Businesses call for domestic AI, manufacturing

Spread the love

Business leaders on Wednesday called for increased domestic manufacturing and a focus on artificial intelligence in U.S. supply chains.

Melody Richard, vice president of Pantry at Walmart, highlighted the supermarket chain’s $350 billion commitment to U.S. manufacturing through 2031. The commitment is part of a vast array touted by President Donald Trump as part of his effort to bring manufacturing back to the United States.

The administration has touted more than $10.6 trillion in U.S. and foreign investments in what it calls “The Trump Effect.” The investments range from $1.4 trillion from the United Arab Emirates to $600 billion from Apple.

Walmart is not included on the list provided by the White House but Richard said the company is committed to partnering with domestic suppliers in the country.

“I like to think our collaboration is about creating accessibility and affordability, and then exciting customers with great new products, and it happens all the time,” Richard said.

One of those collaborators is Ferrero, a business focused on small packaged sweet snacks like Nutella and Kinder. Michael Lindsey, president of Ferrero North America, said the company has hired more than 1,000 new employees in North America to manufacture more products throughout the country.

“It doesn’t make sense to be shipping sweet packaged foods from around the world into the U.S. environment, so we need to manufacture in the U.S. with U.S. tastes in mind,” Lindsey said.

Lindsey also said he is looking into investments in agriculture to bring more of the supply chain to the United States. He said the company has sought to purchase hazelnuts from Oregon in order to reshore consumer demand.

“Just to set the expectation for where hazelnuts are, we need to grow them in America,” Lindsey said. “Ferrero buys 1/3 of the world’s hazelnuts. So we’ve invested in a big way in hazelnuts in Oregon.”

Leaders also called for a greater reliance on artificial intelligence to increase access to the supply chain. Dayna Grayson, co-founder of Construct Capital, said physical AI and robotics is the biggest area where companies are looking to invest.

However, Grayson said robot development in the supply chain is still in the early stages and not yet capable of replacing humans.

“It’s the ability to replicate what only humans can do, which is very, very hard if you think about it; the way we sense, the way we touch, the way we lift,” Grayson said. “AI has been a big word in the digital space for three or four years. It has been a sort of elusive word in the manufacturing and the physical industry spaces, and now I think it’s becoming a big word.”

However, Kevin O’Hanlan, vice president of North America Government Relations at the Global Electronics Association, said manufacturing resources to invest in AI and robotics will be difficult.

O’Hanlan said President Donald Trump’s tariffs on foreign countries like Vietnam have made it difficult for the U.S. to move away from manufacturing in China. He said companies appear to be waiting on the Trump administration’s tariff policies to end rather than making investments in new areas.

“A lot of companies are making a very difficult decision to deal with this delay in getting products to market versus trying to make an uncertain investment decision,” O’Hanlan said.

O’Hanlan pointed out that many graduates in the United States are not interested in electronics manufacturing, which he said has contributed to overseas investments. He said most people are drawn to big companies like Apple, Google and Meta, which leaves smaller electronic companies without workers to develop.

“Frankly, we just need more people, and that’s part of what we’re doing in the association, it’s not just the people, but demystifying the career path,” O’Hanlan said. “This is a career field where you’ve got infrastructure, you’ve got mobility, you’ve got the ability to really, really build a good life where you want to build a good life with the skill set.”

Leave a Comment





Latest News Stories

POLL: Voter inflation concern hits record high as prices keep climbing

POLL: Voter inflation concern hits record high as prices keep climbing

By Brett RowlandThe Center Square Voter concern about inflation and prices has surged to its highest level since The Center Square began tracking the issue. According to The Center Square...
Illinois Quick Hits: Storms cause damage, closures

Illinois Quick Hits: Storms cause damage, closures

By Jim Talamonti | The Center SquareThe Center Square (The Center Square) – Severe storms on Wednesday caused damage in many areas around Illinois, including the state fairgrounds in Springfield....
Oil prices continue steady decline after Trump declares Project Freedom a success

