Visualizing the Decline of U.S. Manufacturing, by Sector (2002-2022)

[Beijingwalker]

Visualizing the Decline of U.S. Manufacturing, by Sector (2002-2022)​

August 28, 2024
By Dorothy Neufeld

The Decline of U.S. Manufacturing, by Sector​

Between 2002 and 2022, the U.S. lost more than 45,000 manufacturing firms amid evolving global trade dynamics.

While the U.S. was the world’s leading manufacturer up to 2010, production has fallen $2.4 trillion behind China as of 2022. Factors such as trade liberalization, including the North American Free Trade Agreement, and China’s accession to the World Trade Organization in 2001, have contributed to a significant shift in the U.S. industrial base over the past few decades.

This graphic shows the decline in the number of manufacturing firms by sector over the last 20 years, based on data from the U.S. Census Bureau.

Shrinking Number of Manufacturing Firms​

Overall, the number of U.S. manufacturing firms has shrunk by 14% over 20 years, with 50% or higher drops in the apparel and textile mills sectors.

Amid factory closures across nearly all manufacturing sectors, employment has dropped to 13 million workers as of January 2023, down from its 1979 peak of 19.5 million workers. Today, manufacturing jobs make up roughly 10% of the U.S. private sector workforce.

While manufacturing productivity growth excelled during the 1990s and 2000s, it has lagged over the last decade. Over a third of this slowdown was due to the computer and electronics sector, which was a major driver of productivity growth in previous decades, particularly in semiconductor chips. Since 2002, the number of computer and electronic manufacturing firms has decreased by a quarter.

Similarly, other durable manufacturing sectors like machinery and primary metals (such as steel and aluminum), saw double-digit declines in the number of firms. Despite these closures, U.S. durable goods exports hit a record $1 trillion in 2023, accounting for 63% of all manufacturing exports.

By contrast, beverages and tobacco is one of three sectors with positive growth, driven by the boom in seltzer waters, kombuchas, craft breweries, and craft cocktails. Since 2002, the number of firms has jumped by 351%, adding 9,627 establishments in total.

 

[Beijingwalker]

US Manufacturing Activity Extends Contraction For Fifth Month: 'Demand Continues To Be Weak'​

byPiero Cingari, Benzinga
https://twitter.com/benzinga
September 3, 2024 10:41 AM

ZINGER KEY POINTS​

• U.S. manufacturing contracted for the fifth consecutive month in August, with a slight slowdown in the pace of decline.
• August marked the 21st month of contraction in the last 22, highlighting manufacturing's struggles against a growing services sector.

The U.S. manufacturing barometer continued its contractionary trend for the fifth consecutive month in August, though the pace of decline eased slightly compared to July, according to surveys from the Institute for Supply Management (ISM).

August marks the 21st month of contraction in the U.S. manufacturing sector over the past 22 months. This trend underscores the sector’s ongoing struggles in stark contrast to the services sector, which continues to drive broader economic growth.

“While still in contraction territory, U.S. manufacturing activity contracted slower compared to last month. Demand continues to be weak, output declined, and inputs stayed accommodative,” said Timothy Fiore, chair of the Institute for Supply Management.

In a separate release, S&P Global also revealed contractionary conditions in the U.S. manufacturing sector last month, with the Purchasing Managers’ Index (PMI) falling from 49.6 to 47.9, marking the worst reading in seven months.

“The manufacturing sector acting as an increased drag on the economy midway through the third quarter. Forward looking indicators suggest this drag could intensify in the coming months,” commented Chris Williamson, chief business economist at S&P Global Market Intelligence.

August ISM Manufacturing PMI Report: Key Highlights​

• The ISM Manufacturing PMI Index came in at 47.2% in August, marking a slight increase of 0.4 percentage points from July’s 46.8%, but falling short of the economist consensus estimate of 47.5% as reported by TradingEconomics.
• The New Orders Index contracted at a faster pace to 44.6%, down 2.8 percentage points from July’s 47.4%.
• The Production Index also worsened to 44.8%, dropping 1.1 percentage points from the previous month's 45.9%.
• The Prices Index increased to 54%, marking an increase of 1.1 percentage points from July’s 52.9%.
• The Backlog of Orders Index rose from 41.7% to 43.6%.
• The Employment Index improved to 46%, rising by 2.6 percentage points from last month's 43.4%.
• The New Export Orders Index eased to 48.6%, down 0.4 percentage points from July's 49%.

US Manufacturing Activity Extends Contraction For Fifth Month: 'Demand Continues To Be Weak'

August marked the 21st month of contraction in the manufacturing sector over the past 22 months — a stark contrast to the services sector.

www.benzinga.com

 

[Beijingwalker]

Visualizing the Decline of U.S. Manufacturing, by Sector (2002-2022)​

August 28, 2024
By Dorothy Neufeld

The Decline of U.S. Manufacturing, by Sector​

Between 2002 and 2022, the U.S. lost more than 45,000 manufacturing firms amid evolving global trade dynamics.

