Survey: After COVID-19, Manufacturers Looking To Reshore Production
In May, Thomas polled more than 1,000 North American manufacturers and suppliers with revenues ranging from $4.9 million to more than $500 million that examines COVID-19’s impact on U.S. manufacturing.
The survey came to at least two conclusions: more manufacturers are considering expanding industrial automation as a result of COVID-19 and more are likely to bring manufacturing production and sourcing back to North America.
Specifically, the poll found 64 percent of manufacturers are likely to bring manufacturing production and sourcing back to North America because of the current pandemic. That response represented a 10 percent increase from a similar survey Thomas conducted in March 2020. One in four U.S. manufacturers said they might expand industrial automation because of COVID-19. (Twenty percent said they already have industrial automation systems in place.)
The poll also found:
- 41 percent of manufacturers believe there will be a decline in demand as a result of COVID-19, but 91 percent are confident that the sector will recover;
- More than half (56 percent) of manufacturing companies have not laid off employees due to COVID-19 and 30 percent of firms are actually actively hiring;
- Nearly two-thirds of manufacturers (64 percent) said their business was impacted by the shutdown orders impacting other non-essential businesses;
- Sixty-three percent of manufacturing companies have applied for financial assistance, including 60 percent that said applied for the U.S. Small Business Administration Paycheck Protection Program.
Click here to read Thomas’ full report.