By Claire Lamarre. Manufacturing Robot. Published at Wednesday, December 12th, 2018 - 12:38:48 PM.
The Obama administration is well aware of the high tech manufacturing competition in China and other Asian countries. In June 2011, President Obama launched the Advanced Manufacturing Partnership, a $500 million effort between the government, universities, and corporate America to invest in new technologies that could create manufacturing jobs in the Untied States.
Offshore manufacturing is beneficial to both the manufacturer's country of origin and the host country for it provides employments opportunities, taxes and other benefits for the host country. As for the company's origin country, it lowers the cost of goods and services because goods produced cheaply are also sold at a competitively cheaper price.
The main reason for offshore manufacturing is to reduce production costs for a manufacturer who is trying to make more profits by exploiting the comparative advantages that exist in other countries and which are not in his/her country.
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