Why Reshore Injection Molding And Other Manufacturing?

why reshore injection molding

In the industry of custom plastic Injection molding, there is a vibrant discussion underway about plastic part manufacturing returning to the U. S. from overseas. Sure, labor costs in China were significantly less back in 2009, and purchasing leaders are paying much greater attention to the OVERALL cost benefits of reshoring but what are the micro reasons driving the trend to shift injection molded parts and other production back to U.S. facilities?

Actually, there are many reasons for American manufacturers to reevaluate offshoring and consider reshoring. Companies are increasingly recognizing that costs, risks and strategic impacts previously ignored are large enough to overcome the shrinking emerging market wage advantages. They are seeing the benefits of proximity, i.e. producing in the market, especially when the home market is the U.S., still the world’s largest.

The top reasons that companies reshore include:

  • Lead time
  • Higher product quality and consistency
  • Rising offshore wages
  • Skilled workforce
  • Freight costs
  • Image of being Made in USA
  • Lower inventory levels, better turns
  • Better responsiveness to changing customer demands
  • Minimal intellectual property and regulatory compliance risks
  • Improved innovation and product differentiation
  • Local tax incentives
  • Reshoring is increasingly making sense for America

Reshoring is the fastest and most efficient way to strengthen the U.S. economy because it:

  • Helps balance the trade and budget deficits
  • Reduces unemployment by creating productive jobs
  • Reduces income inequality
  • Motivates skilled workforce recruitment by demonstrating that manufacturing is a growth career
  • Helps maintain the broad industrial capability required for national defense

Read More from our friends at the Reshoring Initiative

About GreenLeaf: GreenLeaf Industries is an ISO 9001 registered manufacturer that consistently adheres to all its standards to provide our clients with consistent, reliable, quality automotive and industrial plastic parts.

We are an American injection molding company, unafraid to compete in the world market and determined to succeed. Established in 1999, we take pride in our high-quality craftsmanship and superior customer service. Contact us to discuss whether your plastic injection molding project may be a candidate for reshoring.

GreenLeaf Industries
310 Bussell Ferry Road
Lenoir City, TN 37771
(865) 988-5661
www.greenleaf.biz