"The Onshoring Trend is Phony"

Posted by scapozzola on 08/20/2010

In an op-ed published today at Huffington Post, AAM Director Scott Paul points out that claims of an onshoring trend are, unfortunately, overblown.  In fact, companies continue to move factories offshore. The latest data from the Federal Reserve Bank of Philadelphia shows  that onshoring has actually declined over the past two years. In worrying contrast, offshoring continues at a higher, though slightly diminished, pace: 9.7 percent of companies indicated that they had offshored work, compared to 11.1 percent two years ago. Basically the onshoring story is a matter of "Don't believe the hype."  As Paul explains of why the onshoring myth has been perpetuated:
"It's what multinational companies want you to think. These companies know that 'Made in America' is a label that sells once again...Companies know that they risk a consumer backlash if they offshore work."
Read the full op-ed. ## ##

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