40% Increase in US Manufacturing is Achievable

The future state of U.S. manufacturing depends substantially on our success in reducing, rather than further increasing, our approximately $700 billion goods trade deficit, excluding petroleum. That deficit, after adjustment for price differences, equals about 40% of actual U.S. manufacturing output, about 5 million manufacturing jobs at current U.S. productivity levels. Success will depend on government actions that increase the price competitiveness of U.S. manufacturing and on corporations implementing more rapid automation and skilled workforce training and greater use of TCO (Total Cost of Ownership) for sourcing and siting decisions.