'Rightshoring' topic of symposium

MIRAMAR BEACH, Fla. -- A combination of factors, including increasing labor costs overseas and new technologies, has made the United States, and particularly the Southeast, the hot spot for aerospace manufacturing. That was the message Monday from Kevin Michaels, vice president of ICF International, during the 19th annual Gulf Power Symposium at Sandestin resort. Michael's talk was called "Rightshoring: The New Aerospace Supply Chain Imperative." He said the offshoring trend that began in 2000 has changed, and in 2012 something he calls rightshoring began. That occurred when labor costs outside the United States went up and labor became a smaller portion of the cost of manufacturing. He said one issue that may impact the Southeast is Airbus' request to suppliers to cut costs by 10 percent. He said that might prompt some European suppliers to take another look at the United States as an option. Airbus recently opened its A320 assembly line in Mobile, Ala., a move that has helped reinforce the Southeast as an aerospace hotspot. The symposium continues Tuesday. (Source: GCAC, 10/12/15)