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Post-Pandemic Boom in Manufacturing and Re-shoring Trend

Updated: Aug 20


‘Made in Australia’ Comeback

After decades of offshoring jobs, most businesses are now turning back the clock. Due to this, the ‘Made in Australia’ is gradually making a big post-pandemic comeback. COVID-19 caused much economic turmoil in the supply chains. However, manufacturers are now trying cost-effective solutions to reverse that disruption. They are also taking advantage of the consumers eager to support the local employers in the process.

If Australia starts to add value to the products in addition to shipping raw commodities overseas, it could have a great economical advantage. This new trend of ‘reshoring’ could be worth billions of dollars for the coming five years.

According to Jens Goennemann

The managing director of the Advanced Manufacturing Growth Centre (AMGC), Jens Goennemann says that the pandemic has caused seismic shifts to the economic composition of Australia. He sees manufacturers doing better and trying their best to be globally competitive on home soil. According to him, Australians have to add value onshore in order to be a smart economical country. He sees companies reshoring their production jobs including research, logistics, 3D designing, and distribution, etc.

Moreover, a survey by software provider PROS clearly shows the increasing attention of the majority of the manufacturers to refocus the local businesses.

Consumers surging the Australia-made Products

A $5.8 million company has recently re-shored in Australian-owned Seabin. It uses filters for clearing the plastic out of the waterways like Sydney Harbour. Last year, this company moved its bins from France to Australia with a $400,000 grant from the federal government. It created nine new local jobs.

Pete Ceglinski, the chief executive of this company says that their supply chain has become much more reliable due to nearly situated bins. According to him, doing their job within Australia helped them a lot not only based on logistics but in every aspect. He highlighted the fact that more than three-quarters of the consumers support Australian-made products.

High-tech manufacturing worth billions

The re-shoring trend could provide the advantage of worth billion dollars to the Australian economy. There is a growing opportunity of creating more jobs in addition to the 1.2 million employed people in Australia. The main reason for this proves to be the mine-and-export nature of this country. It has a surplus of minerals and it would be of huge benefit if we start manufacturing the products from these minerals locally.

Moreover, Australians are now innovating and excelling in the high tech automated industries in the field of sheet metal fabrication, laser cutting services, brake press folding, 3D design and drafting services. etc. A multitude of businesses are bringing the work back from China and other overseas location and localising their manufacturing base to attain better control over quality, Service and Ontime Delivery.

Lithium Mining and Business

Lithium is crucial for the development of batteries for electrical vehicles. Australia can gain a very large economical advantage if it starts processing lithium into manufacturing batteries and fuel cells. According to the PROS survey, Western Australia, South Australia, and the Northern Territory could be the best places to take advantage of all these lithium mining opportunities.

When they talked about it, three-quarters of the employees agreed and said that Australia can definitely develop an agile manufacturing base like this. They proved Australia’s technological capabilities to take good advantage through such businesses. Moreover, 90% of respondents confidently accepted the excellent skills of the Australian workforce.


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