What they stopped manufacturing was menial and low-end product; because it's not price-effective to have 100 Americans sit on an assembly line and solder SMT components for $7-18/hr. Instead, those potential workers pivoted into service jobs and office work.
1 - https://www.safeguardglobal.com/resources/blog/top-10-manufa...
This statement is as inaccurate as the comment you’re trying to debunk. The fact is that China leveraged it’s low-end manufacturing work to work its way up the chain and now is the leader in many areas: https://itif.org/publications/2025/09/23/how-china-is-outper.... E.g. China has been investing heavily in radar technology and as a result has air to air missiles with comparable range to the U.S. https://en.defence-ua.com/weapon_and_tech/why_the_us_is_alar...
There are synergies to having the high end stuff and the low end stuff in the same place. The story of IBM developing System 360 mentions the benefit from the ladies who wound the wire core memory and the guys who designed the computer on the same campus in New York. We gave that up when we outsourced the “menial” stuff abroad.
I never claimed that they did not do high-end manufacturing.
The U.S. still manufactures high end products in some fields. But in many areas we have lost the high end as well as the low end. E.g. we can’t compete with the Chinese in electric cars.
They are doing fine.
And it's not all high value goods. US produces magnitude(s) less than PRC in nearly all industrial sectors, i.e somewhere between single digit times less to 100s less. Some of it might not matter, like trinkets, some of it does, like 500x more shipbuilding by tonnage. Of the magnitude less that US produces, some legit high value like aviation, some are spreadsheet value, i.e. US car worth 3x than a comparable Chinese car. For shipbuilding, PRC produces like 50m DWT per year, aka MORE than US total WW2 shipbuilding, all 4 years, and generate about 150b revenue. US produces 0.3m tons (round up), and generate about 40b.
A ton of US ship, even navy isn't worth except 50x premium over a PRC ton except in spread sheets. That 50x premium is rent/capture, it's what prevents US from actually industrializing vs spreadsheet industrializing. TLDR except in a some high value sectors, US is getting absolutely mogged even per capita in gross output.
The reason we can’t do manufacturing is because Wall Street demands capital light business models.
That, in turn, is an outcome of being the global reserve currency.
Not at the (AI) moment.
China at this point is hard in automation, beyond anything the US has. China is well past the peak of sweatshops.
As someone in the manufacturing space in the US, the biggest issue we have in the US is that manufacturing continues to die. Any manufacturing we have left is the old guard dying off. It comes from a range of issues from companies refusing to invest in younger employees, to the cost of real estate (both buy or rent) for commercial properties being absurd..
The fact that China is diversified beyond low end manufacturing just shows that they have incentive + economic impetus to expand that field; and hardly disproves what I stated or shows any trend of US manufacturing "dying off".
I think some more "low margin" computer and chip manufacturing would be healthy.
And quite frankly, who gives a fuck if top owners and investors get maximum returns, boo hoo they got 4% return instead of 8%, that is still far better than the average working class's deal. Our entire problem is a suffering middle and lower classes that need decent work, they will still be happy even if the product they make is a bit lower margin because they are paid hourly, not paid by dividends and stock options which is where all the higher margins profits go. Average citizens pay has not correlated with increased company profits, and increased company profits isn't what makes society stable, so the investor class is going to have to suck it up and take the hit unless they want their entire house of cards to collapse.
The reason we don’t invest in manufacturing is because of requirements for return on capital.
Ask yourself why GM is doing massive stock buybacks in the era of global transition to electric cars. Why aren’t they using these huge sums of cash to invest in the next generation of products and instead literally just sending the money out the door?
The US does a lot of manufacturing, second only to China, but not low margin stuff that isn't economic.
Trying to "bring back" that sort of thing is idiotic and is entirely performative and induced by the current incompetent administration.
China is a genuine threat but the right solution is to move it to other friendlier countries instead of losing money trying to do it in the US.
Stupid is a reason not to do it.