Oil prices continue steady decline after Trump declares Project Freedom a success

By Morgan SweeneyThe Center Square The price of Brent crude oil continued a steady decline Thursday, a day after President Donald Trump announced that a secret U.S. military mission has...
Washington high court: State will strip gun rights after two DUIs

Washington high court: State will strip gun rights after two DUIs

By Andrew PaxtonThe Center Square The Washington State Supreme Court has ruled that individuals convicted of two driving under the influence offenses within seven years will be stripped of their...
Extension of pension buyout program to drop $144B liability

Extension of pension buyout program to drop $144B liability

By Sean Reed | The Center SquareThe Center Square (The Center Square) – The Illinois General Assembly passed legislation extending a program that allows retiring state employees to be paid...
Man pleads guilty in killings of Minnesota House speaker, husband

Man pleads guilty in killings of Minnesota House speaker, husband

By Elyse ApelThe Center Square A Minnesota man has pleaded guilty to killing Minnesota House Speaker Emerita Melissa Hortman and her husband, Mark. Vance Boelter appeared in federal court Thursday...
Fraud, price gauging, terrorism concerns plague World Cup debut in US

Fraud, price gauging, terrorism concerns plague World Cup debut in US

By Bethany BlankleyThe Center Square With the largest World Cup sporting event taking place in history in the United States, the Fédération Internationale de Football Association (FIFA) is already under...
Trump cancels impending strikes on Iran, final deal pending

Trump cancels impending strikes on Iran, final deal pending

By Sarah Roderick-FitchThe Center Square Strikes planned against Iran for Thursday evening have been canceled by President Donald Trump, citing a deal with the Islamic Republic close to being finalized....
FBI arrests eight accused of 'terrorizing' U-M leaders, Jewish Federation

FBI arrests eight accused of ‘terrorizing’ U-M leaders, Jewish Federation

By Elyse ApelThe Center Square Federal authorities have arrested eight people connected to the University of Michigan after a federal grand jury indicted them for threatening university officials, businesses and...
Colorado's only ICE detention center operator sues state

Colorado’s only ICE detention center operator sues state

By Zachery SchmidtThe Center Square Colorado’s new law allowing for more inspections at immigration detention centers is being challenged by a company that runs the state’s lone facility. The GEO...
U.S. House fails to renew spy powers authority as World Cup begins

U.S. House fails to renew spy powers authority as World Cup begins

By Thérèse BoudreauxThe Center Square A U.S. House vote to extend the federal government’s authority to conduct mass electronic surveillance failed Thursday. The three-week extension of Section 702 of the...
House panel opposes adding U.S. Supreme Court justices

House panel opposes adding U.S. Supreme Court justices

By Zachery SchmidtThe Center Square The U.S. House Committee on the Judiciary recently passed an Arizona congressman's resolution to keep the number of Supreme Court justices at nine. H.J. Res....
Schools face bus funding, cost challenges

Schools face bus funding, cost challenges

By Jim Talamonti | The Center SquareThe Center Square (The Center Square) – Public schools are facing bus transportation challenges due to higher costs and a shortage of drivers. State...
Ohio pulls 1,200 commercial truck licenses for immigration guidelines

Ohio pulls 1,200 commercial truck licenses for immigration guidelines

By David BeasleyThe Center Square The state of Ohio is downgrading the commercial driver’s license of 1,200 foreign-born truck drivers for failing to meet new federal requirements on documenting proof...
First fugitive on FBI's 'Most Wanted Fraudsters' list surrenders in Minneapolis

First fugitive on FBI’s ‘Most Wanted Fraudsters’ list surrenders in Minneapolis

By Elyse ApelThe Center Square Federal authorities announced the first arrest from the FBI’s newly-launched “Most Wanted Fraudsters” list was made in Minneapolis. Said Abdullahi Ereg, who was indicted in...