• Advertise
  • Contact Us
  • Supplier Directory
  • SCB YouTube
  • About Us
  • Login
  • Subscribe
  • Logout
  • My Profile
  • LOGISTICS
    • Air Cargo
    • All Logistics
    • Facility Location Planning
    • Freight Forwarding/Customs Brokerage
    • Global Gateways
    • Global Logistics
    • Last Mile Delivery
    • Logistics Outsourcing
    • LTL/Truckload Services
    • Ocean Transportation
    • Parcel & Express
    • Rail & Intermodal
    • Reverse Logistics
    • Service Parts Management
    • Transportation & Distribution
  • TECHNOLOGY
    • All Technology
    • Artificial Intelligence
    • Cloud & On-Demand Systems
    • Data Management (Big Data/IoT/Blockchain)
    • ERP & Enterprise Systems
    • Forecasting & Demand Planning
    • Global Trade Management
    • Inventory Planning/ Optimization
    • Product Lifecycle Management
    • Robotics
    • Sales & Operations Planning
    • SC Finance & Revenue Management
    • SC Planning & Optimization
    • Supply Chain Visibility
    • Transportation Management
  • GENERAL SCM
    • Business Strategy Alignment
    • Customer Relationship Management
    • Education & Professional Development
    • Global Supply Chain Management
    • Global Trade & Economics
    • Green Energy
    • HR & Labor Management
    • Quality & Metrics
    • Regulation & Compliance
    • Sourcing/Procurement/SRM
    • SC Security & Risk Mgmt
    • Supply Chains in Crisis
    • Sustainability & Corporate Social Responsibility
  • WAREHOUSING
    • All Warehouse Services
    • Conveyors & Sortation
    • Lift Trucks & AGVs
    • Order Management & Fulfillment
    • Packaging
    • RFID, Barcode, Mobility & Voice
    • Warehouse Automation
    • Warehouse Management Systems
  • INDUSTRIES
    • Aerospace & Defense
    • Apparel
    • Automotive
    • Chemicals & Energy
    • Consumer Packaged Goods
    • E-Commerce/Omni-Channel
    • Food & Beverage
    • Healthcare
    • High-Tech/Electronics
    • Industrial Manufacturing
    • Pharmaceutical/Biotech
    • Retail
  • THINK TANK
  • WEBINARS
    • On-Demand Webinars
    • Upcoming Webinars
    • Webinar Library
  • PODCASTS
  • WHITEPAPERS
  • VIDEOS
Home » Blogs » Think Tank » Will U.S. Manufacturers Benefit From a Stronger ‘Buy American’ Policy?

Think Tank
Think Tank RSS FeedRSS

Will U.S. Manufacturers Benefit From a Stronger ‘Buy American’ Policy?

U.S. Manufacturing
An American flag is displayed on a loading dock. Photo: Bloomberg.
March 15, 2021
Robert J. Bowman, SupplyChainBrain

President Biden’s executive order reaffirming the “Buy American” policy for federal government contracting is meant to close the loopholes that have permitted some foreign sourcing of goods and services. But can U.S. manufacturers step up the pace of production to take advantage of the action?

Biden is hardly the first U.S. president to push a Buy American stance; President Trump claimed a similar commitment. But in issuing the new order, Biden claimed that “the previous administration did not take it seriously enough. Federal agencies waived the Buy American requirement without much pushback at all. That is going to change on our watch.”

The executive order sets out an arduous procedure for acquiring a waiver from the Buy American requirement, calling for extensive review and justification “for the use of goods, products, or materials that have not been mined, produced or manufactured in the United States.” All such waivers must be approved by the Office of Management and Budget by way of a Made in America Office. In addition, the Administrator of General Services is directed to create a public website including information on all requested waivers and whether they have been granted.

When it comes to assessing the true origin of a given item, the order replaces a previous “component test” with one that measures the value “that is added to the product through U.S.-based production of U.S. job-supporting economic activity.” And it increases the threshold for domestic-content requirements covering end products and construction materials.

In cases where a foreign product is substantially cheaper than its American-made counterpart, the order dictates a determination as to whether the gap is the result of dumped steel, iron or manufactured goods by the foreign supplier.

For American workers, the big question is whether the new policy will mean more domestic manufacturing jobs. Steven Kramer, chief executive officer of WorkJam, creator of a digital task-management platform, predicts that it will. “It goes a lot deeper than any other policy,” he says. “We believe it’s going to have a significant impact on the rejuvenation of manufacturing and distribution in the U.S.”

Success won’t come automatically, however. U.S. companies will have to revamp operations in order to accommodate higher production rates and labor requirements while still turning a profit. “For organizations to adapt to what we believe will be significant growth, they will need to be super-organized,” says Kramer. That means optimizing and streamlining systems and business processes, especially with the help of digital technologies.

A move in that direction is especially vital in a time of pandemic, when worker safety is paramount. Digital transformation, says Kramer, “has to happen in order to train and upskill the workforce to execute tasks and have compliance around them.” The coming of the coronavirus, he adds, calls for “a whole new set of procedures to be followed.”

