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Blog Category: Manufacturing

Ball Aerospace Welcomes Secretary Pritzker on First Stop on Listening Tour

Ball Aerospace President Strain and Commerce Secretary Pritzker view a model of the nation's next polar-orbiting weather satellite.

Guest blog post by Robert D. Strain, President, Ball Aerospace &Technologies Corp.

We were pleased to host U.S. Secretary of Commerce Penny Pritzker on the first stop of her nationwide listening tour.  As a leading manufacturer, Ball appreciated the opportunity to share our perspectives on how to strengthen American businesses with Secretary Pritzker.

Ball has recently made significant investments in its manufacturing facilities including an investment in its spacecraft manufacturing center and an expansion of the company’s metal beverage manufacturing plant in Golden, CO. The Secretary’s tour of our Boulder, CO facilities gave us the opportunity to highlight those investments.

Dialogue between the government and industry is an important part of encouraging the conditions necessary for business growth. Secretary Pritzker’s visit also provided an opportunity to call attention to the role that Commerce’s National Oceanic and Atmospheric Administration (NOAA) plays in a significant element of our national infrastructure—our weather prediction capability.

ACE Tool Helps U.S. Businesses Fully Assess the Advantages of Manufacturing and Sourcing In America

Assess Costs Everywhere Logo

Guest blog post by Mark Doms, Under Secretary of Commerce for Economic Affairs

I have the pleasure of meeting frequently with business owners from across the country.  They talk about where their challenges are in growing and sustaining their businesses, and they also talk about how locating production abroad hasn’t always turned out as well as they had hoped.  Not surprisingly, during our current economic recovery and expansion, news reports and private consultants have repeatedly echoed that thinking.  Increasingly we hear that U.S. companies that previously took their operations or supply chains overseas are now reshoring or insourcing─bringing operations and supply chains back home to America.

To help continue that momentum, the Department of Commerce today published a new tool to help inform manufacturing firms’ location decisions.  The Assess Costs Everywhere (ACE) tool outlines the wide range of costs and risks associated with offshore production, and provides links to important public and private resources, so that firms can more accurately assess the total cost of operating overseas.  ACE also shares case studies of firms that reversed their decisions to locate offshore once the full range of costs became clear.

ACE counts as its sponsor and most ardent champion, U.S. Representative Frank R. Wolf (R-VA), who directed the Department of Commerce to build an online tool for businesses to use in assessing hidden costs to manufacturing offshore. Congressman Wolf saw ACE as a much-needed resource in the federal government’s efforts to help achieve our goals of boosting U.S. economic growth and ensuring that America remains competitive in manufacturing. 

ACE identifies and discusses 10 cost and risk factors that firms should weigh in their decision making, such as labor and shipping costs.   Although some of these factors may seem obvious, companies may not always take all of them into full account.  Over the coming weeks, the Commerce Department’s blog will examine each of the areas, and although I hate to be a spoiler, it does turn out that the United States tends to compare quite favorably.  Having said that, there are many areas in which the U.S. needs to make critical investments.  The Competitiveness and Innovative Capacity of the United States, a report  published by the Commerce Department’s Economic and Statistics Administration in January 2012, examined three key components of our nation’s competitiveness—research, education, and infrastructure.  The report concludes that in the manufacturing sector, the federal government has historically played an important role in providing a level playing field and must do so with renewed vigor to ensure that U.S. manufacturing continues to thrive.

Commerce Invests $15 Million to Help Protect Businesses in Bloomsburg, Pennsylvania, from Flooding

Deputy Assistant Secretary of Commerce Matt Erskine speaks at Autoneum plant in Bloomsburg, Pennsylvania.

U.S. Senators Casey, Toomey and Congressman Barletta applaud disaster recover investment

U.S. Deputy Secretary of Commerce Rebecca Blank has announced a $15 million Economic Development Administration (EDA) grant to Columbia County, Pennsylvania, to help build control systems that will help protect vital business infrastructure in Bloomsburg, Pennsylvania, from floods. The grant announcement was applauded by U.S. Senators Bob Casey, Pat Toomey and U.S. Representative Lou Barletta, who worked with the Pennsylvania Congressional delegation to support the grant. Bloomsburg was severely impacted by flooding as a result of Tropical Storm Lee in 2011.

"Protecting and improving the infrastructure that is critical to our businesses is a top priority for the Obama administration," said U.S. Deputy Secretary of Commerce Rebecca Blank. "By working with local organizations to fund this project, EDA and the Department of Commerce are helping businesses in Bloomsburg and the surrounding areas save jobs and grow." Full release

How New Legislation will Support Our Textile Industry

Deputy Assistant Secretary Kim Glas and Under Secretary Francisco Sanchez tour Unifi’s sewing thread manufacturing facility in Yadkinville, North Carolina on October 9, 2012.

