Three Reasons Why Foxconn's US Factory is Good News for Manufacturing

Matt Shelly
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In November 2013, Foxconn announced that it is looking to construct new manufacturing facilities in the United States. The US Foxconn factory expected from the Taiwanese manufacturer responsible for many Apple products could have a variety of different positive effects for manufacturing in the nation. Though the opening date and location of the new Foxconn factory isn't yet determined, its announcement and subsequent press coverage could be very good for US manufacturing.

Manufacturing experts are likely to see a boost in opportunities in many local sectors after big events like the opening of the Foxconn factory. Possible sites for the new factory include Arizona and Colorado. Foxconn already has factories in Texas and Indiana, and government officials from many different states have entered into talks with the company. Manufacturing news regarding the company's latest actions include an announced expansion of its Pennsylvania-area workforce to include up to 500 additional workers. The company also announced a $10 million investment in education at Carnegie Mellon University to help fuel research and development as part of an earlier strategic agreement with the school.

This trend of moving manufacturing facilities to America from locations such as China and Taiwan is often referred to in manufacturing news as reverse outsourcing. The Foxconn factory may provide an excellent example for other businesses looking to construct new manufacturing centers. The high profiles of Foxconn and its clients may help entice other big organizations to follow the manufacturer's lead. This could potentially generate much more interest in production in America, leading to even more employment opportunities in the future.

One of the likely benefits to the manufacturing industry as a whole that may emerge from a new US Foxconn factory is a potential increase in worldwide working conditions. The company came under fire in recent years due to reports of poor working conditions at some of its overseas facilities. Foxconn is looking to automation to help maintain productivity without endangering workers with unnecessarily long hours or repetitive, potentially dangerous work.

Manufacturing in the United States has come a long way since the worst of the recent recession, and moves by Foxconn and other international manufacturers that could help positively impact the industry at home are often welcomed by government officials and local workers. The creation of additional jobs through expansion of existing facilities and the creation of new plants is a welcome sign for an industry still recovering from recession conditions and major offshoring moves. The industry as a whole could benefit from the addition of new technology that minimizes risk and improves working conditions for manufacturing workers. The new US Foxconn factory is still in planning stages, but it could be a sign of great things to come for manufacturing in America over the next few years.

 

(Photo courtesy of freedigitalphotos.net)

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