Manufacturing job growth accelerates under Trump-era reshoring and tax incentives
A White House Council of Economic Advisors report says 72,000 manufacturing jobs were added in 2026, driven by reshoring policies and tax breaks.
According to a Council of Economic Advisors analysis, 72,000 manufacturing jobs were created in 2026, reversing a loss of 200,000 jobs during the previous administration. The turnaround is linked to President Donald Trump's reshoring agenda and the One Big Beautiful Bill Act, which grants a 100% tax deduction for expenses related to new factories and machinery. Firms like Ohio-based Jergens and North Carolina’s Ketchie Inc. report workforce growth and higher overtime participation after using the tax incentive.
Manufacturing workers’ pay has risen roughly 7.9% since January 2025, equating to about $2,500 more annually after inflation adjustment. The report also notes 100,000 new construction jobs and major investments in semiconductor, pharmaceutical, and automotive sectors, totaling $11 trillion in one outlet term.
Why it matters
The surge in manufacturing jobs signals a shift in U.S. economic policy toward domestic production and higher wages.
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