News and Analysis
OMA: Ohio Positioned to Lead U.S. Manufacturing’s New Golden AgeDecember 22, 2021
In a guest editorial at Cleveland.com, OMA President Ryan Augsburger highlights reasons why Ohio is positioned to lead a “new golden age” for U.S. manufacturing. (Read the editorial online or via PDF.)
Following the release of a new study by the Ronald Reagan Foundation calling for a “manufacturing renaissance” due to America’s intensifying economic and military competition with China, Augsburger writes that Ohio is a leader in workforce development — and that manufacturers continue to invest in the Buckeye State. At the same time, new technologies associated with Industry 4.0 make reshoring a viable option. 12/20/2021
Bill to Fight Organized Retail Crime Moves to Ohio HouseDecember 22, 2021
This week, the Ohio Senate unanimously approved an OMA-supported bill that would require online marketplaces to collect basic information from third-party sellers using their platforms in an effort to stop the sale of counterfeit or stolen goods. Senate Bill 184, which now moves to the House, would help protect manufacturers and their brands, while safeguarding intellectual property. 12/20/2021
What the Infrastructure Law Means for ManufacturersDecember 22, 2021
OMA Connection Partner RSM has published this analysis of what the $1.2 trillion federal infrastructure law means for the manufacturing and energy sectors.
In the short term, manufacturers and producers of metal, lumber, and aggregate materials — along with manufacturers and suppliers of heavy transport parts for buses, trains, and related equipment — will get a significant boost, according to RSM. Industrial companies in the broadband 5G infrastructure space and manufacturers of water delivery system parts are also expected to benefit.
As the number of electric vehicle (EV) charging stations grows, RSM anticipates an accelerated rise in sales for EV manufacturers and their suppliers. 12/21/2021
JobsOhio Reports Record ResultsDecember 17, 2021
This week, at JobsOhio’s quarterly board meeting, Gov. Mike DeWine said the Buckeye State faces a “generational opportunity” to ignite the state’s economy after a record-setting year.
The state’s private economic development corporation is forecasting 31,165 jobs created by the end of the year, and $1.74 billion in new payroll — all-time records for JobsOhio. The number of projects won (403) is another record. Statewide capital investment at $7 billion is down from $7.8 billion in 2020.
Since its founding in 2011 through 2020, JobsOhio executed more than 2,800 economic development projects that attracted 500 new companies to the state, and retained or expanded more than 2,100 existing Ohio businesses. The agreements generated and retained more than 800,000 jobs and secured more than $45 billion in payrolls.
In the decade before House Bill 1, which created JobsOhio in 2011, Ohio had lost more than 230,000 of its critical industrial jobs — an 18% decline. 12/16/2021
Wholesale Prices Grow at Fastest Pace on RecordDecember 17, 2021
U.S. consumer prices continued to rise last month — up 6.8% compared to a year ago, as inflation hit a 39-year high. (See this infographic published by Statista.)
Meanwhile, wholesale prices rose 9.6% from a year ago, the largest increase since the 12-month data were first calculated in 2010. Excluding food, energy, and trade services, the core producer price index increased at a 6.9% pace. (Here’s the producer price index for all manufacturing.)
In an attempt to slow inflation, the Federal Reserve announced this week it would soon end its pandemic-era bond purchases and pave the way for three quarter-percentage-point interest rate hikes by the end of 2022. 12/14/2021
U.S. Productivity Down 5.2% Last QuarterDecember 17, 2021
U.S. business labor productivity, or output per hour, was down 5.2% in Q3, marking the largest decline in quarterly productivity since the second quarter of 1960, according to the U.S. Bureau of Labor Statistics. Manufacturing productivity decreased 1.8% in Q3, with a 0.7% gain in the durable manufacturing sector and a 3.6% decline in the non-durable sector. 12/15/2021
Ohio’s Economic Barometer: Mid-DecemberDecember 17, 2021
Here are the most recent updates of Ohio’s key economic indicators (from a variety of sources):
- Ohio’s unemployment rate is currently 5.1%, compared to 4.6% nationwide. (You can view Ohio’s jobless percentages by county.)
- Ohio’s labor force participation rate currently sits at 61.4%, compared to roughly 64% in mid-2019.
- Ohio’s manufacturing GDP, as of Q2 2021, stood at nearly $117 billion — a new record high.
- At last check, there were roughly 661,000 manufacturing jobs statewide, compared to more than 700,000 in mid-2019.
- The average weekly hours for Ohio manufacturing production employees currently stands at 40.6.
- The average hourly earnings of Ohio manufacturing production employees is $23.
- The average hourly earnings of all Ohio manufacturing employees is $28.78.
Meanwhile, the Back-to-Normal Index, compiled by Moody’s Analytics and CNN Business, shows Ohio’s economy at 96% of its pre-pandemic level. 12/15/2021
U.S. Senators Call for Great Lakes Funding to Address Supply Chain ConcernsDecember 17, 2021
U.S. Sen. Sherrod Brown (D-Ohio) is among a group of senators urging President Joe Biden to prioritize projects affecting the Great Lakes when implementing the new $1.2 trillion infrastructure law. Among the priorities identified in the lawmakers’ letter is the Soo Locks modernization project, which the senators said would help alleviate supply chain issues in the region. 12/13/2021
MAGNET Is Finalist for Build Back Better Regional Challenge GrantDecember 17, 2021
Ohio is in the running for a share of $1 billion in federal funds marked for regional economies recovering from the pandemic. According to the U.S. Department of Commerce, OMA Connections Partner MAGNET — Northeast Ohio’s Manufacturing Extension Partnership (MEP) — has advanced to the second phase of the Biden administration’s “Build Back Better Regional Challenge.”
MAGNET says the funding would be used to “fortify supply chain resilience through the growth of smart manufacturing and advanced materials and a sharp eye toward equitable outcomes.” 12/14/2021
Cincinnati, Cleveland Among America’s Best Christmas Cities, Study SaysDecember 17, 2021
Personal finance site WalletHub has released its “Best Places for Christmas Celebrations” study. Cincinnati is ranked No. 8, while Cleveland is No. 18. In its comparison of the 100 biggest U.S. cities, WalletHub examined 32 key indicators of a safe and affordable Christmas. 12/15/2021