factory
Apr 01, 2025
manufacturing net
A U.S. bankruptcy court judge has denied Johnson & Johnson's settlement plan related to baby powder containing talc, providing another setback in the company's efforts to resolve the matter.
This is the third bankruptcy case for a J&J company as it relates to the baby powder issue.
Red River Talc LLC, a J&J subsidiary, was seeking confirmation of a proposed prepackaged Chapter 11 bankruptcy plan that would have been one of the biggest mass tort settlements in history, if approved. Red River and J&J proposed to pay $9 billion to settle ovarian cancer and other gynecological cancer litigation claims based on talc-related products.
But Judge Christopher Lopez of the U.S. Bankruptcy Court for the Southern District of Texas, Houston division said in a court filing that J&J used a faulty voter solicitation process when dealing with personal injury claimants.
J&J said in a statement that it will not pursue an appeal, and instead will return to the civil law system "to litigate and defeat these meritless talc claims." It will also reverse about $7 billion of a previous reserve.
The company said that it has settled 95% of filed mesothelioma lawsuits, concluded all state consumer protection claims, and all talc-supplier disputes.
Last year a subsidiary of J&J proposed to pay approximately $6.48 billion over 25 years as part of a settlement in the U.S. to cover allegations that its baby powder containing talc caused ovarian cancer.
The lawsuits filed against J&J had alleged its talcum powder caused users to develop ovarian cancer through use for feminine hygiene, or mesothelioma, a cancer that strikes the lungs and other organs.
The claims contributed to a drop in J&J's sales of baby powder, prompting the company to stop selling its talc-based products in 2020. In 2022, J&J announced plans to cease sales of the product worldwide.
J&J said at the time that the reorganization plan for the subsidiary was significantly different from a previous reorganization that was announced. The company said that the plan would resolve 99.75% of all pending talc lawsuits against it and its affiliates in the U.S.
At the time, J&J said that the remaining pending personal injury lawsuits that relate to mesothelioma would be addressed outside of the plan.
Shares of J&J declined more than 3% before the market open on Tuesday.
4
Recent CommentsJD
JD
John Doe1 week ago
Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius! Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius! Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius! Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius!
100
JDJD
2repliesJD
John Doe1 week ago
Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius! Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius! Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius! Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius!
100
JDJD
2repliesJD
John Doe1 week ago
Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius! Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius! Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius! Lorem ipsum, dolor sit amet consectetur adipisicing elit. Repudiandae, exercitationem earum hic numquam assumenda voluptatem velit nemo consequatur sed, ullam, iste porro vitae eius placeat dolorum dolore dolor! Inventore, eius!
100
JDJD
2replies
Hellenic shipping news
Us Factory Orders Rise Solidly In Februaryin World Economy News
03/04/2025
New orders for U.S.-manufactured goods increased solidly in February, likely as businesses front-loaded orders ahead of tariffs.
Factory orders rose 0.6% after an upwardly revised 1.8% rebound in January, the Commerce Department’s Census Bureau said on Wednesday. Economists polled by Reuters had forecast factory orders would climb 0.5% after a previously reported 1.7% advance in January. Factory orders gained 1.5% on a year-on-year basis in February.
Manufacturing, which accounts for 10.2% of the economy, could be crippled by President Donald Trump’s barrage of tariffs since returning to the White House in January.
Trump promised to announce global reciprocal tariffs on Wednesday, which he has dubbed “Liberation Day.” He sees tariffs as a tool to raise revenue to offset his promised tax cuts and to revive a long-declining U.S. industrial base. Economists disagree and view the import duties as harmful.
An Institute for Supply Management report on Tuesday showed its manufacturing PMI slipped back into contraction territory in March after two straight months of expansion, with businesses overwhelmingly expressing concerns about tariffs.
Domestic manufacturers rely heavily on imported raw materials. The import taxes are expected to increase production costs, which are passed on to buyers of the finished products. Companies could also lay off workers to protect profit margins.
Commercial aircraft orders slipped 5.0%. Orders for motor vehicles, parts and trailers increased 1.9%. Transportation equipment orders advanced 1.5%. Orders for computers and electronic products were unchanged, while those for electrical equipment, appliances and components rebounded 1.9%.