While the U.S. was the world’s leading manufacturer up to 2010, production has fallen $2.4 trillion behind China as of 2022. Factors such as trade liberalization, including the North American Free Trade Agreement, and China’s accession to the World Trade Organization in 2001, have contributed to a significant shift in the U.S. industrial base over the past few decades.

This graphic shows the decline in the number of manufacturing firms by sector over the last 20 years, based on data from the U.S. Census Bureau.

Shrinking Number of Manufacturing Firms​

View attachment 65142
Overall, the number of U.S. manufacturing firms has shrunk by 14% over 20 years, with 50% or higher drops in the apparel and textile mills sectors.

Amid factory closures across nearly all manufacturing sectors, employment has dropped to 13 million workers as of January 2023, down from its 1979 peak of 19.5 million workers. Today, manufacturing jobs make up roughly 10% of the U.S. private sector workforce.

While manufacturing productivity growth excelled during the 1990s and 2000s, it has lagged over the last decade. Over a third of this slowdown was due to the computer and electronics sector, which was a major driver of productivity growth in previous decades, particularly in semiconductor chips. Since 2002, the number of computer and electronic manufacturing firms has decreased by a quarter.

Similarly, other durable manufacturing sectors like machinery and primary metals (such as steel and aluminum), saw double-digit declines in the number of firms. Despite these closures, U.S. durable goods exports hit a record $1 trillion in 2023, accounting for 63% of all manufacturing exports.

By contrast, beverages and tobacco is one of three sectors with positive growth, driven by the boom in seltzer waters, kombuchas, craft breweries, and craft cocktails. Since 2002, the number of firms has jumped by 351%, adding 9,627 establishments in total.

Now US "manufacturing" is all about food and tobacoo

 

[Hamartia Antidote]

Everything comes with costs when it comes to industrialization...the key is to know if making that leather shoe to be exported to some kid in South America (who only wears it for a year) for a short-term profit is worth the long-term pollution costs to your country (and its future generations of people).

2014

China says more than half of its groundwater is polluted

Number of groundwater sites of poor or extremely poor quality increases to 59.6%, Chinese government says

www.theguardian.com

China says more than half of its groundwater is polluted​

China’s Dirty Pollution Secret: The Boom Poisoned Soil and Crops

When Zhang Junwei's uncle died in February 2012, he was only fifty. In the three years that he had endured the cancer that killed him, surgeons had removed both his rectum and his bladder. "Perhaps he...

pulitzercenter.org

China’s Dirty Pollution Secret: The Boom Poisoned Soil and Crops

Frontiers | Pollution-Induced Food Safety Problem in China: Trends and Policies

Based on systematic literature study and policy document analysis, this paper investigates the environmental pollution-induced food safety problem in China, ...

www.frontiersin.org

Pollution-Induced Food Safety Problem in China: Trends and Policies

Can I Drink Tap Water in China, or Brush Teeth? Bottled Water Price

Tap water in China is undrinkable, but safe to be used to brush teeth. Travelers can easily find bottled water at CNY1-2, or use the water boiler in hotel rooms.

www.travelchinaguide.com

Tap water in China is undrinkable, but it is safe to use it for washing and for brushing your teeth. Travelers can drink boiled water or easily find bottled water in convenient stores everywhere.​

A Complete List Of Countries Where You Can Drink Tap Water (And Countries Where You Cannot) When You Travel

Read on to find out where you can and can't drink the tap water according to the CDC's complete list of countries.

www.travelawaits.com

---

I'm sure this was not the case in 1980 after thousands of years of closed Chinese civilization. But look at the damage wreaked on China from just a few decades of world exports.

American manufacturing companies are still very much alive but they have switched to a NIMBY (Not-In-My-Back-Yard) approach...and that meant pushing their pollution inducing production to countries like China.

 

[Beijingwalker]

Everything comes with costs when it comes to industrialization...the key is to know if making that leather shoe to be exported to some kid in South America (who only wears it for a year) for a short-term profit is worth the long-term pollution costs to your country (and its future generations of people).

2014

China says more than half of its groundwater is polluted

Number of groundwater sites of poor or extremely poor quality increases to 59.6%, Chinese government says

www.theguardian.com

China says more than half of its groundwater is polluted​

China’s Dirty Pollution Secret: The Boom Poisoned Soil and Crops

When Zhang Junwei's uncle died in February 2012, he was only fifty. In the three years that he had endured the cancer that killed him, surgeons had removed both his rectum and his bladder. "Perhaps he...

pulitzercenter.org

China’s Dirty Pollution Secret: The Boom Poisoned Soil and Crops

Frontiers | Pollution-Induced Food Safety Problem in China: Trends and Policies

Based on systematic literature study and policy document analysis, this paper investigates the environmental pollution-induced food safety problem in China, ...

www.frontiersin.org

Pollution-Induced Food Safety Problem in China: Trends and Policies

Can I Drink Tap Water in China, or Brush Teeth? Bottled Water Price

Tap water in China is undrinkable, but safe to be used to brush teeth. Travelers can easily find bottled water at CNY1-2, or use the water boiler in hotel rooms.

www.travelchinaguide.com

A Complete List Of Countries Where You Can Drink Tap Water (And Countries Where You Cannot) When You Travel

Read on to find out where you can and can't drink the tap water according to the CDC's complete list of countries.

www.travelawaits.com

---

I'm sure this was not the case in 1980 after thousands of years of closed Chinese civilization. But look at the damage wreaked on China from just a few decades of world exports.

