US Manufacturing Revitalization Research On The Impact Of China’s Economy

The financial crisis hit American economy seriously in2008, resulting in a sharp shrink in market, urging USA profoundly reconsidering the relationship between manufacture industry and service industry. The importance of entity economy, represented by advanced manufacture industry, has shown. To realise economic recovery, it is essential to abandon financial innovation and returning to entity economy, developing manufacture, realising the transformation from virtual economy to entity economy. Under this consideration, US president Obama raised the slogan "revitalization of developed countries’manufacturing" strategy, hoping through the efforts from government and enterprises, the result of developing manufacture, enlarging export, increasing domestic employment could dispense the dilemma of sluggish growth. Since the consistency for the upgrading direction of our country’s industry structuring and the development of rebuilding US manufacturing, with existed fierce competition and extrusive relationships, the return of US manufacturing will undoubtedly have an impact on our economy.This paper analyses the background of the structural disequilibrium of USA, and reaches the conclusion that the competitiveness of US manufacturing has sharply decreased, through GDP weight of manufacturing, manufacturing export and the ability of creating employment. On this basis, this paper organises the framework and detailed measures of US manufacturing returning strategy, further, utilises data to analyse the effectiveness of manufacturing returning. The results indicates that the positive effects to manufacturing are indeed created, including the increase of manufacturing weight, the enlargement of high-tech production, the significant increase of recruited employees in durable goods, the increasing export value of high-tech products and other advanced manufactured products, etc. Then, the paper reveals the consequences of China-US trade and investment triggered by manufacturing return. For China-US trade, the imbalance between two sides has eased such as more trade conflicts have emerged from our export to US, our export-related interest and employment has been affected. As to China-US investment, two main aspects, a decreasing speed on US investment side and a serious trend for China to US investment, have emerged. Finally, this paper analyses the implications and measurement for our country, raises the suggestions including improving manufacturing innovation ability, decreasing the over-dependence of US market etc.