U.S. Manufacturers Struggle to Go All-American Amid Tariff Push

Building a fully “Made in the U.S.A.” product is tougher than it sounds, even as President Trump’s tariffs aim to bring manufacturing home. Companies are hitting roadblocks, from missing parts to sky-high costs, according to the Wall Street Journal.

Tariffs on imports, like Chinese iron, are jacking up manufacturing expenses, with some U.S. companies facing 20% price hikes on their goods, while competitors in South Korea or Japan reportedly pay around10-14% duties, although this figure does vary by industry. Local parts are either not made here anymore, too scarce, or too pricey. And building new facilities, like a foundry, could cost hundreds of millions for materials with pennies per pound, while finding skilled workers adds another profit-prohibitive hurdle. 

Take CorVent Medical, a North Dakota ventilator maker. Two years ago, 70% of its parts came from China. Now, 70% are U.S.-sourced, with a goal of 100% soon, CEO Richard Walsh told the Wall Street Journal. Sheet metal and plastic parts were easy to bring back, but transistors and motors? Still Taiwan-only. CorVent did manage to source circuit boards from Minnesota’s Versa Electronics, though some components remain foreign.

Fewer products are even claiming “Made in the U.S.A.” NielsenIQ reports 100,000 items carried the label in the year ending April 12, down from 102,000 the year prior. Strict rules from the Federal Trade Commission demand “all or virtually all” parts be domestic, putting companies under scrutiny. Some worry that U.S. services like steel mills will prioritize bigger clients if tariffs spike demand.