We understand that when the Democratic majority in Congress returns later this month, they plan to push a bold new legislative initiative for reviving U.S. manufacturing.
We join others in saying it’s about time.
Manufacturing in the United States isn’t dead. But it has been in a serious state of decline for far too long. In the last decade alone, we’ve lost nearly one-third of all manufacturing jobs — more than 5 million.
During those 10 years Congress has largely ignored the problem. What we’ve lacked is a coherent forward-looking national manufacturing strategy that fosters innovation. If the Democrats can craft such a strategy it would not only be smart politics, it would be smart public policy.
A vibrant, globally competitive manufacturing sector is absolutely critical to our country’s future. That was the case 100 years ago and it is still true today.
While specific elements of the Democrats’ legislative initiative are still being worked out, they are likely to include new tax incentives for creating jobs, subsidies and tax credits for investment in renewable energy as well as a tougher stance on trade with countries like China.
All of those components are necessary. But the plan should also include more federal funding for advanced process manufacturing technology referred to as “smart manufacturing.”
That’s what Rockwell Automation and UCLA, along with 40 other leading companies and universities who are part of a National Science Foundation are advocating. This coalition is trying to define a roadmap for the implementation of smart manufacturing.
Smart manufacturing marries information, technology and human ingenuity to bring about a rapid revolution in the development and application of manufacturing intelligence to every aspect of business. Its proponents point out it will fundamentally change how products are invented, manufactured, shipped and sold. It will also increase the flexibility of our plants, lower the cost of products and improve environmental sustainability.
Smart manufacturing will enable us to develop innovative new products using nanotechnology and biomaterials.
It will help keep jobs in this country by keeping manufacturers competitive in the global marketplace despite the considerably higher cost of doing business in the United States.
Keith Nosbusch, Rockwell CEO, warns in an interview in Industryweek magazine that other countries are already ahead of us in the race to re-industrialize their manufacturing base with smart, safe and sustainable manufacturing.
The European Commission has approved 1.2 billion euros for a “Factories for the Future” program which is part of the commission’s economic recovery plan. In India, Tata Motors is producing a car that sells for $3,000 in a smart manufacturing-designed factory.
Nosbusch wants Congress and the Obama administration to make smart manufacturing a top priority for federal research and development spending and is calling for the creation of a $2 billion federal research and development public-private partnership program that would create smart innovation centers.
These centers would have “test beds to help mitigate the risks that companies would incur in researching and implementing smart technology on their own. They would bring together government, manufacturing and university resources to accelerate the development of broadly applicable approaches and technologies according to Nosbusch’s plan.
We agree it is time for a new, bold strategy for U.S. competitiveness that will capitalize on smart manufacturing as a strategic asset for growth. It’s time to get smart. We hope the Democrats are listening.
he low posted at 8:39 pm on Sat, Sep 4, 2010.
The U.S. is ranked 2nd when it comes to worldwide corporate tax rates. Maybe that should tell you something about the state of our manufacturing woes. There is no need for an exuberant dog and pony show by the Obama Administration when they come up with some over complicated plan. Pretty confident that will happen. Simple solution would be to drop the tax rate. Make the U.S. more appealing to manufacturers by offering incentives to produce their product here. Implement import tarrifs high enough that would force companies to consider the U.S as a viable option for its manufacturing locations. Since we are the second largest consumer nation it would be corporate suicide not to market a product here.