Machinery orders increased 0.6%. Excluding transportation equipment, factory orders rose 0.4%.
The government also reported that orders for non-defense capital goods excluding aircraft, which are seen as a measure of business spending plans on equipment, fell 0.2% in February rather than 0.3%, as estimated last month.
Shipments of core capital goods jumped 0.8%, revised down from the previously reported 0.9%. Business spending on equipment is expected to rebound in the first quarter after contracting in the fourth quarter.
Source: Reutersport-and-ship
03 April 2025
assembly magazine
Waaree Starts Solar Module Production At Us Assembly PlantBROOKSHIRE, TX—Waaree Solar Americas has begun production of photovoltaic modules at its new assembly plant here.
A subsidiary of Indian solar panel manufacturer Waaree Energies Ltd., Waaree Solar Americas has become the first Indian company to establish a photovoltaic module factory in the United States. Initially, the factory will have the capacity to produce enough solar panels each year to generate 1.6 gigawatts of electricity.
Looking for a reprint of this article?
From high-res PDFs to custom plaques, order your copy today!
Already have an account? Sign In
You must have JavaScript enabled to enjoy a limited number of articles over the next 30 days.
Returning for its third year, The ASSEMBLY Show South is the premier event for assembly technology, featuring expert-led sessions, product demos, and valuable networking opportunities—all in the heart of Nashville’s thriving manufacturing hub.
For webinar sponsorship information, visit www.bnpevents.com/webinars or email webinars@bnpmedia.com.factory
02 April 2025
industry week
Business Sentiment Snapshot: Industry Worries Skyrocket Ahead Of Trump’S “Liberation Day” Tariff AnnouncementsDuring the first few months of his second term, President Donald Trump has pushed an extremely aggressive tariff policy, targeting U.S. allies and adversaries alike, a strategy that many in the business community have called erratic, as the president has continually delayed, reinstated, boosted and threatened various tariffs.
His most recent and bold proposition is sweeping reciprocal tariffs to be announced Wednesday, a day Trump has called “Liberation Day,” claiming on his Truth Social platform that other countries have been taking advantage of the U.S., and the tariff announcements will reshore manufacturing, making the country more independent.
Corporate concerns about tariffs have crept into many economic indicators in recent weeks. Business leaders have complained about a lack of certainty due to the rapid changes, saying the back-and-forth announcements have made long-term planning difficult.factory
02 April 2025
Battery News
Panasonic And Sumitomo To Launch Nickel Recycling ProjectPanasonic Energy and Sumitomo Metal Mining are planning a new process to recover nickel from lithium-ion battery production waste. The goal is to create a closed-loop economy in which recycled nickel is re-used in cathode materials for batteries. The process will initially be applied to production scrap from PanasonicĘĽs Osaka plant. Sumitomo Metal Mining will process the material at its facilities at the Niihama Nickel Refinery in Ehime Prefecture. The resulting nickel sulfate solution will be used as a raw material for new batteries.
The companies are focusing on so-called urban mining strategies, in which valuable materials are recovered from used products. According to Panasonic Energy, the process will help reduce carbon emissions and enable a 20-percent share of recycled cathode material in electric vehicle batteries by 2030. Expansion to other materials such as lithium and cobalt is planned after 2026.
Source:https://news.panasonic.com/global/press/en250331-3factory
02 April 2025
Property Week
Rula Snaps Up East Midlands Site For Business Park SchemePAID CONTENTfactory
02 April 2025
Property Week
Opdc Appoints Hemiko As Development Partner For North London Heat NetworkPAID CONTENTfactory
02 April 2025
Property Week
Maro Secures Consent For Merseyside Logistics WarehousePAID CONTENTfactory
02 April 2025
industry week
Nano Dimension Completes Desktop Metal PurchaseFollowing nearly three years of offers and counter-offers, the hard-fought merger fights between additive manufacturing companies appears to be nearly over with Nano Dimension's $179 million purchase of Desktop Metal. At one point during the 2023 additive merger movement, Desktop Metal fetched a $1.8 billion takeover offer.
