The Future of Manufacturing in New York
Randy Wolken, President & CEO
I’m often asked to assess the future of manufacturing in the upstate region and New York State as a whole. For decades, I was compelled to give a nuanced answer because of the challenges and opportunities manufacturers face here. Now, I can say that manufacturing is poised for significant growth in New York State. Our expansion here will also contribute to meaningful growth in manufacturing for the entire country.
What’s different now? The pandemic and the nation’s recovery has changed our view of the manufacturing world. Our country now knows we must make critical products here in the United States. Disruptions in extended supply chains during the pandemic taught us that our national and economic security is tied to our ability to design and make essential products stateside. During reoccurring international crises, we cannot rely on the rest of the world for items of both national and economic importance that we need produced. This includes semiconductor chips and the essential products that they’re required for. Extended supply chains in countries like China threaten our ability to respond as needed and because of this, we must reassert the United States as the world’s greatest manufacturing nation.
Collectively, our nation knows we need to regain our strategic manufacturing capabilities. For instance, our federal government agreed to massive investments in semiconductor production capacity to build essential computer chips right here in the U.S. This investment is helping to fund new chip fabs and greatly enhancing our ability to make the vital products that drive our national and economic security. Just last week, Micron finalized its U.S. Chips Act award. We can no longer be held back by semiconductor chips made in Southeast Asia. New York State is poised to be the home of general semiconductor production and advanced manufacturing facilities. These high-tech, advanced manufacturing facilities fit right into our sweet spot. Micron’s commitment to building four chip fabs at an estimated cost of over $100 billion is just one example of our bright future. As a state, New York makes sophisticated manufactured products and critical raw materials such as steel, copper, and aluminum and our supply chain capabilities are second to none in the U.S.
Even more critical, our workforce is among the most educated due to an extensive and outstanding elementary through graduate school education system. We also have significant technical schools and apprenticeship systems in place. As a result, we can meet the substantially increased need for a technical and highly educated workforce—this is essential to growing existing manufacturing facilities as well as attracting future ones. The world of manufacturing is fast approaching its desired Industry 4.0 technical capabilities. All future manufacturers will use the latest in robotics, artificial intelligence (AI), virtual and augmented reality, and automation to produce every product. This type of manufacturing requires what we have here in New York State: the people, the know-how, and an unmatched commitment to manufacturing excellence.
Over the years, I have supported efforts to attract sophisticated manufacturing operations to New York State. We discussed with them the appeal of Upstate New York for manufacturing growth. During this time, I saw how we stacked up against other manufacturing regions in the country. We stand out when you compare what we have to different areas of the U.S. Upstate New York has abundant water, a readily available energy supply, is becoming increasingly greener, and has attractive manufacturing locations available. Also, as I just described, we have a ready, expanding, and highly educated workforce. We know how to make sophisticated products and have key supply chain manufacturers. State and local governments are our partners in securing what is needed to expand and locate manufacturing facilities here. Overall, it’s impressive to see how far we’ve come. As a state, we’re ready to once again assume our leading role in global manufacturing.
New York is a premier destination for many manufacturers who want to make the U.S. their home. MACNY is grateful to be a part of the ecosystem that supports manufacturing excellence throughout New York State. We’re committed to being your partner as you grow and will continue to assist in attracting new manufacturers to New York who want to thrive in today’s 21st-century manufacturing landscape. It’s an exciting time for manufacturing in New York State!