Monday, May 5, 2008

Anchors Away--Offshore Manufacturing: Article for UniformMarketNews.com

It’s nothing new that these days Americans are buying offshore merchandise by the billions of dollars.  Uniforms are no exception.  Any uniform manufacturer—any article of clothing used for uniforms and sold by a manufacturer or a distributor—that has any sort of volume to it at all, is made overseas.

There is no question that the world grows smaller by the nano-second.  That the United States has multiple trade treaties and tariff agreements with other countries, either pending or in effect, is undeniable.  It is absolutely true that cheaper goods purchased overseas have allowed millions of American citizens to have a better quality of life, just as it is also true that our economy has been pumped heartily by those who shop for offshore-made goods—not only at the Wal-Mart’s, K-Mart’s, and Target’s—but at the Penney’s, Sears’, Macy’s, Saks, Neiman’s, and Nordstrom’s, too.

We can debate and argue about geo-politics and economic forecasts from now until Doomsday, but the bottom line is that things aren’t going to go backward; if any changes occur in our present economic situation, they will only be to further the global economy. 

It used to be that supply and demand was a local, regional, or even national issue.  Now, it has expanded to an international one.  Manufacturing is in the midst of a huge revolution; the dust nowhere near settling.  What is so is that production is about the survival of the fittest.  It used to be that the United States filled that bill and came out on top.  Now, it no longer does for many reasons.  Sadly, we are the worse off for it.

It is safe to say that if we went to war with the Chinese, we would have to order our military uniforms from them first, in order to dress for the occasion.  Executives, hotel concierges, dignitaries, enormous numbers of corporate individuals in our country wear elegant attire made offshore.  Very few could dress to meet the public if it were up to what’s left of stateside American uniform manufacturing.  The same holds true for industrial, public safety, hospitality wear, medical apparel, and athletic wear.  Even school uniforms are made overseas—what ever happened to motherhood, Uncle Sam, and apple pie?  With the exception of very few companies, and even fewer genres (such as the band uniform business), most garments today are no longer made in this country.

Yes, there are very fine tailors—but fewer of them.  There are excellent cut and sew operations, but so sparse that those which are of value are backlogged with work for weeks and weeks in terms of turnaround time.  There are small companies here and there—maybe ten or twenty at most in the entire country—who still do custom uniforms to specification, for groups such as Shrines, fancy parades, designer restaurants and hotels.  There are a few costumers.  There are those small factories which are affiliated with single garment operations, such as aprons, shirts, certain dress military or fraternal order uniforms.  They keep going.  But even for them, it’s difficult.

Almost everyone who manufactures in the United States today does private label, because it’s another way to survive—making something for someone else, as well as under one’s own name.   It’s a daily struggle, and while some are doing better than others, the apparel business—which has never been easy—is now harder than ever.

It’s not just the manufacturers themselves, but suppliers that are choking, too.  Since so much weaving and dyeing of cloth, production of notions such as thread, buttons, shoulder pads, etc., all come from offshore now; because the machines are also made offshore; because labor and goods are so much cheaper there; why pay customs and freight to bring all of this into the country when it could be utilized where the garments are now being made? 

Relatively speaking, there is so little production here in the ‘States, it’s easier to job goods onto the Mainland in much smaller quantities, rather than to stock giant amounts hoping that some American manufacturer will snap it all up.  American uniform suppliers, as well as American uniform manufacturers are dying on the vine.    

There are two real wrenches in the garment business in this country:  The first is that there is no real labor pool anymore.  Certainly, there are pockets here and there.  But very few Americans know how to sew today.  The two groups who do most of the actual work are either Hispanic or Asian immigrants.  Truth be known, as they become more integrated into our society, they, too, go on to do other things.  Hiring is murder. 

The second wrench is that the cost of production is so high.  Americans demand American wages and so far, others around the world work for much less, and as a result, merchandise is made for much less overseas.  These two issues alone are killing us as we try to compete in our own marketplace.  Our own bigger manufacturers go offshore, making it even harder for those who are smaller and take pride in putting that little red, white, and blue flag inside their garments.


As the trend for uniforms to be made offshore continues, the one small glimmer of light in all of this is that eventually trade balances.  Water seeks its own level.  As the dollar drops, people begin to think about the United States: Suddenly, it’s cheaper to buy merchandise made here than in China or Central America.  As other countries become more prosperous due to American dollars pumping their own economies, their wages and standards of living increase, as well.  Things begin to even out.  The real question is, can American uniform manufacturers and suppliers stay afloat long enough until some sort of prosperity returns?

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