America continued to outsource the manufacturing industry to low-wage countries to make it into the red

ByHpebley 3

The reason why the national budget of the United States is in deficit is that the domestic manufacturing industry has been outsourcing to low wage countries such as China and India. In Japan as well, we hear many stories about "design domestic, production China" in clothing items, but how is the situation in the United States and how much disadvantage is occurring in the United States?

Details are as below.CHART OF THE DAY: Want to grow jobs and cut deficits? Boost manufacturing. | Alliance for American Manufacturing

Outsourcing Caused State Deficits, Not The Unions

According to "Alliance for American Manufacturing" etc., the deficit in the state budget of the United States seems to be that the manufacturing industry has continued to outsource work to low wage countries such as China and India. The fiscal deficit is caused by "shortage of employment in the US". There are 58,000 factories in the US in the past 10 years, and as the factory goes bankrupt, the money to enter the state is decreasing.

This figure shows that 'reduction of manufacturing work in the US leads to deficit of the state budget'. The red bar graph shows the cumulative state budget deficit in units of 1 billion dollars and the blue line graph shows how the manufacturing work decreases in 1000 units. According to the figure, the United States has lost 5.5 million manufacturing jobs in the past 10 years, thereby losing at least 245 billion dollars (about 20.5 trillion yen) in wage conversion. Please note that this is from other fieldsEconomic ripple effectIt will be a number that does not contain.


If the United States stops operating foreign exchange operations to China, more than one million jobs will be born in the country, the economy will grow and reduce the budget deficit of about 500 billion dollars (about 42 trillion yen) in the next 6 years It will be. Also, if a California state manufacturer had not outsided the country from 2000 to 2007, the national budget was not balanced but balanced.

Even now, the people in the conservative group in the US are "not intervening by the stateFree tradeWe believe that the slogan "Good slogan is good for everyone." Moreover, newspapers occupying the number one circulation in the United StatesWall Street JournalThen,WTO: I do not agree with the measures taken by the US on steel pipes made in China"There are many bad news in dealing with the United States and China, but recent newsWorld Trade OrganizationIt is as if the judgment that it is breathing is as if it is sucking fresh air ", and with the World Trade OrganizationCommunist Party of ChinaIt suggests support for it.

Apart from the opinion of this conservative group and Wall Street Journal, many manufacturers currently outsourcing are suffering from rising logistics and transportation costs, and they are aiming to return the base to the United States. Do business researchAccentureAccording to the report, 61% of senior executives who operate the manufacturing industry in the US said that they are considering moving bases to the domestic market.

Accenture's Managing Director Matt Reilly says, "At present, the price of oil and transportation costs have increased, but the productivity rise is not so big, and the construction of an integrated logistics system among multiple companies"supply chain managementThere is a problem of the risk of having. Now the company is beginning to find out where the customer lives and where the alternative raw materials are. "I said.

In the coming years, the factory in the manufacturing industry will return to the US, and the fiscal deficit may start to be resolved.