When Mexico set up the first maquiladoras half a century ago, they were sweatshops that simply bolted or stitched together imported parts, then exported the assembled product north across the border to the United States. America got cheap goods; Mexico got jobs and export revenues. Now, with competition growing from other low-cost locations, and with the government cutting some of their tax breaks, the maquiladoras are having to step up their efforts to become innovative.
Some of the biggest gains in U.S. exports due to a widening U.S. production-cost advantage over leading Western European nations and Japan are likely to be seen in chemicals, machinery, and transportation equipment, according to a report by The Boston Consulting Group.
Among the biggest things that will affect the freight markets this year are the return of pricing power to carriers and the re-shoring/nearshoring phenomenon, according to CarrierDirect's semi-annual forecast on the state of the domestic freight industry.
The sharp slowdown in U.S. manufacturing that began last spring appears to be over, setting the stage for moderate expansion in the factory sector in coming months - with a little boost from companies bringing overseas production back to America.
Improved U.S. competitiveness and rising costs in China will put the United States in a strong position by around 2015 to eventually add 2 million to 3 million jobs and an estimated $100bn in annual output in a range of industries, according to a new report by The Boston Consulting Group (BCG).
