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Thursday, May 19, 2022

Made in America

References to "Made in America" are abundant. Unfortunately, “Made in America” should really be stated as “Assembled in America”. This is especially true for complex pieces made in American factories.

Most US automotive companies like Ford and General Motors assemble their cars in America. Still some 75% to 90% of the subassemblies are made in Mexico, Guatemala, Taiwan, and many other low wage countries across the globe. It’s interesting that Toyota Motor Company, a Japanese-based firm, builds the vehicles for the American market in America. Toyota is a little different than Ford and General Motors in that they are diligent about using American companies to produce their subassemblies. They don’t do that to be patriotic, they do it for logistical reasons. Like most companies, they work on a “just in time” inventory system, so the logistics of getting the parts to their plant is a large consideration. And Toyota quality standards are very high.

My wheelchair is a perfect example. It is assembled in their headquarters in Exeter Pennsylvania. However, since these wheelchairs are very complex, there is no way that Quantum Rehab Corporation can manufacture all the subassemblies. Most of them are made in Mexico. And since shipping is very complex and costly due to a global pandemic, delivery to the customer becomes more of a long-term process. With Quantum Rehab, it’s great that all the engineering for the units is done in America. The quality of what they do is evident and reflective of the power of American engineering.

We live in a global marketplace. An America-first policy, a mantra of the prior presidential administration, is ridiculous in a global marketplace. It’s unsustainable because America can’t shut out the rest of the world. We really need to encourage companies to follow Toyota‘s lead.

Made in America is a wonderful thing to strive for. And thriving is reflected in how well we compete in a global marketplace.

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