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Manufacturing trends change over time. Our economy is constantly changing. Sometimes we’re experiencing growth, sometimes its contractions. Our ability to deal with the changing trends allows us to remain competitive as well as survive the ebbs and flows.

For many years, I’ve watched as a lot of manufacturing jobs have been sent outside the United States to other countries like China, Mexico, etc. This was done in part because it was cheaper to produce manufactured good in those countries since their labor costs were much lower than our own. Some of the other variables for this phenomenon included pressure from shareholders for larger profit margins and corporations having to constantly deal with labor unions who kept threatening to go on strike.

Well, it seems that we have turned a corner in manufacturing jobs leaving the United States. Since November 2002, the value of our Dollar as compared to the Euro, has dropped more than 35%. The European Union and the United States account for the largest bilateral trade relationship in the world. It has now become profitable for the EU to take a serious look at the United States as their source of manufactured goods.

EADS (www.airbus.com/en/), the premiere aerospace company in Europe, outbid Boeing in a USAF contract to build 179 KC-45A tankers worth $40 billion U.S. dollars over the next two decades. EADS has partnered with Northup Grumman to build a wide body jet factory in Mobile, Alabama. The new facility will fulfill the $40 billion dollar USAF contract as well as manufacture A330 freighters for the world market.

Another European company, BMW Group (www.bmwgroup.com), will invest $1billion in the U.S. by 2012 to retain its position in the American car market. “The investments are a clear sign of our strong belief in the potential of the U.S. market. We know that we have to invest in the world’s biggest market if we want to be successful on a worldwide scale,” said Ian Robertson, Member of the Board of Management of BMW AG responsible for Sales and Marketing. “The long term market outlook for the U.S. is positive – even though the country is navigating through a soft economy today. The U.S. will remain by far the leading premium vehicle market in terms of size and impact and we are well prepared to be part of the growth.”

The general consensus is that the current low value of the U.S. dollar will encourage other European Union companies to shift their manufacturing to the United States.