Why Manufacturing Matters
Randy Wolken, President & CEO
October is Manufacturing Month in New York State! Throughout the month, MACNY, The Manufacturers Association, will celebrate the incredible contributions of manufacturers to our communities. When people think about the strength of the U.S., they often picture its military, universities, or democratic traditions, but there’s another pillar that’s just as vital: manufacturing. The ability to design, build, and produce at home has long shaped our nation’s prosperity.
Today, U.S. manufacturing remains one of the most critical drivers of economic power, innovation, and national security. Supporting it is just smart economics for several reasons. First, manufacturing is the backbone of the American economy. It contributes more than 10% of our Gross Domestic Product (GDP) and employs millions. Even more important, each factory job creates two to four more jobs in supply chains, logistics, services, and retail. Manufacturing jobs also tend to pay higher wages and offer more substantial benefits compared to many service-sector positions, making them a pathway to stable, middle-class lives. When American factories thrive, so do their communities. Main streets are busier, schools are better funded, and families feel secure about their futures.
Second, U.S. manufacturing is a powerful engine of innovation. More than 60% of private research and development (R&D) spending comes from manufacturing industries. Sectors such as aerospace, semiconductors, advanced machinery, and clean energy depend on the close connection between design and production. When engineers, researchers, and skilled workers collaborate with the shop floor, ideas move more quickly from concept to reality. This advantage keeps the U.S. competitive against global rivals. It also ensures that America leads the industries of tomorrow — from robotics and 3D printing to biotechnology and renewable energy.
Third, manufacturing is essential for national security. A strong industrial base means the U.S. can produce critical goods for defense, infrastructure, and emergencies. The COVID-19 pandemic revealed the dangers of overreliance on overseas supply chains, as shortages of masks, ventilators, and medical supplies left the country vulnerable. Similarly, semiconductors, pharmaceuticals, and rare earth components are strategic materials for which America can’t afford to depend entirely on foreign suppliers. Investing in domestic production ensures that the nation can protect itself and remain resilient in times of crisis. Manufacturing also plays a key role in global trade and leadership. America’s exports — from airplanes to electronics — support millions of jobs and strengthen the dollar. A healthy manufacturing sector helps reduce trade deficits and boosts the economy. Competing successfully with manufacturing powers such as China, Germany, and Japan is more than economics; it’s about maintaining U.S. influence worldwide.
Finally, manufacturing sustains communities. Towns and cities built around factories know the devastating impacts of plants closing: the population declines, tax bases shrink, and social challenges rise. Revitalizing U.S. manufacturing gives these places new life and revitalized hope. It restores pride, creates opportunity, and reconnects generations to meaningful work. In short, U.S. manufacturing isn’t just about making things — it’s about making a future. It fuels our economy, drives innovation, secures our nation, and strengthens communities.
If America is to remain strong, competitive, and free, we must enthusiastically support and invest in manufacturing. The message is clear: when American manufacturing wins, America wins.