Regardless of the elected administration, the future likely holds significant changes for trade, taxes, and regulatory compliance. As a result, it’s crucial that U.S. businesses avoid making decisions contingent on election outcomes, and instead focus on resilience, agility, and growth, according to California-based Propel, which provides a product value management (PVM) platform for manufacturing, medical device, and consumer electronics industries.
“Now is not the time to wait for the dust to settle,” Ross Meyercord, CEO of Propel, said in a release. “Companies should approach this election cycle as an opportunity to thrive in the face of constant change by proactively investing in technology and talent that keeps them nimble. Businesses always need to be prepared for changing tariffs, taxes, or geopolitical tensions that lead to unexpected interruptions – that’s just the new normal.”
In Propel’s analysis, a Trump administration would bring a continuation of corporate tax cuts intended to bolster American manufacturing. However, Trump’s suggestion for spiraling tariffs may benefit certain industries, but would drive up costs for businesses reliant on global supply chains.
In contrast, a Harris administration would likely continue the current push for regulatory reforms that support sectors like AI, digital assets, and manufacturing while protecting consumer rights. Harris would also likely prioritize strategic investments in new technologies and provide tax incentives to promote growth in underserved areas.
And regardless of the new administration, the real challenge will come from a potentially divided Congress, which could impact everything from trade negotiations to tax policies, Propel said.
“The election outcome is less material for businesses,” Meyercord said. “What is important is quickly adapting to shifting policies or disruptions that address ‘what if’ scenarios and having the ability to pivot your strategy. A responsive manufacturing sector will have a significant impact on the broader economy, driving growth and favorably influencing GDP. One thing is clear: the only certainty is change.”
The firms’ “GEP Global Supply Chain Volatility Index” tracks demand conditions, shortages, transportation costs, inventories, and backlogs based on a monthly survey of 27,000 businesses.
The rise in underutilized vendor capacity was driven by a deterioration in global demand. Factory purchasing activity was at its weakest in the year-to-date, with procurement trends in all major continents worsening in September and signaling gloomier prospects for economies heading into Q4, the report said.
According to the report, the slowing economy was seen across the major regions:
North America factory purchasing activity deteriorates more quickly in September, with demand at its weakest year-to-date, signaling a quickly slowing U.S. economy
Factory procurement activity in China fell for a third straight month, and devastation from Typhoon Yagi hit vendors feeding Southeast Asian markets like Vietnam
Europe's industrial recession deepens, leading to an even larger increase in supplier spare capacity
"September is the fourth straight month of declining demand and the third month running that the world's supply chains have spare capacity, as manufacturing becomes an increasing drag on the major economies," Jagadish Turimella, president of GEP, said in a release. "With the potential of a widening war in the Middle East impacting oil, and the possibility of more tariffs and trade barriers in the new year, manufacturers should prioritize agility and resilience in their procurement and supply chains."
The U.S. manufacturing sector has become an engine of new job creation over the past four years, thanks to a combination of federal incentives and mega-trends like nearshoring and the clean energy boom, according to the industrial real estate firm Savills.
While those manufacturing announcements have softened slightly from their 2022 high point, they remain historically elevated. And the sector’s growth outlook remains strong, regardless of the results of the November U.S. presidential election, the company said in its September “Savills Manufacturing Report.”
From 2021 to 2024, over 995,000 new U.S. manufacturing jobs were announced, with two thirds in advanced sectors like electric vehicles (EVs) and batteries, semiconductors, clean energy, and biomanufacturing. After peaking at 350,000 news jobs in 2022, the growth pace has slowed, with 2024 expected to see just over half that number.
But the ingredients are in place to sustain the hot temperature of American manufacturing expansion in 2025 and beyond, the company said. According to Savills, that’s because the U.S. manufacturing revival is fueled by $910 billion in federal incentives—including the Inflation Reduction Act, CHIPS and Science Act, and Infrastructure Investment and Jobs Act—much of which has not yet been spent. Domestic production is also expected to be boosted by new tariffs, including a planned rise in semiconductor tariffs to 50% in 2025 and an increase in tariffs on Chinese EVs from 25% to 100%.