Ed. note: Cross-posted from ITA's Tradeology blog. Kim Glas is the Deputy Assistant Secretary for textiles and apparel within the International Trade Administration’s Import Administration division.

I am visiting North Carolina today with the Under Secretary of Commerce for International Trade Francisco Sánchez to see first-hand two state of the art textile companies–Unifi and A&E. Recently, President Obama signed into law an important set of technical fixes to the U.S.-Dominican Republic-Central America (CAFTA-DR) Free Trade Agreement that will have a direct impact on jobs at these two companies and sewing thread manufacturers across this state and country.

When the Agreement with our Central American neighbors was negotiated in 2003, there was a definitional loophole that incentivized the use of non-U.S. sewing thread in the assembly of textile and apparel products. As a result of this loophole, U.S. sewing thread manufacturers have seen their business and employment shrink. The Obama administration immediately set out to address a problem that severely impacted U.S. sewing thread manufacturers.

After years of hard work, President Obama recently signed legislation to close a loophole that has jeopardized businesses and jobs in the U.S. As a result, on Saturday, October 13, these fixes will be implemented and will have a direct impact on many sewing thread manufacturers in North Carolina. We have every expectation that once the legislation is implemented that U.S. sewing thread producers like Unifi and A&Ewill be able to recapture market share in the critical market.

This is a prime example of what can be accomplished when industry, Congress, and the administration work toward a common goal.

ITA Under Secretary Promotes Manufacturing During Three-State Tour

Under Secretary Francisco Sanchez (center) meets with Jet Inc.’s President Ron Swinko (far left) and other staff at their manufacturing facility in Cleveland, OH as part of the “Made in America Manufacturing Tour.” in October 2012.

Ed. note: Cross-posted from ITA's Tradeology blog. Sophia Lu is a Fellow at the International Trade Administration Office of Legislative and Intergovernmental Affairs

On October 2Under Secretary of Commerce for International Trade Francisco Sánchez commenced a four-city tour of American manufacturing cities to promote the benefits of strengthening America’s manufacturers and expanding U.S. exports to create jobs. This “Made in America Manufacturing Tour” supports President Obama’s National Export Initiative (NEI), which seeks to double U.S. exports by the end of 2014. Just last year, exports supported 9.7 million American jobs, an increase of 1.2 million American jobs from 2009.

On his first stop in Toledo, Ohio, Under Secretary Sánchez met with company officials and toured the manufacturing facility of Bionix Development Corporation. Bionix was recently honored with the President’s “E” Award, which was created by Executive Order of the President in 1961 to give recognition to person, firms, or organizations who contribute significantly in the effort to increase U.S. exports.

Sánchez then traveled to Cleveland, Ohio and held a forum at the City Club of Cleveland on the “Resurgence of American Manufacturing.” There he also met with the Northeast Ohio District Export Council and the local business community for a roundtable discussion on the role of exporting and manufacturing in the NEI. While in Cleveland, he also toured the manufacturing facilities of Jet, Inc. and Codonics, Inc., both of which are also “E” Award winners.

Acting Secretary Blank Speaks With Council of Foreign Relations on Increasing the Level of Business Investment in the U.S.

Acting U.S. Commerce Secretary Rebecca Blank Answers Questions After Her Remarks at the Council on Foreign Relations

This afternoon, Acting U.S. Commerce Secretary Rebecca Blank spoke before the Council on Foreign Relations about the Obama administration's initiatives to help businesses expand their investment in the United States and bring jobs back home. The Commerce Department works to attract investment across all sectors, but in her remarks Blank focused on manufacturing because that sector has added more than half-a-million new jobs since 2009, compared to the previous decade in which six million manufacturing jobs were lost. In addition after decades of watching American companies take jobs to other countries, more and more manufacturers are making the decision to keep factories and production facilities here in the United States and are bringing jobs back to the U.S. from overseas through insourcing.

Blank mentioned that the renewal of the manufacturing sector is driven by America’s quality infrastructure, skilled labor, and advanced research and innovation that are critical for manufacturers to thrive. Business leaders list a number of reasons why the U.S. looks so attractive to them right now, including the fact that domestic energy production is lowering the cost of oil and natural gas needed in manufacturing. A second reason for investing in the U.S. is a competitive edge in labor productivity. America’s manufacturing workers now produce about nine percent more each hour than they did in 2008.

