Experts share feedback on National advanced manufacturing strategy

The Information Technology and Innovation Foundation (ITIF), an independent, nonpartisan research institute, has provided feedback to the administration regarding the development of a National Strategic Plan for Advanced Manufacturing. 

ITIF highlights the profound transformation poised to occur through a wide range of digital technologies, including Artificial Intelligence (AI) applications, digital twins, the Internet of Things, cloud computing, and advanced robotics.

These digital tools are rapidly becoming central to the sector, with digital services already accounting for 25 percent of manufacturing inputs. 

Analysts project that widespread manufacturing digitalization could boost overall global factory productivity by up to 25 percent, potentially adding $10 to $15 trillion to global GDP over the next two decades. 

Benefits are expected across the board, including significant improvements in energy efficiency, operating efficiency, and cycle times.

While nearly all large multinational manufacturers have initiated digital transformation efforts, the adoption rate remains significantly lower among small- to medium-sized enterprises (SMEs). 

For instance, a 2024 survey found that while 56 percent of US SMEs were using automation, only 28% were utilising AI.

Furthermore, the US significantly trails global leaders in robotics deployment, a critical cross-cutting automation tool. 

The United States ranks tenth globally in industrial robots per 10,000 workers, having been surpassed by nations like China, which has installed more industrial robots than the rest of the world combined in recent years. 

ITIF strongly recommended developing a national strategy for robotics, expanding investments in commercially oriented research and development, and encouraging greater corporate adoption of industrial automation.