Several articles and blogs have recently mentioned that the
When I first read the article a few months back, I quickly dismissed it as a short-term solution. I do not believe that the US Manufacturers could sustain a stable low-cost manufacturing and export program that could remain competitive with the rest of the low cost country world. However the US dollar remains weak and the long-term economic outlook still shows it will take some time to recover.
In the meanwhile, this week alone, I have been contacted from two mid-market European corporations and one neighboring company in
Interestingly, the majority of their purchases are already coming from
It will be interesting to begin these projects and grind through the analysis comparing prices, export costs, value added services, and the moving value of each currency. More importantly, with unemployment up and manufacturing down, I wonder how many US manufacturers will even be able to meet the demand and lead-times that are required in these initiatives and be able to ramp up production rapidly.
Either way, I still suspect that the long-term cost benefit will not be sustainable when the economy recovers.
To read Industry Week's Article in full click here:Contact Source One