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American Manufacturing Is Rising Again

America’s manufacturing industry has always been a backbone of innovation and progress  building, solving, and producing with grit and precision. Today, with rising labor costs abroad, new tariffs, and growing interest in U.S.-based production, attention is once again turning toward the people who make things here at home. This renewed focus isn’t just economic, it’s personal. At Parimer, we take pride in being part of this resurgence and doing our part to strengthen American manufacturing from the inside out.


Labor Rates Are Dropping in the U.S.

To stay competitive amid global pricing pressure, U.S. labor rates in manufacturing have quietly decreased. According to the U.S. Bureau of Labor Statistics, real hourly compensation in the manufacturing sector declined 1.3% from Q4 2023 to Q1 2024. One of the reasons for this was to reduce reliance on offshore labor.


"Labor costs in China increased nearly 140% between 2008 and 2020, while the U.S. has begun narrowing the gap through automation and lower unit labor costs.” – McKinsey



Tariffs Are Forcing a Reset and WHY That is a Good Thing

The 2025 tariff hikes on Chinese goods, are accelerating the reshoring of manufacturing back to the United States. What once made overseas production more affordable is now being offset by fees, shipping delays, and regulatory hurdles. This is extremely true for CDMOs and drug manufacturing. 

This reset is prompting many manufacturers to revisit the question:  Why outsource when you can build it here?


“The cost savings that drove offshoring in the early 2000s are no longer as compelling. Tariffs, freight costs, and lead times have erased many of the advantages.” – Brookings Institution


Reshoring is no longer just a nice idea, it's becoming the smarter business choice. 


Changing Landscape of U.S. Manufacturing

There’s a growing cultural shift underway. American manufacturers are reclaiming a strong sense of identity and purpose. 


At Parimer, our teams aren’t just producing, they’re building sustainable solutions. Every lot, every line, every test is done here in the U.S. by scientists who take pride in their work and hold themselves to the highest standards, without shortcuts.


What This Means for the Future

As the gap closes between U.S. and international costs, the advantage tips in favor of domestic quality, speed, and control. Companies who act now will be positioned to lead—not just because of patriotism, but because it's smart business.


“Reshoring is no longer just a patriotic move—it’s a strategic one.” - ThomasNet Reshoring Index


Why Choosing a U.S.-Based CDMO Matters More Than Ever

When it comes to contract manufacturing, where your partner operates is just as important as what they produce.  Here’s why working with a U.S.-based CDMO offers a strategic edge over overseas providers, especially in China:

  • Shorter Lead Times - manufacturing domestically eliminates 4–8 weeks of ocean freight time and the risks of port congestion, shipping delays, and customs inspections.

  • Stronger Regulatory Compliance - U.S.-based CDMOs are subject to rigorous FDA, EPA, and OSHA standards, ensuring higher-quality processes, better traceability, and full regulatory transparency.

  • Better IP Protection - Intellectual property theft remains a serious risk when manufacturing abroad. Working with a U.S. partner helps protect your formulations, data, and innovations.

  • Faster Iteration and Scale-Up - Need to tweak a formulation, scale up production, or troubleshoot an issue? Being in the same country (or even same time zone) accelerates communication and problem-solving.

  • Resilience Against Global Disruptions - From tariff hikes to pandemics to geopolitical instability, global supply chains face ongoing risks. A U.S.-based partner offers greater security and business continuity.


American Made Manufacturing


At Parimer, we’ve always believed that American-made matters. Tariffs may have forced a rethink, but what’s emerging is something bigger: a movement. One where American manufacturers are stepping back into the spotlight, not as an alternative, but as the standard.


Ready to partner with a U.S.-based CDMO that delivers with precision and purpose?



 
 
 

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