Industrial policy is gaining acceptance in the United States, with the federal government implementing several initiatives to promote industrial and innovation strategies. These initiatives aim to revitalize domestic production of critical technologies and ensure that advanced manufacturing capabilities are developed in the country. However, there are challenges inhibiting advanced manufacturing in the United States, such as a lack of institutional infrastructure, coordination between industry, government, and academia, and a decline in manufacturing productivity. The United States must address these weaknesses and reconnect innovation with production to revive domestic manufacturing and strengthen the economy. The country’s historical reliance on its manufacturing prowess and its failure to adapt to new waves of manufacturing innovation have contributed to its decline in the global manufacturing landscape, particularly in comparison to countries like Japan and China.
https://americanaffairsjournal.org/2023/08/americas-advanced-manufacturing-problem-and-how-to-fix-it/