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Can USA manufacturing really be achieved? Domestic Consumers lack purchasing enthusiasm while overseas customers are increasingly boycotting American goods.

cls.cn ·  May 19 12:32

① The tariff policy of USA President Trump aims to attract manufacturing back to the USA, but there is not much optimism about this goal domestically; ② Overseas markets are resisting USA-made commodities due to the tariff policy, while enthusiasm for domestically made products in the USA is also low; ③ USA businesses are concerned that damage to the country's image will weaken product demand prospects, and rebuilding the entire ecosystem of parts suppliers and skilled workers will take a long time.

According to a report from Financial Association on May 19 (editor: Ma Lan), USA President Trump pushed the tariff policy as soon as he took office, one of the goals being to attract manufacturing back to the USA, but there is considerable pessimism domestically about achieving this goal.

The CEO of USA footwear manufacturer Oka Brands, Pepper Harward, stated that no one wants USA-made products. Markets in Canada, South Korea, Japan, and others are performing poorly, and these markets are the company's main sources of customers. Moreover, the domestic market in the USA is barely holding up.

For him, a very critical reality is that due to protests triggered by Trump's tariffs in many countries, consumers in Canada and European countries are igniting a wave of nationalism, gradually escalating their boycott of USA goods. This has made the slogan 'Made in the USA' lack support.

Even if the trade tensions have eased slightly now, USA businesses are still concerned that damage to the country's image will weaken product demand prospects, and this adverse effect is difficult to completely eliminate in a short time.

Haward also pointed out that previously, when the USA-China situation was more tense, many clients approached him hoping to cooperate, but these business opportunities rarely turned into lasting partnerships. When the USA's tariff on China was reduced from 145% to 30%, people suddenly lost interest in him, and the market was already discussing how to adapt to the new normal.

USA customers are also not interested.

While the overseas market is not buying, enthusiasm for USA-made products in the domestic market is also very lacking.

Amazon seller consulting services provider Jason Boyce stated that this month, searches for "Made in USA" have increased fivefold compared to last year, yet this curiosity has not translated into purchasing power. He believes that the customer base for buying USA-made commodities will not expand further, at least there is no indication of that at present.

Scott Needham, founder of the e-commerce service institution SmartScout, provided another explanation that consumers might just want to see which items are actually made in the USA, but not for purchasing, rather to determine what can be bought from the USA.

A showerhead dealer from Texas in the USA pointed out that on his website, customers can freely choose a $129 Asia-made showerhead or a USA-made model that costs about $100 more. The reality is that out of over 600 transactions, not a single USA showerhead was sold.

The dealer noted that he expected the Asia-made showerheads to win, but did not anticipate such an overwhelming outcome.

A purchasing agent from the USA dealer Ace Hardware also discussed this issue with American showerhead manufacturer Rick Whedon, concluding that American consumers simply do not care about the origin of the product.

Another reality is that even if showerheads are to be made domestically in the USA, a complete supply chain needs to be integrated, and now it is becoming increasingly difficult to find these component suppliers in the USA, making overseas manufacturing or procurement almost inevitable.

American companies are also well aware of Trump's style, pointing out that to bring manufacturing back to the USA, the entire ecosystem of component suppliers and skilled workers must be rebuilt, but neither consumers nor Trump seem to have the patience for that.

Showerheads may be a small and non-critical product, but they have reflected many truths.

Martin French, a partner at Berylls Strategy Advisors USA, pointed out during a discussion on the issue of manufacturing Autos in the USA that even if certain tariffs are imposed, mass production of some components that have already been relocated overseas remains cheaper than in the USA.

Ford stated that the company could move all its Business back to the USA, but it would require the price of each Auto to exceed $0.05 million, making it nearly impossible for the company to survive in competition. This has now become a consideration for all companies in the USA.

The translation is provided by third-party software.


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