Workforce availability remains the primary limiting factor for U.S. production growth. According to the 2025 Reshoring Survey of 500 U.S. manufacturers, the top trigger for increased reshoring is having an abundant, highly skilled workforce.
Although skilled workforce recruitment and training have been weaknesses for generations, we find evidence that the United States is starting to turn this workforce weakness into a growth offensive. Tech-charged reshoring initiatives are fueling a skilled workforce reboot and redefining common misconceptions of manufacturing jobs.
Capitalizing on New Technologies
Reshoring and advanced manufacturing are driving economic growth, investment, innovation, and workforce transformation. Reshoring initiatives are capitalizing on advanced manufacturing technologies that are making domestic manufacturing cost-competitive across an increasing range of products. Advanced manufacturing uses technologies such as automation, robotics, AI, IoT, additive manufacturing, and advanced materials. Manufacturers are recognizing that rapidly evolving technologies make training, upskilling, and continuous learning essential for survival.
Reshoring and foreign direct investment (FDI) continue to add more high-tech jobs than low-tech jobs, as evidenced by the Reshoring Initiative’s data (Exhibit 6a). In 2024, 88% of job announcements were for high-tech or medium-high-tech products, rising to 90% in 2025, establishing a new benchmark (Figure 1).
The 2025 Reshoring Initiative Report Preview projected that approximately 240,000 jobs would be announced in 2025, a decrease of about 7% from 2024. This is a solid outcome given the policy uncertainty and the inevitable lag between policy changes and project announcements (Figure 2).
2025 Reshoring and FDI Job Announcements (includes full commitment cases only)
Current Reshoring Initiative data does not include the reshoring and FDI projects cited by President Donald Trump as $21 trillion and restated by Bloomberg as $7 trillion. These projects largely reflect companies maintaining a “pending” posture as they develop plans for U.S. reshoring or FDI that they intend to activate once tariff structures become firm and predictable. If and when these pending commitments move forward, job announcements are expected to surge.
Shrinking Workforce Contributes to Labor Shortages
The world’s workforce, especially in advanced economies, is shrinking due to structural demographic shifts, including aging populations and declining birth rates (Figure 3).
Like most countries shown, the U.S. workforce is shrinking as a percentage of the overall population, contributing to skilled labor deficits. At the same time, “smart” reshoring initiatives that rely on automation, robotics, and AI are accelerating demand for advanced technical skills, widening the workforce skills gap as retirements and immigration constraints shrink the labor pool.
For example, 2025 Reshoring Award winner GE Appliances is bringing extensive production back to the United States as part of a multibillion-dollar reshoring strategy. This “smart” reshoring initiative includes updating domestic manufacturing facilities with advanced manufacturing and workforce upskilling to make domestic manufacturing cost-competitive and agile.
Automation Adoption Is Widespread
New research from the RobCo Automation Readiness Index found that reshoring production was a factor driving 61% of respondent companies’ automation plans. A staggering 95% of U.S. industrial organizations plan to introduce new automation over the next three years to support reshoring, combat labor shortages, and mediate supply chain uncertainty. A 2025 Deloitte study concluded that manufacturers think smart manufacturing will be the driving force of competitiveness over the next three years, improving production, employee productivity, and capacity.
Four-Year University vs. Skilled Technical Training
Generation Z, the demographic cohort born between 1997 and 2012, is emerging as the “Toolbelt Generation.” Their technical skills and digital fluency make them an important demographic for advanced manufacturing.
The current “college for all” default pathway is waning as parents and students determine it’s no longer a guarantee for success or security. A 2025 Bureau of Labor Statistics report found that the unemployment rate for recent associate degree holders and vocational school graduates was 2.1%, compared with 15.3% for recent four-year college graduates. Nearly 9 in 10 parents think students should consider a career in skilled trades.
