In Allentown and Bethlehem, Pennsylvania, the quiet remnants of America’s industrial glory linger, evoked in Billy Joel’s 1982 song Allentown. Manufacturing, which powered 25% of U.S. jobs in 1970, now accounts for just 8%. As the nation confronts this decline, policymakers are weighing tariffs and trade negotiations, but the path to revitalizing this sector lies in unleashing the innovation and drive of American workers and businesses.
During World War II, manufacturing employed nearly 39% of workers, producing tanks, planes, and ships that secured victory and ended the Great Depression. Postwar, factories turned to consumer goods—cars, appliances, clothing—fueling prosperity through domestic and export sales. These jobs provided stable wages, enabling workers to buy homes and achieve economic security.
The decline began in the 1970s, driven by rising oil prices, competition from Japan and China, and global supply chains. Companies shifted production overseas for lower labor costs and fewer regulations, leaving fewer U.S.-made goods and industrial communities struggling with job losses and economic stagnation.
Some advocate tariffs to raise import costs and boost domestic production. Yet these measures risk raising prices for consumers, disrupting supply chains, and provoking trade conflicts, potentially stifling growth. The real engine of America’s industrial success has never been government intervention but the ingenuity of its people.
From Henry Ford’s assembly line to the tech-driven factories of today, innovation by workers and businesses has driven progress. Trade negotiations that secure fair, open agreements can help manufacturers compete globally, but the focus should be on empowering private investment in cutting-edge technologies, modern factories, and workforce training to meet new challenges.
Manufacturing jobs have long fueled opportunity. In 1914, Ford raised wages so workers could afford his cars, sparking a cycle of production and consumption. Reviving such opportunities can help workers achieve stability and lift communities hit by factory closures. This requires giving Americans the freedom to innovate and pursue their ambitions, not relying on government-led solutions.
America’s industrial past shows the power of manufacturing when fueled by creativity and determination. By fostering fair trade, encouraging private-sector innovation, and trusting in the grit of its people, the nation can rebuild this vital sector for a new era.