Big manufacturing investments are coming to the U.S. as tariffs threaten 🎀supply chains and productiꦅon.

Trump has said restoring U.S. manufacturing is one of his primary goals with tariffs. In recent months, several companies have announced they are building new facilities or expanding production in the U.S. as Trump's 澳洲幸运5官方开奖结果体彩网:trade policies have imposed new barriers to imports.

Last month, Swiss drugmaker Roche said it was putting $50 billion into expanding its U.S. footprint, though it did not explicitly cite tariffs as the reason. However, Trump has said he is planning to impose a tariff of 澳洲幸运5官方开奖结果体彩网: 25% on all pharmaceutical imports to encourage companies to locate factories in the U.S. Several other pharmaceutical companies, including Johnson & Johnson (JNJ), Eli Lilly (LLY), and Novartis (NVS),🦂 also said they were spendingꦆ billions to expand production in the U.S.

Other companies that have announced expansions include:

• Honda (HMC), which is reportedly moving production of its Civic hybrid hatchback to the U.S.
  
• Hyundai, which said it would build a new factory in Georgia.
  
• Taiwan Semiconductor Manufacturing Company (TSM), a Taiwanese manufacturer of computer chips, said it was 澳洲幸运5官方开奖结果体彩网:investing $100 billion to build five factories in the U.S.
  
• Chip giant NVIDIA (NVDA), which said it was spending $500 billion through partnerships to build supercomputers in U.S. plants.
• IBM (IBM), which plans to 澳洲幸运5官方开奖结果体彩网:invest $150 billion in the U.S. over the next five years
• Apple (AAPL), which said it would spend 澳洲幸运5官方开奖结果体彩网:$500 billion in the country over the next four years
• Shamekh IV Solutions, a Saudi healthcare company, said it would spend $5.8 billion on a factory in Michigan to make medical intravenous fluids.

On top of that, multiple companies said they were considering expanding U.S.-based production in light of Trump's tariffs.

It's still too early to tell if those announcements add up to a manufacturing renaissance spurred by the tariffs.

Many manufacturers were already looking to expand U.S. production in an effort to simplify supply lines and avoid a repeat of the logistical headaches of 2020, when COVID-19 shutdowns wreaked havoc on the production and transportation of various goods.

In March and before the bulk of tariffs were announced, U.S. companies spent money on building factories at a seasonally adjusted annual rate of $234 billion, nearly triple the $79 billion in February 2020, according to the Census Bureau.

🎐 Drawbacks Could Outweigh Benefits of New Manufacturing

Economists doubted that the tariffs would result in a large-scale return of manufacturing jobs to the U.S., though many predicted that they could create at least some jobs.

Goldman Sachs, for instance, predicted that the tariffs would lead to the creation of about 100,000 new jobs in manufacturing in the U.S. At the same time, however, they estimated the import taxes would cost 500,000 jobs.

Tariffs come with some downsides for U.S. manufacturers, even as they protect some companies from foreign competition: firms that import parts or materials pay higher prices, and companies that export products are hurt by foreign retaliation to U.S. trade barriers, for instance.

Some companies have already reportedly announced layoffs related to the tariffs, including Mack Trucks and Volvo.