American manufacturing companies are still very much alive but they have switched to a NIMBY (Not-In-My-Back-Yard) approach...and that meant pushing their pollution inducing production to countries like China.

Source from 2014, lol, a decade ago, you just can not be more desperate.

 

[Beijingwalker]

Pollution of all types have been great improved in China in the past decade. India doesn't have much manufacturing and heavy industries, do you think India is less polluted than China?

Thread 'Why can China accomplish a mega water diversion project? Three quarters of Beijing's water supply from more than 1,000 kilometers away'

Jun 9, 2024

Why can China accomplish a mega water diversion project? Three quarters of Beijing's water supply from more than 1,000 kilometers away​

CGTN
01 Jun, 2023, 06:52 ET

-- About three quarters of Beijing's water supply comes from a reservoir more than 1,000 kilometers south of the Chinese capital.​

CGTN: Why can China accomplish a mega water diversion project?

That reservoir is Danjiangkou, the starting point of the middle route of China's South-to-North Water Diversion Project, the largest of its kind in the world. The water level of the reservoir on...

• Beijingwalker
• Replies: 53
• Forum: China & Far East

 

[Beijingwalker]

China's air quality was also extremely bad due to heavy industries 10-20 years ago, especially Beijing, smog can virtually make buildings 10 meters from you disappear, I still remember those day when everyday seemed to be a doomsday.
But now Beijing's air is superb, people rarely see very polluted days, China's overall air quality has also been greatly improved, this shows how a determined government can turn the tide against industry induced pollution. This Hamartia Antidote guy had to post source from over 10 years ago itself shows how China has been improved and this guy is forever stuck in the past.

 

[Hamartia Antidote]

India doesn't have much manufacturing and heavy industries, do you think India is less polluted than China?

Who gives a shit about India? What does this have to do with anything in the US or China?

You may as well mention poor countries in Africa instead as it is just as irrelevant and just as polluted.

 

[Hamartia Antidote]

China's air quality was also extremely bad due to heavy industries 10-20 years ago, especially Beijing, smog can virtually make buildings 10 meters from you disappear, I still remember those day when everyday seemed to be a doomsday.

But now Beijing's air is superb, people rarely see very polluted days, China's overall air quality has also been greatly improved, this shows how a determined government can turn the tide against industry induced pollution.

This Hamartia Antidote guy had to post source from over 10 years ago itself shows how China has been improved and this guy is forever stuck in the past.

LOL! I specifically mention water/land pollution issues and you talk about air pollution and ignore everything I talked about...

This Beijingwalker guy...so typical!!

CGTN:

Irreversible groundwater pollution is a heavy price for future Chinese generations to pay just so some anonymous kid in a foreign land gets a new pair of shoes. You just can't make that connection.

 

[Beijingwalker]

LOL! I specifically mention water/land pollution issues and you talk about air pollution and ignore everything I talked about...

This Beijingwalker guy...so typical!!

I talked about water and air, you only saw air?

 

[Beijingwalker]

Who gives a shit about India? What does this have to do with anything in the US or China?

You may as well mention poor countries in Africa instead as it is just as irrelevant and just as polluted.

But you said industries come at a cost of environment, how come many countries with minimal industries are among the worst polluted on the planet?

 

[FHN]

China is the world’s sole manufacturing superpower: A line sketch of the rise

China is the world’s sole manufacturing superpower: A line sketch of the rise

The US is the world’s sole military superpower. It spends more on its military than the ten next highest spending countries combined. China is now the world’s sole manufacturing superpower. Its production exceeds that of the nine next largest manufacturers combined. This column uses the recently...

cepr.org

 

[FHN]

China – 31.6% Global Manufacturing Output

Top 10 Manufacturing Countries in the World in 2024 | Safeguard Global

Considering some supply chain options? Here are the top 10 manufacturing countries in the world in 2024.

www.safeguardglobal.com

 

[Hamartia Antidote]

But you said industries come at a cost of environment, how come many countries with minimal industries are among the worst polluted on the planet?

Well for starters some countries have zero pollution controls with open sewers running in the streets into nearby streams.

 

[FHN]

Beverage tobacco food and petroleum lol America is truly a consumption based economy