Certain geographical regions will see greater manufacturing growth than others, since just eight states account for 47% of new manufacturing jobs and over 6.3 billion square feet of industrial space, with 197 million more square feet under development. They are: Arizona, Georgia, Michigan, Ohio, North Carolina, South Carolina, Texas, and Tennessee.
Across the border, Mexico’s manufacturing sector has also seen “revolutionary” growth driven by nearshoring strategies targeting U.S. markets and offering lower-cost labor, with a workforce that is now even cheaper than in China. Over the past four years, that country has launched 27 new plants, each creating over 500 jobs. Unlike the U.S. focus on tech manufacturing, Mexico focuses on traditional sectors such as automative parts, appliances, and consumer goods.
Looking at the future, the U.S. manufacturing sector’s growth outlook remains strong, regardless of the results of November’s presidential election, Savills said. That’s because both candidates favor protectionist trade policies, and since significant change to federal incentives would require a single party to control both the legislative and executive branches. Rather than relying on changes in political leadership, future growth of U.S. manufacturing now hinges on finding affordable, reliable power amid increasing competition between manufacturing sites and data centers, Savills said.
The site will also bring manufacturing closer to Packsize's North American customer base, thus reducing lead times and expanding in-house capabilities, through steps like co-locating research and development and implementing production resources, the firm said.
In addition, Packsize will use the facility to showcase its technology to companies from around the globe. The company calls itself a provider of right-sized, on-demand packaging solutions that address the issue of wasteful and inefficient packaging practices by creating custom boxes in real time using less corrugated material and void fill.
The Louisville facility will also provide local job creation in focus areas such as quality, production, engineering, and research and development. And the localized assembly and refurbishment operations will help further realize Packsize's goal of reducing global CO2 emissions as the result of reduced shipping from Europe.
The move is a reaction to Zebra’s research showing that 61% of manufacturing leaders globally expect AI to drive growth by 2029, according to Zebra’s “2024 Manufacturing Vision Study.” Likewise, another Zebra report on AI in the automotive industry found that AI, such as deep learning, is being used across the automotive supply chain, but users want their AI doing more.
In response to those industry needs, Zebra on Monday said its Aurora software suite with deep learning tools now provides powerful visual inspection solutions for machine and line builders, engineers, programmers and data scientists in the automotive, electronics and semiconductor, food and beverage, and packaging industries.
“Manufacturers across many industries face longstanding quality issues and new challenges with advances in materials and sectors such as automotive and electronics,” Donato Montanari, Vice President and General Manager, Machine Vision, Zebra Technologies, said in a release. “They are looking for new solutions that complement and expand their current toolbox with AI capabilities needed for more effective visual inspection, particularly in complex use cases.”
The Illinois-based automation solutions provider Duravant has acquired T-TEK Material Handling LLC, a manufacturer of high-speed packaging machinery and systems solutions headquartered in Montgomery, Alabama.
T-TEK makes end-of-line equipment including palletizers, depalletizers, conveyors, and custom automated lines for producers of packaged food, beverage, and consumer products.
Duravant called the move a strategic acquisition that will expand its reach in the growing packaged food and beverage sector. T-TEK’s portfolio complements Duravant’s product offering across its nVenia, Mespack, and Wulftec brands, all members of Duravant’s packaging segment.
“T-TEK’s technology and equipment offering aligns perfectly with palletizing solutions offered by nVenia,” David Malinas, chief operating officer for Duravant, said in a release. “We now have a complete, comprehensive solution set for all palletizing applications. And with adjacent load containment solutions offered through Wulftec’s premier stretch wrapping and strapping technologies, customers have a trusted source for all their end-of-line packaging needs.”