How reindustrialization makes a difference for consumers and communities

July 23, 2025 at 12:01 PM EDT

(BPT) - At a time when the economy is top of mind, many business leaders are amplifying efforts toward reindustrialization, aiming to revitalize production through modernization, spark new industries and return manufacturing to regions that will most benefit from the products and jobs created. Improving the supply chain and keeping costs down means finding innovative ways to improve industrial activity nationwide and to manufacture products here in the United States. This will also help boost the economy and employment for a wide range of positions.

At this year's Reindustrialize Conference in Detroit, speakers emphasized a movement that focuses on combining industrial nostalgia and cutting-edge technology. Detroit's historical presence as the automotive capital of the world and Michigan's thriving advanced manufacturing scene made the state the perfect backdrop for this timely conversation. Over 1,000 leaders from tech, defense, finance and government converged in Detroit for these future-forward discussions, along with venture capitalists hoping to fund the next industrial revolution.

Here are the top themes from this year's conference, along with reasons why legislators, businesses and consumers across the nation can benefit from reindustrialization:

1. Strengthening the supply chain

Recent events, particularly the COVID-19 pandemic, revealed serious cracks in the nation's supply chain, showing that the U.S. was overly reliant on other countries for vital products and components. One of the main goals of reindustrialization is bringing back more essential manufacturing to the U.S., in turn lessening dependence on other nations.

State-led initiatives can support these efforts by fostering connections, training skilled workers, offering resources and implementing funding programs. For instance, at Reindustrialize, Michigan's Gov. Gretchen Whitmer announced a new executive directive around Advanced Air Mobility (AAM), along with a new round of AAM funding, to scale the state's emerging aviation capabilities. The goal is to help commercialize drone technologies, strengthen critical supply chains and reduce dependence on foreign manufacturing.

One company receiving this funding is CVS Health, which will deploy a new drone program focused on making it faster, simpler and more environmentally sustainable to get critical emergency response and specialty medications to patients.

2. Creating high-paying, essential jobs

As more companies and industries return to the U.S., new jobs are created. From skilled trade positions to white-collar jobs, these new positions will offer good wages and benefits, helping to stimulate growth in the economy at the local and national levels.

One such example is from TORC Robotics, an independent subsidiary of Daimler Truck AG and a leader in autonomous vehicle technology, which chose to open a new engineering center in Michigan's Ann Arbor Township. The Michigan Economic Development Corporation (MEDC) partnered with non-profit economic engine Ann Arbor SPARK and TORC Robotics to support the company's new facility, which included a $3 million performance-based grant from the Michigan Strategic Fund (MSF). The expansion represents a $5.6 million capital investment - creating 500 high-paying jobs.

3. Bolstering national security

Leaders at Reindustrialize flagged U.S. defense manufacturing as "brittle and complacent," raising alarms about the country's inadequate preparedness for high-stakes scenarios. Yet, the leaders are determined to address this issue, focusing on making the defense industry more agile and ready to build digital, autonomous and dual-use systems.

Defense and aerospace startups have been invited to be part of the solution, and new U.S. budgets were highlighted, including $25 billion for the Pentagon's "Golden Dome" missile-defense system and nearly $30 billion for shipbuilding and naval tech, designed to benefit both traditional defense companies and startups. These investments are fueling demand from non-traditional tech firms eager to enter defense supply chains.

The conference made it clear that despite differing approaches, there is a consensus across the political spectrum on the critical role of a strong industrial base for U.S. economic and national security.

4. Encouraging environmental sustainability

While factories have a reputation for being bad for the environment, the new wave of reindustrialization efforts increasingly focuses on sustainable practices and clean energy. From solar to wind, companies are investing in clean energy for the future of their businesses as well as the planet.

Semiconductors are crucial components in the energy sector for renewable energy technologies like solar. In recent years, semiconductors were largely manufactured overseas, but the reindustrialization movement is bringing this vital industry back to the U.S.

To support this move, Michigan recently saw a $325 million federal investment to expand semiconductor manufacturing in the state. The legislation supported a project with $40 million from the Make It in Michigan Competitiveness Fund to Hemlock Semiconductor, which creates polysilicon to make computer chips for solar power and other clean energy markets. The low-embodied greenhouse gas emissions in Hemlock's polysilicon materials facilitate the production of ultra-low-carbon solar panels, so solar project developers and owners can lower the embodied carbon of their projects up to 50%. Hemlock Semiconductor also uses renewable energy to power its operations, while closed-loop chemical recycling helps the company minimize industrial waste.

5. Strengthening local economies

Removing reliance on foreign manufacturing will help strengthen local and national economies. New factories will breathe life into local communities while also stabilizing the national economy.

To help generate local jobs and stimulate the regional economy, the MSF actively approves a range of new economic development projects across the state. One example is the Stellantis Detroit Assembly Project, which the MSF helped revitalize in 2019. Since its opening in 2020, the plant, which was the first new assembly plant in Detroit in 30 years, has generated nearly $64 million in revenue for the city and allocated more than $5 million in housing for the surrounding neighborhoods.

Additionally, the project hired Detroit-based contractors to build the plant, which was completed in record time. Stellantis and its partners also prioritized hiring Detroit residents for the thousands of full-time, high-paying jobs, and the project expanded to benefit local high schools by establishing the Advanced Manufacturing Academy to train students for these jobs.

These kinds of investments revitalize communities and strengthen supply chains, increasing employment and growing economies around the country - while also following sustainable practices - to ensure a brighter future.

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How reindustrialization makes a difference for consumers and communities

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