The manufacturing industry is once again catching the attention of American companies, with major corporations like Walmart publicly reaffirming their commitment to domestic production.
At the CNBC’s first “Investing in America” forum, Walmart’s CEO in the United States, John Furner, stated that the company is increasing its investments in American-made products and suppliers, calling it a key part of the company’s long-term strategy.
Furner said, “Investing in American manufacturing and operations is not only beneficial for the company, but also for job creation, which in turn benefits the nation by helping us maintain the flexibility and vitality of our supply chain.”
For many years, as manufacturing has shifted overseas, the United States has not only lost numerous factories but also a wealth of skills and expertise that once made the country a global manufacturing powerhouse.
President Trump began advocating for the reshoring of manufacturing to the United States in his first term, promoting a “America First” policy; upon returning to the White House for his second term, Trump further pushed for American companies to bring manufacturing back to the U.S.
In efforts to revive the declining state of American manufacturing, the Trump administration focused on reducing domestic taxes, streamlining regulations, imposing tariffs on foreign products, and attracting dozens of domestic and foreign companies to invest billions of dollars in private capital, all aimed at bringing manufacturing back to the world’s largest economy.
Furner noted that nearly two-thirds of Walmart’s products are manufactured, grown, or assembled in the United States. Walmart is expanding in this direction, such as the new beef processing plant in Olathe, Kansas, which is expected to create over 600 job opportunities.
He stated, “This is a significant investment to have a more stable, high-quality product source and deliver it to customers.”
Furner also mentioned specific products that are being brought back to domestic production, like the recent partnership with U.S. antibiotic manufacturer USAntibiotics to “bring products like amoxicillin back to production in the U.S.”
Despite this, global sourcing remains crucial to Walmart’s operations. Furner said, “We source from around the world, some crops grow better in different climates around the world, such as coffee… I think there’s a lot of potential.”
Public interest in American manufacturing is increasing, while trade policy uncertainty continues to escalate. Tariffs and interest rates remain core factors for retailers to assess inventory levels and pricing, and Furner himself is uncertain about the future prospect of tariffs.
He said, “When policies change, everything changes, the environment changes, it’s a common thing, products change. Currently, the discount rates in the fall are larger than at the beginning of the year, and that’s something we take pride in.”
Despite facing uncertain economic headwinds, Furner stated that Walmart is still working to lower product prices.
He added, “We aim to maintain the lowest prices for as long as possible; what we see is resilient customers who make truly wise choices when shopping and select products that are most suitable for themselves and their families.”