Good news for US job market.
American firms are expanding their manufacturing bases to produce more materials at home after lessons taken from the pandemic-induced supply disruption.This will create more jobs at home.
US companies are bringing back to America a historic number of jobs. In August, multiple businesses revealed that they will build billion-dollar factories producing everything from materials for lithium-ion batteries to packaging. US firms are expected to reshore about 350,000 jobs in 2022.
The Covid-19 pandemic has spurred C-suite leaders to consider relocating overseas supply chains closer to home, while investors' close scrutiny of carbon emissions is also convincing companies to move processes nearer to home, according to The Wall Street Journal.
US factory activity held steady in August 2022, suggesting modest growth in manufacturing, according to the Institute for Supply Management. Mineral products, transportation equipment, and petroleum were among the ten industries that expanded. A measure of employment also indicates that US manufacturers are adding more workers. In Europe and Asia, meanwhile, the war in Ukraine and a sluggish economy in parts of Asia are contributing to declining factory activity, says Bloomberg.