Navigating Tariffs: A Path Forward For Reigniting America’s Manufacturing Core

For the last five years, America has stood on the cusp of a renaissance in manufacturing. When COVID hit, companies began to reshore their operations, a trend that continues today, and were buoyed further by a series of bills from Washington designed to spur reinvestment in our nation’s industrial core. Today, the goal of tariffs appears to be the same: to reignite American manufacturing.

Xometry was purpose-built to help companies navigate a highly complex and fast-moving geopolitical environment. Through our massive digital marketplace, we provide buyers with real-time access to unprecedented manufacturing capacity, enabling them to create locally resilient supply chains, whether here or abroad.

Because we work directly with more than 68,000 buyers and over 4,375 manufacturers in the United States and around the world, we have our finger on the pulse of what’s happening, and a few trends are coming to light here specifically in America.

Here’s what we’re seeing:

• First, America’s 500,000+ small- and mid-size manufacturers are increasingly likely benefiting from reshoring initiatives, a trend that began several years ago and which appears to be accelerating today. In our latest “American Manufacturing Resurgence” poll conducted in partnership with Zogby last month, nearly half (42%) of manufacturing CEOs say they have already successfully reshored facilities, with another 19% saying they are planning to do so as a result of tariffs.
• Second, American manufacturers are investing in new technologies at accelerating rates to gain a competitive edge globally. Our poll found that nearly 70% are embracing AI to help them achieve efficiencies in planning and in operations, followed closely by automation. Of those companies that are investing in AI, most report they have seen a significant ROI, and nearly two-thirds (63%) believe AI and other technologies will be transformational for their operations.
• Thirdly, American manufacturers recognize the need to invest in talent. As reshoring takes hold and as manufacturers embrace AI and automation, America’s industrial core is becoming more high-tech, and high tech is manufacturing. With it comes the need for a highly skilled workforce, in which today’s most frequently sought skillsets aren’t necessarily machine operator, but instead “software engineer” or “data scientist”.

At Xometry, we are well-positioned to support these transitions. Already, the majority of our U.S. customers choose to manufacture domestically, and through our Marketplace and through Thomasnet, we can help them access more capacity. This presents a unique opportunity for us to help customers navigate the complex and rapidly changing terrain of tariffs and local sourcing strategies, minimizing or eliminating altogether potential disruption to their production.

I co-founded Xometry to champion American manufacturing, and I continue to be deeply optimistic about the future of manufacturing and Xometry’s role in helping customers navigate turbulent times. The acceleration of reshoring, the investments in technology and the next generation of talent are pivotal in shaping our path forward. Together, American manufacturing can not only overcome these obstacles but also emerge stronger and more innovative on the other side.