fashion loves people

Yesterday, I heard two exciting reports about manufacturing that is bucking the globalization trend. You could call it the silver lining to high energy costs and the weak dollar.

From NPR’s report on Superior Products Inc., which produces gas fittings in Cleveland:

“When we go overseas now, a dollar-denominated price is something much more competitive — if you are competing against companies that are selling in euros, for instance,” (VP Greg) Gens says. “So there is an advantage as we set up and try to get product into Europe or Southeast Asia.”

… As oil prices climb, shipping cheaply made products from China becomes more expensive. Add to this slowly increasing labor costs in Asia, and many buyers are rethinking the savings they are achieving by purchasing overseas.

An Alex Steffen Worldchanging piece cited a report from The New York Times, followed by his own surmisings, most of which echo the above. I was excited to read:

*Some of the economic advantages of globalization have come from companies gaining the ability to skirt labor and environmental laws by doing business in countries with high levels of political corruption (corruption they have often helped create). But now, transparency activism has blown the cover of secrecy off these practices; now it is easier than ever to cause enormous brand damage simply by revealing an unsavory backstory.

When it’s no longer worth it for corporations to spend their time seeking the lowest possible manufacturing prices in the most remote areas, we all win! Better worker pay, plus a much lower transportation footprint.

Don’t get too excited, we’re not seeing these trends in fashion — yet. But we’ll keep working!