centers in national network
The National Institute of Standards and Technology (NIST) is seeking to expand the network of Manufacturing USA centers for innovation, providing pathways for participation from external industry organizations, according to a recent notice in the Federal Register.
Advanced manufacturing projects in 25 states share $140 million from DOE
The Advanced Manufacturing Program within the U.S. Department of Energy’s Office of Energy Efficiency & Renewable Energy awarded nearly $140 million to companies and universities in 25 states and the District of Columbia to support 55 advanced manufacturing research projects. Recipients are contributing an additional $47.8 million toward project costs. Projects received an average of $2.5 million, but range from $400,000 to $12 million. The accompanying map presents the distribution of awards across the country and brief details on each recipient.
New A.T. Kearney report fuels debate over U.S. trade policy’s effect on reshoring
A recent report from global management consulting firm A.T. Kearney calls into doubt the ability of U.S. trade policy in encouraging domestic manufacturing firms to reshore their production efforts. Following the government’s release of 2018 trade data, A.T. Kearney published the findings from its sixth annual Reshoring Index, which compares year-over-year changes in U.S.
A recent report from global management consulting firm A.T. Kearney calls into doubt the ability of U.S. trade policy in encouraging domestic manufacturing firms to reshore their production efforts. Following the government’s release of 2018 trade data, A.T. Kearney published the findings from its sixth annual Reshoring Index, which compares year-over-year changes in U.S. manufacturing gross output to imports of manufactured goods from 14 traditionally low-cost country (LCC) trading partners in Asia.
Manufacturing Day celebrates industry, works to increase workforce
Addressing common misperceptions about the industry, Manufacturing Day — held tomorrow, Oct. 4 — strives to address skilled labor shortages manufacturers face by opening the doors of different manufacturers to the public and showing what manufacturing is, and isn’t. The day was created in 2012 with the support of many organizations educating the public on modern manufacturing, including the National Institute of Standards and Technology’s (NIST) Hollings Manufacturing Extension Partnership (MEP).
Manufacturing Institutes strengthen industry partnerships, R&D, workforce in 2018
Manufacturing USA recently released its 2018 annual report highlighting the progress its 14 associated institutes have made in growing the Manufacturing USA network, increasing manufacturing technology development and technology transfer, and promoting workforce development.
Aging manufacturing workforce analyzed
Manufacturers are aware and concerned about the aging of their manufacturing workforce, according to a recent report from the Manufacturing Institute’s Center for Manufacturing Research. The report notes that a recent outlook survey found that attracting and retaining a quality workforce is one of the top challenges facing manufacturers, where nearly one-quarter of the sector’s workforce is age 55 or older.
Family-owned manufacturers lacking succession plans; negative economic impact forecast
One of the most important economic development issues facing communities across the country, especially those reliant on family-owned manufacturing firms, may sometimes fly under the radar: succession planning. A robust study from the Great Cities Institute at the University of Illinois-Chicago combines qualitative (literature review, survey, and interviews) and quantitative analyses (economic impact report) to shed light on this issue, with a focus on the Chicago metropolitan area.
DOE announces $70 M for cybersecurity institute for energy efficient manufacturing
This week, the U.S. Department of Energy (DOE) announced up to $70 million for a Clean Energy Manufacturing Innovation Institute to develop technologies that will advance U.S. manufacturing competitiveness, energy efficiency, and innovation. This institute will focus on early-stage research for advancing cybersecurity in energy efficient manufacturing.
Analysis finds software accounts for nearly one-third of business R&D, up 60 percent over 10-years
Software plays an increasingly large role in private sector research and development (R&D) expenditures, according to new research from the National Science Foundation’s (NSF) National Center for Science and Engineering Statistics (NCSES) and the Bureau of Economic Analysis (BEA). Based on a recent change in how the BEA treats software R&D in its calculations for gross domestic product (GDP) and other metrics, the analysis finds that the share of business R&D coming from software increased from 20 percent in 2006 to 32 percent in 2016, a 60 percent increase. The authors also look at longer-term trends in business R&D expenditures on software, as well as an analysis of software R&D in manufacturing and non-manufacturing industries.
Bipartisan bill would improve Manufacturing USA
Eight U. S. senators introduced a bill last week, endorsed by SSTI and more than two dozen organizations, that would provide performing Manufacturing USA centers with a path for continued federal support, while also better-incorporating the centers into other manufacturing and innovation resources around the country.