Rebuilding American Manufacturing
The Real Hurdles to Rebuilding American Manufacturing
Why Scaling Up in the U.S. is Easier Said Than Done
As U.S. companies and policymakers call for a renewed focus on domestic manufacturing, one thing becomes increasingly clear: building a factory is not as simple as pouring concrete and flipping a switch. Ramping up production at scale—whether for semiconductors, cars, heavy machinery, or even packaging materials—requires more than capital. It demands people, experience, time, and supply chains that have often been optimized elsewhere.
The United States has the ambition, but not always the infrastructure or labor base to match.
In a recent round of industry conversations summarized by investment firms Bridgewater and Eclipse, a common thread emerged: even well-funded companies run into serious obstacles when trying to expand production capacity on American soil. These discussions echo similar findings from across the country.
Labor Shortage: Not Just a Buzzword
A former automotive executive shared how building a factory in the Midwest was stalled not by money or machinery—but by people. Welders, electricians, robot programmers, and skilled technicians were in such short supply that hundreds had to be recruited from overseas. The struggle was not unique. According to a 2021 study by The Manufacturing Institute and Deloitte, more than two million manufacturing jobs could go unfilled by 2030 due to the growing skills gap.
Intel ran into a similar issue with its high-profile semiconductor facility in Arizona. An executive noted that construction delays were not initially caused by the shortage of chip technicians (which was bad enough), but by the absence of more than eight thousand trade workers—electricians, HVAC specialists, and industrial plumbers—needed just to get the factory built. This is not a fringe problem. The National Electrical Contractors Association reports that for every ten electricians retiring, only four are entering the field.
Time, Terrain, and Complexity
Even before the machines can be powered on, the groundwork—literally—takes time. One CEO involved in the excavation of a large industrial site in the Midwest explained that just the earthmoving alone would take nearly a year. Six months of that was non-stop excavation. Multiply that across dozens of projects, and the physical constraints become glaring.
This kind of timeline may be a hard sell in an economy driven by quarterly results and short-term expectations. Add to that permitting delays, environmental reviews, and zoning complexities, and a twelve-month project can easily stretch to two or three years.
Asia Still Holds the Keys
Then there is the global reality. Manufacturing of advanced electronics—everything from smartphones and laptops to medical devices and aircraft controls—still overwhelmingly takes place in Asia. Decades of infrastructure, talent, and supply chain integration have made countries like Taiwan, South Korea, and China dominant players in electronics production.
As Willy Shih, a professor at Harvard Business School, told IndustryWeek: “When you move manufacturing back [to the U.S.], you are not just moving a factory—you are trying to rebuild an entire ecosystem.”
That ecosystem includes raw material sourcing, component manufacturing, specialized equipment, and most critically—human know-how. All of which require time and coordinated effort to replicate.
Generational Divide in Skills
At the heart of the issue lies a cultural and generational shift. Millions of industrial jobs sit open, but fewer Americans are interested or equipped to fill them. Baby Boomers, many of whom entered trades in their teens and stayed for decades, are aging out. Millennials and Gen Z are often more drawn to careers in tech, media, and services—sectors that do not require steel-toe boots or familiarity with a lathe.
Mike Rowe, host of Dirty Jobs and founder of the mikeroweWORKS Foundation, has long argued that society undervalues the trades. “We have to change the way we look at work,” he says. “We are lending money we do not have to kids who cannot pay it back, to train them for jobs that no longer exist—while ignoring critical jobs that do exist.”
Looking Ahead
The push to "bring manufacturing home" is not misguided, but it is incomplete without a real plan to rebuild the industrial base—starting with talent development. Incentives for technical education, apprenticeships, and trade schools must go hand-in-hand with investment in factories.
America still has the muscle. But it needs to remember how to flex it—and that starts with welding torches, not just Wi-Fi signals.
As policymakers talk about reshoring, the people who will power the machines—and the tools they need—deserve to be at the center of the conversation.
Next
Bringing Manufacturing Home: What It Takes to Pull It Off
When GE Appliances announced a $490 million investment to move production of front-load washers and combo washer-dryers from China to Louisville, Kentucky, it made headlines. Not just for the 800 new jobs it promises, but for what it symbolizes—a growing effort to reestablish large-scale domestic manufacturing in the United States.
However, behind the ribbon-cutting ceremony is a massive, complex operation that takes years of planning, coordination, and execution. Reshoring production is not just a financial decision; it is a full-scale logistical and operational marathon. Here is what it takes to pull it off.
1. Site Work and Physical Preparation
The GE project will add manufacturing space equivalent to thirty-three football fields. That means over one million square feet of usable floor area. Preparing a site of that scale involves months of earthmoving, grading, foundation work, and infrastructure development.
Before construction begins, engineers must assess soil conditions, drainage patterns, and utility capacity. Electrical grids must be upgraded to support the energy demands of industrial machinery. Roads may need expansion, water supply systems must be tested, and waste management plans approved. In many cases, this alone can take twelve to eighteen months.
2. Permitting and Regulatory Compliance
No project of this size moves forward without a maze of federal, state, and local permits. Environmental impact assessments must be conducted, including studies on noise, water usage, and air emissions. Compliance with OSHA regulations, the Americans with Disabilities Act, zoning laws, and state-specific construction codes must all be coordinated in parallel.
Permits are often delayed by public comment periods, labor union consultations, or local opposition. In the case of a highly visible company like GE Appliances, every move is scrutinized. The permitting process alone can stretch from six months to over a year—depending on cooperation from agencies and potential political interference.