Blank noted that the list of reasons that CEOs give for investing here is longer still. America has a strong rule of law and a good regulatory environment. Additionally, the U.S. has the strongest level of intellectual property protection–and our patent system is only getting better due to the 2011 passage and implementation of the America Invents Act. America has the best universities in the world, producing graduates that drive entrepreneurship and feed innovation into our private sector.

Acting Secretary Blank Delivers Remarks at National Automobile Dealers Association Conference

Acting Secretary Blank Addresses the National Association of Auto Dealers

This morning, Acting U.S. Commerce Secretary Rebecca Blank delivered remarks at the National Automobile Dealers Association Legislative Conference. In her remarks, the Acting Secretary discussed how the Obama administration is working to strengthen the U.S. automobile industry, grow the economy and create jobs.

New car sales are beating expectations, having just seen the best August sales since 2009—nearly 1.3 million cars and trucks were sold last month. So far this year, sales for new cars are up 20 percent and sales for light-duty trucks are up more than 10 percent. Blank noted that, compared to the lowest point in 2009, the number of people employed in auto dealerships has risen by more than 85,000.

She also highlighted Cash for Clunkers, a $3 billion investment that stimulated our economy at a critical time when we needed consumers to go ahead and buy new cars, instead of holding back.  Not only did Cash for Clunkers help auto dealers get through a tough patch, but it also helped auto manufacturers and suppliers who were struggling to keep their workers employed and put safer, cleaner cars on the road.

Acting Secretary Blank cut the ribbon at the International Manufacturing Technology Show in Chicago

Acting Secretary Blank cut the ribbon at the International Manufacturing Technology Show in Chicago

Yesterday, Acting U.S. Commerce Secretary Rebecca Blank traveled to Chicago, Illinois to deliver remarks at the International Manufacturing Technology Show (IMTS), hosted by the Association for Manufacturing Technology. Acting Secretary Blank discussed the importance of manufacturing to boosting U.S. economic growth, job creation and exports and highlighted the administration's continuing efforts to build things here and sell them everywhere.

Blank noted that President Obama has been committed to U.S. manufacturing since his very first day in office, and shared three key facts that show manufacturing is making a comeback. First, after a decade when America lost six million manufacturing jobs, we’ve now added more than a half million back since January 2010. These are good-paying jobs that strengthen economic security for the middle class. Second, our manufacturing output is up 20 percent since 2009–with big growth in areas like cars and car parts. Third, manufactured exports have increased in nearly all industry categories, jumping over 36 percent from 2009 to 2011.

After finishing her remarks, Blank toured the floor exhibits. She stopped by the Local Motors exhibition to hear about their crowd-sourced car. The Defense Advance Research Project Agency challenged Local Motors, a small company based in Chandler, Arizona to design a vehicle in four weeks and build it in three months. To meet this deadline Local Motors crowd-sourced the vehicle design, selected one of the over 162 high-quality designs that came in and then built it ahead of schedule.

Acting Secretary Blank departed IMTS and traveled to Cree-Racine in Racine, Wisconsin, a local manufacturer of energy-efficient LED lights. They recently formed a partnership with a distributor in India and last year won the President’s E-Award for their success in increasing exports. Because of that success, they’re expanding their facility and creating nearly 500 more jobs in Wisconsin.

Acting Secretary Blank then traveled to Milwaukee, Wisconsin, where she spoke with local business leaders about steps that can be taken to grow the American economy and create jobs. Her remarks focused on the importance of increasing consumer spending, spurring innovation in manufacturing, increasing business investments in the U.S., and growing U.S. exports. She drew attention to a joint venture between five federal agencies, the Departments of Defense, Energy, and Commerce, the National Science Foundation, and NASA, and local manufacturers for a pilot project that is focused on additive manufacturing.   

Additive manufacturing, often referred to as 3D printing, is a new way of making products and components from a digital model, and will have implications in a wide range of industries including defense, aerospace, automotive, and metals manufacturing. Like an office printer that puts 2D digital files on a piece of paper, a 3D printer creates components by depositing thin layers of material one after another using a digital blueprint until the exact component required has been created.  The Department of Defense envisions customizing parts on site for operational systems that would otherwise be expensive to make or ship. The Department of Energy anticipates that additive processes would be able to save more than 50 percent energy use compared to today’s "subtractive" manufacturing processes.

This pilot institute will set a research agenda, driven by private sector needs. It will encourage researchers and entrepreneurs to take risks, test prototypes, fail quickly and get back up to try again. This is a great public-private partnership, with funding from the Federal government, two states and many manufacturers. The Department is tracking this pilot closely, to learn how best to help fund and establish these sort of public-private collaborations all over the country.

