The IndustryWeek Blog by Alan Brian Beaulieu of ITR Economics

[ARCHIVE] Make Your Move

A Lot of Potential in US Manufacturing

April 30, 2013

There are compelling reasons to focus on US manufacturing in the coming days.

Manufacturing in the US is on the rebound. It currently stands at $1.86 trillion, 11.9% of GDP (up from a low of 11.0% in 2009). Near-sourcing and a more favorable cost environment are helping to re-energize a vibrant segment of our economy. Selling into American manufacturing is a very worthwhile endeavor when you consider the potential of this marketplace.

US manufacturing, if treated as a stand-alone economy, would be the 10th largest nation in the world. That makes US manufacturing larger than the GDP of both India and Canada and only slightly smaller than the GDP of Russia and Italy.

I would be remiss if we did not note that China’s manufacturing base is larger than that of the US. Manufacturing in China is estimated at $2.522 trillion (30.57% of an $8.250 trillion economy).

There is a lot of selling potential into the Chinese manufacturing economy as well, but the costs of reaching that market, as well as the IP risks, make a compelling argument for a strong US focus.

About the Author

Alan Beaulieu Blog | President

One of the country’s most informed economists, Alan Beaulieu is a principal of the ITR Economics where he serves as President. ITR predicts future economic trends with 94.7% accuracy rate and 60 years of correct calls. In his keynotes, Alan delivers clear, comprehensive action plans and tools for capitalizing on business cycle fluctuations and outperforming your competition--whether the economy is moving up, down, or in a recession.

Since 1990, he has been consulting with companies throughout the US, Europe, and Asia on how to forecast, plan, and increase their profits based on business cycle trend analysis. Alan is also the Senior Economic Advisor to NAW, Contributing Editor for INDUSTRYWEEK, and the Chief Economist for HARDI.

Alan is co-author, along with his brother Brian, of the book MAKE YOUR MOVE, and has written numerous articles on economic analysis. He makes up to 150 appearances each year, and his keynotes and seminars have helped thousands of business owners and executives capitalize on emerging trends.

Prior to joining ITR Economics, Alan was a principal in a steel fabrication company and also in a software development company.