Three manufacturing industry trade associations — National Tooling and Machining Assn. (NTMA), the Precision Metalforming Assn. (PMA) and the Association for Manufacturing Technology (AMT) — are behind a plan to raise the profile of “re-shoring,” to prove to large manufacturers the benefits of domestic sourcing.
Re-shoring refers to the strategy of OEMs and other manufacturers to reassign their purchasing from foreign to domestic suppliers. The decisions are driven by several factors, including rising costs for transportation, fuel, and labor, and higher rejection rates for foreign-made goods.
Among the benefits cited for re-shoring are the buyers’ ability to manage inventory and JIT operations better; better, more consistent supplies; stronger product innovation thanks to local R&D and manufacturing; lower IP and regulatory compliance risk; and a smaller carbon footprint.
NTMA and PMA describe re-shoring as “a non-protectionist, private sector-driven way to reduce imports (and our trade deficit), increase our ‘net exports,’ and create jobs.”
The centerpiece of their re-shoring campaign will be a "Re-Shoring Fair," May 12, in Irvine, CA, similar to numerous purchasing fairs NTMA has staged over the past 25 years. With over 50 representatives from OEMs and an estimated 200 custom manufacturers are expected to attend, it will create a central point for large U.S. manufacturers to find competitive U.S. job shops to manufacture parts and tooling.
The planners say the Re-Shoring Fair aims to “change the sourcing paradigm from ‘off-shored is cheaper’ to ‘local reduces Total Cost of Ownership’.” Participating manufacturers will include machine shops and manufacturers of stamped and fabricated parts, special tooling (dies, molds, jigs, fixtures and gauges), and special machines.
Details on the campaign and the Re-Shoring Fair, May 12, 2010, at the Hyatt Regency Irvine Hotel, Irvine, CA, are available online. Or, contact Christie Carmigiano by e-mail, or Tel. at 216-901-9666 ext. 105.