To a certain degree, “digitization” might be seen as a code word for “robots.” In other words, a resurgence of American manufacturing is unlikely to bring back as many domestic jobs as were lost during decades of offshoring to China and other sources of low-cost production.

“Yes, technology will lead to not as many people being required,” Kramer acknowledges, “but people are still an important part of this equation, and they don’t get eliminated.” Humans will be needed in call centers and key logistics roles, and even in some hourly positions that one might expect to be roboticized.

Kramer does see an increase in the share of temporary and gig workers versus permanent employs. That’s especially the case in times of low unemployment, which was the norm before the pandemic and is likely to return with economic recovery.

“As we come out of the pandemic, there will be more supply on the market from a resource perspective,” he says. “It will be interesting to see how that fleshes out in a year or two.”

Expect some domestic manufacturers to keep costs low by limiting the number of permanent hires. At the same time, Kramer says, they’ll continue to push for flexibility in scheduling. Manufacturers and retailers alike want the ability to staff up or down depending on the season or time of day. Some workers will respond favorably to such actions, while others will rebel against the consequent uncertainty and schedule irregularity.

Exactly how domestic producers choose to balance these sensitive factors remains to be seen. But one thing seems indisputable: as U.S. manufacturing gears up to meet greater production requirements resulting from tighter Buy American provisions, the sector is going to look dramatically different than it did in its prior heyday.

Global Trade Management Global Supply Chain Management Global Trade & Economics HR & Labor Management Regulation & Compliance Sourcing/Procurement/SRM Sustainability & Corporate Social Responsibility

RELATED CONTENT

RELATED VIDEOS

Subscribe to our Daily Newsletter!

Timely, incisive articles delivered directly to your inbox.

Featured Product

Popular Stories

  • On Demand - Webinar Descartes Tue Jun 23 2026 11a ET.png

    Descartes AI Exchange: AI Agents for Fleet Performance Management

    General SCM
  • A UNIFORMED OFFICER STANDS NEAR A HIGHWAY WITH TRUCKS ON IT

    U.S. Customs Ramps Up AI Investment in Push to Sharpen Enforcement

    Artificial Intelligence
  • On Demand Webinar - Arkieva - Wed Jun 24 2026 2p ET.png

    Shift Left Planning: Why Many Plans Fail to Execute—and How to Fix It

    Webinars
  • A MAP OF THE STRAIT OF HORMUZ SHOWING DOZENS OF BLUE DOTS DISTRIBUTED THROUGHOUT THE WATERWAY

    Traffic Flows Through Hormuz Despite Shock Ship Attack

    Global Gateways
  • On Demand Webinar 4flow Thu Jun 25 2026.png

    How Mars uses 4flow's AI platform for Logistics optimization

    Webinars

Digital Edition

2026 esg cover main scb q2 2026 cover

SupplyChainBrain 2026 ESG Guide: ESG — The Supply Chain’s Biggest Secret

VIEW THE LATEST ISSUE

Case Studies

  • Recycled Tagging Fasteners: Small Changes Make a Big Impact

  • A GRAPHIC SHOWING MULTIPLE FORMS OF SHIPPING, WITH A HUMAN STANDING AT THE CENTER, TOUCHING A SYMBOLIC MAP OF THE WORLD

    Enhancing High-Value Electronics Shipment Security with Tive's Real-Time Tracking

  • A GRAPHIC OF INTERLACING HONEYCOMBED ELEMENTS REPRESENTING GLOBAL BUSINESS TRANSACTIONS

    Moving Robots Site-to-Site

  • JLL Finds Perfect Warehouse Location, Leading to $15M Grant for Startup

  • Robots Speed Fulfillment to Help Apparel Company Scale for Growth

Visit Our Sponsors

4flow Arkieva Blue Yonder
Carton Cloud CoEnterprise Dassault
Duravant E2Open General Logistics Systems
Hy-Tek iGPS Korber
Lyngsoe Procurability Quinyx
SAP Sikick Systech
S&P Global Mobility TADA TransImpact
US Bank Werner Enterprises WSI
  • More From SCB
    • Featured Content
    • Video Library
    • Think Tank Blog
    • SupplyChainBrain Podcast
    • Whitepapers
    • On-Demand Webinars
    • Upcoming Webinars
  • Digital Offerings
    • Digital Issue
    • Subscribe
    • Manage Email Preferences
    • Newsletters
  • Resources
    • Events Calendar
    • 2026 Event Coverage
    • SCB's Great Supply Chain Partners
    • Supplier Directory
    • Case Study Showcase
    • Supply Chain Innovation Awards
    • 100 Great Partners Form
  • SCB Corporate
    • Advertise on SCB.COM
    • About Us
    • Privacy Policy
    • Contact Us
    • Data Sharing Opt-Out

All content copyright ©2026 Keller International Publishing Corp All rights reserved. No reproduction, transmission or display is permitted without the written permissions of Keller International Publishing Corp

Design, CMS, Hosting & Web Development :: ePublishing