March 2025 Reshoring Initiative E-News: So Far, It’s Not the Tariffs; It’s the Threat of Tariffs 

Please Tell Us How Your Company Will Respond  

Amidst the changing tariff landscape, the industry-wide Reshoring Survey examines manufacturers’ decisions on whether to reshore factories and supply chains. We are calling on you - manufacturing operations, supply chain/procurement decision-makers, contract manufacturers and distributors - to share your experiences, insights and plans.  

Why this matters now: 

• Anticipated policy changes are expected to create new incentives and challenges for domestic manufacturing 
• Global dynamics continue to pose risks to supply chains 
• The competition for skilled manufacturing talent is intensifying 

Please take the Reshoring Survey now - whether you're planning to reshore or not!  

The survey is by the Reshoring Initiative® in collaboration with Regions Recruiting. The findings will be released in April and shared with industry leaders as well as the Trump administration to help shape policies that will benefit manufacturing and the country.  

Reshoring Offers Stability Amidst Tariff Uncertainty  

At first glance, the lack of clarity in Trump's tariff plans presents major challenges for companies planning their sourcing decisions. However, the mere threat of tariffs seems to be doing a sufficient job of defining the objective: the U.S. must boost domestic manufacturing to strengthen national security, reduce the trade deficit, and support economic stability. And the Trump administration appears serious about making that happen.  Regardless of how tariffs are implemented, the pressure is driving companies to rethink their supply chains and commit to localization.  

According to Yahoo Finance and Bloomberg, talk about tariffs has skyrocketed among S&P companies.   

• Samsung is looking at moving dryer production to South Carolina.   
• LG Electronics is contemplating shifting refrigerator manufacturing to Tennessee. 
• Hyundai Steel is considering building a new steel plant in the southeastern United States. 
• Volkswagen Group’s premium brands, Audi and Porsche, are considering shifting some production into the United States for the first time in their history, likely due to a combination of lower taxes and higher tariffs. 
• 3M (MMM) CEO, Bill Brown, said the materials company could move some production to its U.S. factories. It imports roughly $850 million of goods from Canada and Mexico. 
• Off-road vehicle maker Polaris, whose largest manufacturing plant is in Mexico, could follow a similar plan, though CEO Michael Speetzen told analysts it would take time. 
• South Korean biopharma contract manufacturer Celltrion is considering acquiring US manufacturing sites to mitigate President Donald Trump’s potential tariffs on foreign-made pharmaceuticals.  
• Nissan CEO: We Might Move Car Manufacturing Out of Mexico Over Trump Tariffs 
• In the wake of pharmaceutical tariff threats Lilly pledged to invest $27 billion in 4 new US plants. 
  • The move brings Eli Lilly’s total U.S. manufacturing investments to more than $50 billion in recent years. The four new sites will create more than 3,000 jobs. 
• Apple announced a $500 billion U.S. investment, ranging from AI and R&D to manufacturing. What is known of the manufacturing component is summarized here:  
  • A 250,000-square-foot server manufacturing facility in Texas is scheduled to open in 2026 
  • Apple will also double its U.S. Advanced Manufacturing Fund, which was established in 2017 to support high-skilled manufacturing jobs. This new commitment will increase the fund to $10 billion from $5 billion. 
  • The company said Monday the fund's expansion includes a multibillion-dollar commitment to produce advanced silicon in TSMC's facility in Arizona. 
  • The company will open a new manufacturing academy in Detroit, where its engineers will consult with businesses on implementing AI and smart manufacturing techniques. 
  • The 20,000 added jobs will be mostly focused on R&D, silicon engineering, software development, and AI and machine learning (not just manufacturing Apple products.)  
  • In this case, many of the plans were underway before the election of President Trump. 

While the mere threat of tariffs could be enough to firm up some of the plans, many projects will only move forward when the tariffs are in place and likely to remain in place for at least the next four years. As Michael Todd Speetzen of Polaris said, “We have a presence that we would be able to leverage if we viewed this as a more permanent situation.”  The Reshoring Initiative’s industrial policy says that if tariffs are used, they should be “forever” or at least until trade in the product or with the other country becomes balanced. Companies will not make large investments if the rules are likely to change. 

How Congress can turn tariff lemons into lemonade: A border-adjustment tax 

RI observes: A BAT or VAT meets our requirements for a tariff because it applies to all products from all countries and forever. 

Tariffs and Pricing Adjustments: A Roadmap for Manufacturers 

History has taught us that companies that move quickly on price tend to maintain profitability better. 

Currency Trumps Tariffs 

ITIF shows that a lower USD will work better than tariffs, paralleling the Reshoring Initiative’s long-held position. 

U.S. Faces Record Agricultural Imports, Worst Trade Deficit in History 

RI observes: The actions that would help manufacturing would also help food self-sufficiency: Lower USD, tariffs, automation and workforce. 

How U.S. Manufacturers Can Take Advantage of Reshoring    

Navigate the reshoring landscape by adding value to the supply chain 

Recent Media  

Bloomberg: Trump EV Skepticism Threatens $54 Billion in Korea Plans 

AMT: Industry Leaders Who Started As Apprentices — Part Two 

Casting Source: How to Navigate a Reshoring Project With Automation 

Videos and podcasts: 

The Manufacturing Executive: Why Reshoring Matters: For Our Economy and Our National Security w/ Harry Moser 

The TechEd Podcast: Made in America: The Economic and Workforce Benefits of Reshoring Manufacturing w/ Harry Moser 

Company Week: Why Reshoring Matters: For Our Economy and Our National Security with Harry Moser 

Upcoming Events 

March 6 – Scout Cities, podcast 

March 28 – Florida Makes (MEP) webinar 

April 9 – FEI: Rebuilding American Manufacturing: Perspectives on Finance, Real Estate & Reshoring, Chicago, IL 

April 15 – AFS CastExpo, Atlanta, GA  

April 28 - 29 – JLL Supply Chain Summit, San Diego, CA 

April 29 – 2025 Rocky Mountain Supply Chain Connect, Denver, CO 

May 6 – Metal Treating Institute, San Juan, PR 

June 17 – NW TX APEX, webinar 

See Upcoming Events and News at ReshoreNow.org for the latest updates. 

As always, thanks to all our readers, our sponsors and the companies who use our Total Cost of Ownership Estimator® (TCOE) to reshore. 

Remember to Complete Our Reshoring Survey. Your Insights Will Focus U.S. Industrial Policy. 

Sincerely,

Harry Moser, Founder

Millar Kelley, Newsletter Editor and Research Analyst

The Reshoring Initiative

Follow us on LinkedIn,  Facebook and Twitter to get the latest news on reshoring.

View past eNewsletters.

Unsubscribe