In addition to highlighting manufacturing, Blank outlined steps needed to grow the American economy and create jobs. She focused on the importance of increasing consumer spending, increasing business investments in the U.S., and growing U.S. exports. She also highlighted the need for U.S. investments in infrastructure and education to build an economy to last.

Acting Secretary Blank Applauds Steamfitters’ Job Training as Key to Building a 21st Century Economy

    Acting Secretary Blank Applauds Steamfitters’ Job Training as Key to Building a 21st Century Economy

This morning, Acting Secretary Rebecca Blank joined U.S. Representatives Chaka Fattah and Allyson Schwartz on a tour of the job training facilities of Steamfitters Local 420 in Philadelphia, where classes are held for apprentices and journeyworkers to develop and improve their skills so they can better serve clients and become qualified for a broader range of employment opportunities.

The rigorous training and education being offered at the facility has made a difference in the lives of hundreds of people throughout the region. The steamfitters local union 420 training center services the entire state and the work being done by members helps keep the region's infrastructure running smoothly, helping to make southeastern Pennsylvania an attractive place to do business.

Today's visit was an opportunity for local business leaders, workers and entrepreneurs to showcase all that they are doing to support manufacturing, train a 21st century workforce, and help the American economy recover from the worst recession since the Great Depression. 

While there is still more work to be done, our private sector has now had 29 straight months of job growth, creating 4.5 million new jobs. Over the past two and one-half years, more than a half-million manufacturing jobs have been created in the U.S.— the strongest job growth in that sector since the 1990s.

Pennsylvania alone has gained over 10,000 new manufacturing jobs since January, 2010. And these manufacturing jobs are good jobs that pay more than average and provide greater benefits.

During the visit, Acting Secretary Blank affirmed Commerce’s efforts to build a strong environment for manufacturing and innovation in the U.S. For example, the Obama administration recently announced the launch of a new public-private institute for manufacturing innovation as part of its ongoing efforts to help revitalize American manufacturing and encourage companies to invest in the United States. This new partnership, the National Additive Manufacturing Innovation Institute (NAMII), includes manufacturing firms, universities, community colleges, and non-profit organizations from the Ohio-Pennsylvania-West Virginia "Tech Belt."

Though progress has been made, more work remains. This is why the Obama administration continues to call on Congress to pass legislation to give our companies a tax break if they move operations and jobs back. President Obama has also called for helping state and local governments hire or retain teachers, police, and firefighters; and putting construction workers by to work while repairing crumbling American infrastructure. These proposals would create a million new jobs, according to independent economists.

After visiting the steamfitters' training facilities, Acting Secretary Blank traveled to Allentown, Pennsylvania, to announce a grant to help local small manufacturers lower operating costs and create jobs. She was joined by Allentown Mayor Ed Pawlowski, local business leaders, and entrepreneurs to highlight Obama administration efforts to help local companies and workers build things here so they can sell them everywhere.

Commerce Joins Announcement on New Public-Private Partnership to Support Additive Manufacturing Innovation

Acting Secretary Blank signs her name next to Secretary Chu's on a robot designed by a high school team from Knoxville, TN that was built via additive manufacturing (3-D printing).

Today, Acting Commerce Secretary Rebecca Blank joined White House National Economic Council Director Gene Sperling, Undersecretary of Defense Frank Kendall, and other Obama administration officials to announce the launch of a new public-private institute for manufacturing innovation in Youngstown, Ohio as part of ongoing efforts to help revitalize American manufacturing and encourage companies to invest in the United States. This new partnership, the National Additive Manufacturing Innovation Institute (NAMII), was selected through a competitive process, led by the Department of Defense, to award an initial $30 million in federal funding, matched by $40 million from the winning consortium, which includes manufacturing firms, universities, community colleges, and non-profit organizations from the Ohio-Pennsylvania-West Virginia "Tech Belt." The institute focuses on additive manufacturing, often referred to as 3-D printing, which will have implications in a wide range of industries including defense, aerospace, automotive, and metals manufacturing. In her remarks, Acting Secretary Blank discussed the role of American manufacturing in driving economic growth and creating good jobs in the United States.

Youngstown, Ohio and the surrounding region knows what happens when manufacturing production declines. But in this area once known as the "rust belt," investments like this new pilot institute demonstrate the potential within a region to bring together the capabilities of America’s companies and universities, in partnership with the federal government, to invest in the cutting-edge technologies and skills our manufacturers need to compete. With this initiative, Youngstown is poised to become the epicenter of burgeoning new industries from its leadership in additive manufacturing or 3-D printing.