Students are increasingly choosing skilled trades and vocational pathways over traditional four-year degrees. Enrollment in four-year institutions grew just 2.8% in 2025 from 2024, while students enrolled in vocational-focused community colleges rose 11.7%.
So, They’re Interested. Now What? Attracting and Retaining Gen Z
One way manufacturers can attract young people is by sharing authentic manufacturing experiences through social media. Platforms like TikTok and Instagram can highlight short-form video content of actual skilled technician experiences.
Businesses can partner with schools by hosting tours, offering mentorship programs, and providing learning experiences for educators that strengthen classroom instruction. When combined with guaranteed employer connections through apprenticeships, CTE courses, and internships, these efforts give students a trusted pathway to well-paying careers and make strong, well-prepared teachers a draw in their own right.
Building diverse, inclusive cultures with clear pathways to career development and ongoing training will help retain this group.
Apprenticeship Training
Demand for apprenticeship training is surging. Apprenticeship training has been recognized as paramount to strengthening domestic manufacturing. The Department of Labor (DOL), which tracks registered apprenticeships nationwide, finds there are currently about 704,742 active apprenticeships. In April 2025, an executive order mandated a plan to “reach and surpass 1M new active apprentices,” a significant challenge.
The Jobber Blue-Collar Report of high school and college-age students found 75% were interested in vocational schools offering paid, on-the-job training, but 59% of respondents who hadn’t applied said it was because they didn’t know about them. Choosing an apprenticeship route will likely result in debt-free professional training, a two-year degree, and a job. An apprenticeship is a powerful springboard for further academic or career growth.
Federal support for apprenticeship pipelines continues to expand. On Dec. 30, 2025, the DOL announced the availability of $98 million in funding to support the development of preapprenticeships in high-demand industries, including construction, advanced manufacturing, information technology, and health care.
Companies, Associations Step Up Efforts To Meet the Challenge
Companies and associations are meeting the challenge by providing more technical training for roles such as maintenance technician, robotics programmer, data specialist, and process engineer.
Siemens USA plans to train 200,000 electricians and manufacturing experts by 2030 by collaborating with a network of community colleges, technical programs, trade organizations, and industry leaders to create training pathways.
The Apple Manufacturing Academy, a Detroit-based initiative between Michigan State University and Apple, is part of Apple’s domestic investment push of more than $600 billion to support 79 factories across the United States over the next four years. The Apple Academy curriculum offers courses covering advanced manufacturing topics, including automation, predictive maintenance, quality control optimization, and machine learning with vision.
Dutch-based ASML, a manufacturer of advanced semiconductor-making equipment, launched a technical academy in Phoenix, Arizona. It plans to train more than 1,000 engineers each year to repair and service its equipment, driven by a significant increase in advanced chip manufacturing in the United States.
The Smartforce Student Summit, powered by AMT – The Association For Manufacturing Technology and SME, will once again be held at IMTS – The International Manufacturing Technology Show 2026. Free for students, educators, school administrators, and parent chaperones, the Smartforce Summit showcases the latest manufacturing technology from top industry exhibit partners, providing educators and students with engaging and immersive experiences. For many young people and their families, the summit is an eye-opener to a career in manufacturing.
“The summit is a game changer for our industry’s talent pipeline,” says Douglas K. Woods, president of AMT. “IMTS gives educators direct exposure to the technologies driving today’s production floors, inspiring them to elevate their equipment, curricula, and training programs. The result is a new generation of candidates who arrive with stronger skills and a clearer understanding of industry needs.” The Smartforce Summit at IMTS 2026 will be held Sept. 14-19, 2026, at McCormick Place in Chicago, Illinois.
Are You Thinking About Reshoring?
For help or to report your reshoring successes, contact me at 847-867-1144 or email me at harry.moser@reshorenow.org. Visit the Reshoring Initiative website to access our full list of reshoring resources.
Have you reshored a metal component or product? Apply for the National Metalworking Reshoring Award by June 30, 2026. Awards will be presented at IMTS 2026.
