For many years now, American companies have been sending manufacturing work overseas to countries with lower labor costs. The conventional wisdom is that the substantially reduced labor costs seen in countries like China, Vietnam or the Philippines will translate into cheaper price tags on consumer goods like smart phones, LED TVs, dishwashers and the like.
Lately, however, an increasing number of American companies are “re-shoring” this labor back to the U.S., returning home much manufacturing in order to enjoy cost-savings due to factors other than just labor costs. In places such as China there are now intense pressures to increase wages and this, together with increasing transportation costs and general inefficiencies inherent in emerging economies, has created a climate in which many of these U.S, companies feel it is time to bring production back to America.
Indeed, more than 200 companies have restored their operations to the U.S. over the past few years, and there has also been a marked increase in the number of firms seriously considering a similar move. One big incentive is simply proximity- If a company has engineers and qualified workers at home along with its customer base, it makes sense to take advantage of a shorter supply chain. Other savings come from shipping savings and from “JIT” or “Just in Time” inventory strategies that companies employ to increase efficiency by receiving goods as needed in their production process.
At Chicago Nut & Bolt, we are ideally situated and qualified to fully take advantage of this new trend is We are the number one choice for all custom fasteners, be it single quantities or hundreds of thousands of pieces at a time. Take advantage of the home-grown, just-in-time American manufacturing prowess of Chicago Nut & Bolt and see that when time, quality, and expertise is crucial, you will be amply rewarded with Chicago Nut & Bolt every time and on time!