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Trump’s push to revive US manufacturing faces a shortage of skilled workers

As factories return, a shrinking labour pool and lack of training threaten the industrial revival

June 24, 2025 / 15:16 IST
US President Donald Trump

President Donald Trump’s promise to bring back American manufacturing is colliding with a deepening labour crisis: there simply aren’t enough skilled blue-collar workers to power a factory boom. Despite hundreds of thousands of open jobs in the manufacturing sector, companies across the US are struggling to fill positions as baby boomers retire, immigration is curtailed, and young Americans show little interest in factory work, the New York Times reported.

According to the Bureau of Labor Statistics, nearly 400,000 manufacturing jobs remain unfilled — a gap expected to widen as more companies “reshore” production in response to Trump’s tariff policies and calls for economic self-reliance. Yet the workforce needed to support this shift is in short supply.

A long-standing challenge worsens

Manufacturers have flagged the talent shortage as a top concern for years, said Victoria Bloom, chief economist at the National Association of Manufacturers. While trade disruptions and rising costs have recently overshadowed it, the labour gap remains a chronic structural problem.

Economist Ron Hetrick of Lightcast attributes part of the crisis to a cultural bias that discouraged vocational training in favour of college degrees. “We spent three generations telling everybody that if they didn’t go to college, they are a loser,” Hetrick said. “Now we are paying for it. We still need people to use their hands.”

Immigration crackdown narrows the pipeline

The administration’s hardline immigration policies — including moves to revoke deportation protections and reduce legal immigration pathways — have further shrunk the labour pool. Many immigrants had historically filled critical factory roles. Without them, companies must compete for US workers, who often opt for service jobs that offer more comfort and flexibility.

Meanwhile, the skills needed on the modern factory floor have changed. Today’s industrial workers often require technical training and familiarity with software and automation — a far cry from the plug-and-play factory jobs of the 20th century.

A broken pipeline from school to shop floor

Executives at a recent Business Roundtable event described the uphill battle of finding and training qualified candidates. They cited outdated job descriptions demanding college degrees, insufficient outreach to high schoolers, and a vocational education system that hasn’t kept pace with evolving industry needs.

“We have 425,000 technicians today,” said David Gitlin, CEO of Carrier Global. “We are going to need to hire another four to five hundred thousand over the next 10 years.” Yet enrolment in community colleges and vocational programs is declining.

Blake Moret of Rockwell Automation and Sara Armbruster of Steelcase both emphasized the need to recruit students early, showing them that today’s factory work is technologically advanced and well-paying. But for many students, that message never reaches them.

Federal training programs under strain

While Trump has launched the Make America Skilled Again initiative and signed an executive order aiming to create one million apprenticeships, funding cuts may limit its impact. His budget trims $1.6 billion from workforce training — even as demand for such programs grows.

Some programs, like Job Corps — which provides trades training for at-risk youth — have faced steep cutbacks under Trump, despite being a source of workers for major employers like shipbuilder Huntington Ingalls.

Industry’s next move

With few short-term fixes, companies are experimenting with everything from veteran retraining academies to revising hiring standards. But the demographic trends are hard to reverse quickly.

“There is a gap between the available skills and the skills we need,” said Chris Kastner of HII. “Technology is evolving fast, but education and training systems too often lag behind.”

In short, Trump’s industrial agenda may be running full speed into a wall built by decades of policy neglect, cultural stigma around trades, and a shrinking workforce — one that could prove as stubborn an obstacle as any foreign competitor.

Moneycontrol World Desk
first published: Jun 24, 2025 12:55 pm

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