The Forgotten Value of Made In The USA

by Daniel Rustin 30. April 2010 09:21

The Forgotten Value of

Made in the USA


Made in USA

It’s my ongoing pet peeve, but even more, it is the threat that places US manufacturers at risk for going the way of the dinosaurs.  If you ask me my opinion of competition from China and other countries of the world, you are likely to get way more than you bargained for, and certainly an unexpected surprised from someone who would normally call himself a liberal Democrat.  Here’s the thing…Democrat or Republican, we need to remember we are Americans, first and foremost.  We have a vested interest in our own survival.

Imagine you are in a department store, I don’t care which one, they all have what I am about to propose in common.  You look around and see a store full of merchandise, on racks, in shelves, with sale signs, and nice displays.  There are great values to be had all around you.

Next, imagine all the merchandise that was produced in China is removed from the picture.  Continue to remove the products produced in Malaysia, Indonesia, Vietnam, Taiwan, Mexico, and then any other country in Asia, South America, or Central America.  How much merchandise is left around you? 

But products aren't the only things in the store that are produced overseas.  Many of the racks and fixtures are as well.  Remove these too. What is left now?  If all you were to see in your field of vision were products manufactured in the USA, you’d quickly realize you were in a big empty box with some oddball inventory on a few scattered fixtures.  Of course, the sheetrock on the walls might also have been manufactured overseas. Take that down too.  The electrical outlets that weren't made here...take them out as well, and don't forget to remove the Point of Sale (POS) systems.

Now if you ask “Where have all our jobs gone?” you will have no trouble answering your own question.  If the bare bones of the store you are now standing in were representative of our economy, you'd have a good picture of where we stand today.

Have you ever heard of a product made by an "American" company, Mattel, called “The American Girl” doll?  It is a very high priced premium doll, marketed to a high end customer base and presented as the idealization of what it means to be an "American Girl".  They sell these dolls at an average price of $90 each.  Fairly pricey for fabric and plastic doll, but hey...if it's made here, you can justify it. You’d expect it to be made here because of the values it evokes, however it’s made in China.  In fact virtually everything manufactured for this “American” company is produced in plants they set up everywhere else in the world besides the USA. 

So I wrote to Mattel and asked them how they could market this product as an "All American" ideal, yet manufacture it at factories outside of US, and they responded with; "We cannot afford to manufacture a product like this here because it is not cost effective, and the manufacturing facilities to produce such a product no longer exist here".  It seems that at $90 a pop, there is a phenomenal profit margin on these dolls.  You mean to tell me we can't make a comparable doll here, at a price that would still allow American Girl to sell their dolls for $90, and still make a terrific profit?  Maybe, but from Mattel's perspective, I'm sure they like making even more money the way they do things now.  So should their stockholders.  Somebody is making a lot of money...just not anyone in the US labor force.

Maybe I'm picking on Mattel unfairly, but I recently purchased one of those dolls for my girlfriend's daughter and boy do I feel ripped off!

And if you look at the label on the American flag you may hang from your deck or flagpole to show your patriotism on Memorial Day, you will find it says “Made in China” or "Hecho en Mexico", or wherever…probably not "Made In USA".  It makes me sad, and a bit angry too.

The proponents of free trade will blame US environmental regulations, taxes, labor unions, Social Security, Medicare, Disability Insurance, Unemployment coverage, medical and dental coverage, and pension plans, and consumer advocacy groups as being the onerous reasons for the demise of the American manufacturers, and the reason we can buy cheap products from outside the US is because those countries don’t care about those things.

Think about that!  Really think about that!  It’s not that the reasoning is completely wrong, in fact, there is much truth in much of these explanations, but aren’t all the things we blame as the reason for our manufacturing demise precisely the reasons why WE SHOULD BUY AMERICAN?

We want “Green” products to protect our resources and our planet, just not the regulations to make that happen. 

We need taxes to support our infrastructure, military, social programs, etc and for repayment of loans from foreign countries, we just don’t want to pay them.  

Labor Unions, were designed to represent the American Worker and prevent exploitation; isn’t exploitation exactly what we are engaged in overseas? 

Social Security was created to help support our elderly population in the years beyond their ability to earn incomes, yet we don’t want to pay into a system we are being told won’t be there to help us when we need it.  Could it be, one of the contributing causes of the inability of Social Security to sustain itself is the loss of the American workforce to contribute to it?

Of course other benefits of being an American Worker are the protections we receive  from Unemployment insurance, Medicare, Disability, medical care, and still in many cases pension plans paid for by American manufacturers, American Workers and ultimately American Consumers.

American manufacturers have implied or written warranties and are subject to consumer protection laws.  Consumers have real recourse with US manufacturers, and US manufacturers are expected to comply with regulatory agencies, and have more accountability in regard to the protection of the general public and our environment.

Most importantly is the ability of the American company to innovate, create solutions, and deliver within our country in a timely fashion.  Our companies create the quality by which others are expected to perform.  American manufacturers still bend over backwards to provide affordable products that can be delivered quickly with the highest quality, and back up their claims with customer support, and exemplary service.

Finally, the American worker is the core of our economy, our tax base, our future social security benefits, our safety and well being as individuals and a nation.  If we lose our manufacturing base in this country, we may very well be jeopardizing our futures, and our children’s futures.

When we invest in our own products, we invest in ourselves.  For the present, and the future, it behooves us to remember, the only way to insure our own security, is to continue to support American Manufacturing.

Comments

5/6/2010 9:58:20 AM #

Laura

Hi, Dan. This was a hot-topic at the Composite Panel Association meeting this week. Specifically, issues regarding how proposed national formaldehyde emissions regulation will influence the global market and impact businesses in the US and Canada. I learned that most major players in the CPA are preemptively meeting and exceeding CARB-rule limits. As lawmakers and the EPA create more stringent rules about NAUF boards, eco-friendlier materials and indoor-air quality-improved products, it will be interesting to see how it affects offshores-produced composite wood products used in the States. Jim Sherbert of Bush Industries noted in a panel discussion that US industries' speed of fulfillment and customer service will also determine whether many can compete with low-cost, offshores mass-production.

Laura United States | Reply

Add comment




  Country flag

biuquote
  • Comment
  • Preview
Loading



RecentPosts

Calendar

<<  May 2012  >>
MoTuWeThFrSaSu
30123456
78910111213
14151617181920
21222324252627
28293031123
45678910

View posts in large calendar

RecentComments

Comment RSS

Log in
Facebook Twitter YouTube Flickr