For decades, manufacturers shifted production of many products overseas — primarily to China — in an attempt to cut labor costs and protect margins. Supply chain snarls and a global pandemic are now forcing companies to rethink their efforts, and the pace for onshoring is picking up. In the report “Global Economic Factors Align Favoring U.S. Plastic Product Manufacturing over China-Based Operations,” JobsOhio enlisted the help of Shale Crescent USA to identify opportunities for plastics industry expansion that support business growth, create high paying jobs, enhance national security, and foster long-term, sustainable economic development.
The study found tremendous advantages and opportunities in Ohio. Quite simply, it is no longer cheaper to import plastic-based manufactured goods. It has become economically wise to manufacture plastics in Ohio.
The message of the report is clear: China has lost its competitive edge.
Factors Driving the Onshoring Opportunity
Longstanding manufacturing history. Ohio’s strong past in industry and innovation means leading-edge facilities and a more sophisticated workforce.
Greener supply chain. Eliminating transportation across oceans reduces global emissions, pollution, and fossil fuel consumption.
Strategic location in the U.S. Ohio manufacturers benefit from being located within a day’s drive of over 70% of the end-to-end plastics industry supply chain.
Abundant supply of natural gas. Lower energy costs and an increased supply of resin make Ohio an attractive option for plastics manufacturing.
Robust, skilled talent supply. With the third largest manufacturing workforce in the country, there are thousands of well-trained Ohioans to support business growth.
The driving forces that led to offshoring U.S. manufacturing to China have reversed course and are now favoring domestic production.
- Global Economic Factors Align Favoring U.S. Plastic Product Manufacturing -