At one time, the United States of America seemed to be sending all its manufacturing jobs east. But now it looks like these positions might be boomeranging back to the west. Why? Because it is no longer all that inexpensive to outsource such positions to China, so there does not seem to be as much point. According to experts from the Boston Consulting Group (Douglas Hohner, Harold Sirkin and Michael Zinser) industries such as furniture and auto will be returning to America as it no longer pays to have them in China.
At one point it was the case that labor was cheaper there – less than $1 per hour – but this has changed along with the significant expansion in China’s economy.