3. Equipment, Tools, and Supply Chain Realignment
GE’s new Louisville facility will be producing more than fifteen models of washers—machines that require complex assembly lines involving robotics, precision engineering, and synchronized subassembly.
This means ordering, shipping, and installing new equipment—conveyors, welding arms, quality control scanners, and testing stations. Much of this technology must be customized and calibrated specifically for the product line. Suppliers, too, must reconfigure their operations. If the motors, control boards, or hoses were previously shipped directly to China, they now must be rerouted to Kentucky. Lead times, reliability, and cost structures all shift, and supply chain resiliency becomes a strategic priority.
4. Workforce Development: Hiring and Training 800 People
Hiring 800 workers in a labor market already suffering from skilled labor shortages is a formidable challenge. GE will need assemblers, welders, mechanics, electricians, quality control personnel, logistics specialists, and supervisors.
But hiring is only the beginning. Training these workers to operate highly specialized equipment and meet stringent quality standards can take months. In many reshoring cases, manufacturers develop apprenticeship programs, partner with community colleges, or create on-site training academies.
GE’s proximity to schools like the University of Louisville and Jefferson Community and Technical College may give it an advantage, but that pipeline takes time to develop. Upskilling remains an ongoing effort, especially as production ramps up.
5. Culture, Process, and Quality Control
American workers bring unique strengths—such as communication and critical thinking—but often require a different management style than overseas labor. Establishing a culture of continuous improvement, lean manufacturing, and process standardization will be critical.
Quality control teams must ensure that new production lines meet brand and performance expectations. Any deviation can result in expensive recalls, warranty claims, or damage to the company’s reputation. This means investing heavily in testing stations, feedback systems, and real-time data monitoring.
6. Long-Term Cost Justification
Reshoring is not cheap. But GE Appliances is betting on several long-term benefits:
- Reduced shipping costs and risks
- Better alignment with customer demand (“zero-distance” manufacturing)
- Control over intellectual property and trade secrets
- Favorable tariff treatment under the Trump administration’s “America First” trade policy
- Customer preference for “Made in USA” products
The company also points out that nearly all steel used in its U.S. appliances comes from domestic mills—providing another boost to American industry and ensuring supply chain continuity in times of global disruption.
Conclusion
Shifting production from China to Kentucky is more than a patriotic headline. It is a masterclass in logistics, strategy, and execution. For GE Appliances, it will take years to see the full return on investment—but the message is clear: large-scale U.S. manufacturing is not dead. It just requires serious planning, skilled execution, and the willingness to roll up sleeves and rebuild from the ground up.
This is what reshoring really looks like—one permit, one pipe, and one person at a time.
City of Ocala / Marion County
Ocala and Marion County—particularly along the I‑75 “75 Corridor”—stand out as a promising destination for clean manufacturing, thanks to a compelling combination of strategic, infrastructural, and workforce advantages.
1. Strategic Logistics and Connectivity Ocala is centrally located in North Central Florida, offering easy access to major markets across the state and beyond. It sits at the crossroads of I‑75 and U.S. 27, perfectly positioned between major hubs such as Miami, Tampa, Jacksonville, and Atlanta (Ocala Gazette). The area hosts a thriving logistics ecosystem in the Ocala/Marion County Commerce Park, where major brands like FedEx, Amazon, Chewy, AutoZone, and Dollar Tree operate distribution centers (Ocala Gazette). Additionally, a site ready for industrial use—spanning over 150 acres with an extra 90 acres available—benefits from nearby rail, utilities (water, wastewater, gas, fiber, and power), and excellent highway access (Duke Energy | News Center).
2. Infrastructure Enhancements Along I‑75 Corridor Recent improvements to I‑75 bolster Ocala's connectivity and attractiveness. A significant expansion project spanning over 31 miles—from Wildwood to State Road 326 in Ocala—is already underway, widening the highway to boost capacity and reduce congestion—benefitting both daily commuting and industrial transport (Florida Governor's Office). Moreover, the new Diverging Diamond Interchange at I‑75 and NW 49th Street is designed to enhance traffic flow, safety, and access for bicyclists and pedestrians—while facilitating commercial growth in adjacent corridors (CFL Roads).
3. Economic Incentives and Business-Friendly Climate Marion County and the City of Ocala offer numerous state-level incentives supporting capital investment in sectors such as clean tech, semiconductors, and manufacturing—from job bonus tax refunds and building materials sales tax refunds to voluntary cleanup credits (Ocala CEP). These incentives can substantially lower initial investment costs and offset operating expenses, making clean manufacturing projects more economically viable.
4. Skilled Workforce Pipeline Educational institutions in Ocala support technical and advanced manufacturing training. Marion Technical Institute provides vocational programs in robotics, building sciences, automotive technology, and global logistics (Wikipedia). Meanwhile, Forest High School’s Engineering and Manufacturing Institute of Technology (EMIT) offers students a four-year, project-based engineering education (Wikipedia). These programs help cultivate a local talent pool primed for careers in clean manufacturing and advanced production.
Conclusion Ocala and Marion County are uniquely positioned to attract clean manufacturing:
- Location & Access: Centrally located with deep logistics infrastructure.
- Infrastructure & Mobility: Modernized highways and improved interchanges facilitate efficient movement.
- Economic Incentives: Favorable tax credits and support programs bolster investment.
- Growing Talent Pool: Local vocational and engineering-focused education ensures workforce readiness.
By leveraging these strengths—especially around Ocala’s city limits and the powerful I‑75 corridor—the region can emerge as a go-to destination for companies pursuing sustainable, scalable, and resilient manufacturing operations.