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High unemployment numbers and tight household budgets still plague many Americans, but one surprising finding in the aftermath of the Great Recession is a new-found appreciation for product that is "Made in America."
This is not a hackneyed grab for patriotism through product emblazoned with the American flag, but instead a realization that product made in this country can mean jobs. Manufacturing, delivery, sales and marketing jobs.
For Chicago-based IAG, which has eight factories and 14 brands that are made in the U.S., domestic production is nothing new.
"Do I believe in 'Made in America'? You better believe I do," says Joe Blair, president and chairman. "The recession has brought people back to 'Made in America' and the importance of it. It's not tough at all to promote American-made product. And while we're having economic issues, this is probably the best time to do it. There's no question politicians should be standing on it as a platform. And for retailers it's the easiest thing to capitalize on: authenticity and the heritage approach to retailing. What better than to work with American companies?"
Among consumers who say it is "very or somewhat important" that the apparel they buy is made in the U.S., 87% say it is because they "prefer to support the U.S. economy," according to the Cotton Incorporated Lifestyle Monitor™ Survey.
Despite this consumer interest in American-made product, just 4% of apparel available at U.S. stores is made in the country, according to the Cotton Incorporated Retail Monitor™ Survey.
The winds may be starting to shift, though. Paul Krugman, Princeton economist and op-ed columnist for The New York Times, writes, "The manufacturing trade deficit seems to be coming down... and further improvements are in the pipeline."
Krugman says the fact that the U.S. dollar has fallen against other currencies has helped give U.S.-based manufacturing a cost advantage. The Monitor finds more than half of all consumers (56%) say it is "very or somewhat important" to them that the apparel they buy is "made in the USA." Consumers ages 35-to-70 are significantly more likely than younger shoppers to value American-made product (66% versus 40%).
The "Made in America" discussion reached the houses of Congress this year when U.S. Rep. Nick Rahall, (D) West Virginia, introduced the "Buy American at the Smithsonian Act of 2011" because some souvenirs in the gift shop of the capital's museum read "Made in China."
"Americans often seek out products that are made in America, and I think most are willing to pay a little extra if they know the money will support American jobs," Rahall said.
Aside from the economic boost, 24% of Monitor respondents say it is important that the clothes they buy are "Made in the USA" because they believe apparel made here is more environmentally friendly.
Blair agrees, saying domestic manufacturing means less shipping, which results in "greener" transportation. He points out another boon to manufacturers: "We get lower transportation costs, to say the least, instead of going to Asia. And there's very quick turnaround, so stores get a quick response with their in-stock programs."
Dorothy Williams, designer of Luminaa New York's collection of women's wear, says U.S. manufacturing may help reduce the industry's carbon footprint, and use resources more efficiently.
"There is opportunity to create new ways of reducing waste -- especially fabric waste, which is a huge issue. Handling these issues by coming up with innovative solutions can create new jobs and, at the same time, maintain responsible and safe ways of producing here in the U.S."
Another 38% of consumers say it is important that the clothes they buy are "Made in the USA" because they believe that apparel made here is better quality, according to Monitor data.
Says Blair, "There is no question in my mind that the quality of product from companies that produce in America is not only equal, but superior, to what we see in Asia."
Three Dots has been producing in California for 15 years.
"Having the best fabric, fastidious construction and perfect fit, made the clean and effortless tee an instant success," says Liz Garcia, spokesperson. "In order to meet the demands of the business, [owner Sharon Lebon] felt it was best to keep production in America where she could closely monitor every aspect of the new company."
Designer Kevin Stewart oversees production of his Roger Charles New York men's shirt collection, in Newark, NJ, where it has been handcrafted since 2006. He says he feels a great deal of pride in making his product stateside, especially as he wanted to "be part of a solution to our economic situation, rather than aid in the problem of sending work abroad."
However, Roger Charles shirts are sold outside of the U.S.
"I felt that the world outside of the United States wanted a product that was 'Made in the USA.' This came true with our first online sale being shipped to Milan," Stewart says.
Despite the increased interest in American-made product, more ground needs to be recovered. A March report by IHS Global Insight put China's manufacturing output ahead of the U.S. for the first time ever, at $2 trillion in 2010, compared with $1.95 trillion for the U.S. That's up from $1.69 trillion for China and $1.733 trillion for the U.S. in 2009, based on U.S. and Chinese government data.
But the "Made in America" tune seems to be catching among the apparel sector. There is Earnest Sewn, which has always designed, washed, finished and shipped its premium denim from Los Angeles. Other companies like Fidelity Denim and Karen Kane have moved production from Asia to L.A. And after successfully linking up with both Brooks Brothers and J. Crew for "Made in the USA" denim lines, Levi's now offers U.S.-made men's denim; women's is to follow.
Due to high interest in California-based manufacturing, the California Fashion Association launched CaliforniaFashionManufacturing.org. Its list of Los Angeles companies helps designers find pattern makers, factories and others involved in making clothes within the city.
On the opposite coast, designer Nanette Lepore, who produces 85% of her products in New York City, co-founded the Save the Garment Center campaign. It aims to "preserve, promote, and strengthen fashion companies, brands, factories, and suppliers in New York City who design and produce quality clothing in the Garment District and in New York City."
With support and dedication from the retail industry, "Made in America" may no longer be such a foreign idea.
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