President Joe Biden has been advocating for more factory jobs in the United States, and he’ll be joined Friday by the CEO of technology company Siemens USA to publicly state a $54 million worth in electrical infrastructure equipment. The investment will result in 300 new jobs in California and Texas.
Several manufacturing executives have met with Biden in the last few weeks to discuss their growth plans, including Siemens USA CEO Barbara Humpton.
The investment will create millions of manufacturing jobs
According to senior Biden administration officials who kept insisting on confidentiality to preview the event on the White House campus. The United States has approximately 12.6 million manufacturing jobs, roughly 200,000 jobs short of pre-coronavirus pandemic levels. Despite previous presidents’ promises of a factory boom, the economy had about 17.3 million manufacturing jobs at the start of 2000, when outsourcing to China and other countries quickened as employers sought to reduce costs, ABC News posted.
With supply chains strained due to the COVID-19 outbreak, Biden argues that returning factory jobs to the United States will help remove knots in the distribution chain and keep inflation low. Biden will also detail a final rule related to his “Made in America” executive order from January of last year. To meet the criteria, companies that provide goods to the federal government must have 75 percent of their product content made in the United States by 2029. It is an increase from the previous level of 55%.
Prioritizing American-made products
The federal government spends more than $600 billion on goods and services every year. The administration believes that requiring a higher percentage of American-made parts will increase opportunities for small and medium-sized manufacturers and their employees, including small and underprivileged businesses.
According to US Today, Siemens will spend more than $10 million in Grand Prairie, Texas, to develop its current Smart Infrastructure manufacturing hub. The 25,000-square-foot addition will include a new electric-powered paint line, which will help the facility reduce its carbon footprint by 90%.
The plant produces circuit breakers and equipment that support critical power infrastructure in some of the country’s most vital installations, such as data centers, industrial sites, and healthcare facilities.