"Combined, Nano Dimension and Desktop Metal expect revenue for 2024 ended Dec. 31 of more than $200 million, based on unaudited full-year results, according to an April 2 release from Nano Dimension, whose U.S. headquarters is based in Waltham, Massachusetts," write Smart Industry Managing Editor Scott Achelphol and Endeavor Business Media Editor-at-Large Geert De Lombaerde.
Click here for the full article and some background on the additive merger saga.factory
02 April 2025
industry week
Rebooting Operational Excellence At Barry-WehmillerMany manufacturers treat continuous improvement like free samples at Costco — tasting a little bit of this and a little bit of that to see what they like. That can lead to good results, but a risk is never buying the full portion and getting the benefits of those savings.
That was the case for century-old manufacturer Barry-Wehmiller. The St. Louis-based maker of highly engineered industrial equipment, such as box-making machines and tools for filling bottles with liquids, had lots of lean tools available to its divisions, but efforts revolved around sampling — trying a bit of this and a bit of that to solve individual problems, rather than focusing on the whole. The result: uneven gains across the 12,000-plus member strong organization.factory
02 April 2025
industry week
Trump Unveils Sweeping Global TariffsU.S. President Donald Trump on Wednesday unveiled a raft of punishing tariffs targeting countries around the world including some of its closest trading partners, in a move that risks sparking a ruinous trade war.
Speaking in the White House Rose Garden against a backdrop of U.S. flags, Trump slapped the most stinging tariffs on China and the European Union on what he called "Liberation Day."
The dollar fell 1% against the euro and slipped against other major currencies as Trump was speaking.
Trump reserved some of the heaviest blows for what he called the "nations that treat us badly," including 34% on goods from superpower rival China, 20% on key ally the European Union and 24% on Japan.
But the 78-year-old Republican -- who held up a chart with a list of levies -- said that he was "very kind" and so was only imposing half the amount that those countries taxed U.S. exports.
For the rest, Trump said he would impose a "baseline" tariff of 10%, including Britain.
An audience of cabinet members, as well as workers in hard hats from industries including steel, oil and gas, whooped and cheered as Trump said the tariffs would "make America wealthy again."
"This is Liberation Day," Trump said, adding that it would "forever be remembered as the day American industry was reborn, the day America's destiny was reclaimed."
Sweeping auto tariffs of 25% that Trump announced last week are also due to take effect at 12:01 a.m. Thursday.
'Golden Age'
Trump has telegraphed the move for weeks, insisting tariffs will keep the United States from being "ripped off" by other countries and spur a new "Golden Age" of American industry.
But many experts warn the tariffs risk triggering a recession at home as costs are passed on to U.S. consumers and a damaging trade war abroad.
The world has been on edge ahead of Trump's announcement.
Markets have been volatile as investors hedged their bets, and the announcement came after Wall Street stocks closed.
The tariffs will also reinforce fears that Trump is backing even further away from U.S. allies towards a new order based on a vision of American supremacy.
U.S. trading partners have vowed swift retribution, while also trying to persuade Trump to reach deals to avoid tariffs in the first place.
Germany warned Wednesday that trade wars hurt "both sides."
The European Union will react to new Trump tariffs "before the end of April," said a French government spokeswoman.
The 27-nation bloc's initial salvo would counter U.S. actions on steel and aluminum, followed by sector-by-sector measures.
British Prime Minister Keir Starmer said a "trade war is in nobody's interests."
"We have prepared for all eventualities -- and we will rule nothing out," he told parliament.
Recession Fears
Trump has had a long love affair with tariffs, insisting in the face of experts that they are a cure-all for America's trade imbalances and economic ills.
The billionaire insists the levies will bring a "rebirth" of America's hollowed-out manufacturing capacity, and says companies can avoid tariffs by moving to the United States.
But critics say U.S. businesses and consumers could bear the burden if importers pass on the cost, adding that the policy could increase risks of a recession.
"If this trade war continues through Labor Day (on Sept. 1), the U.S. economy will likely suffer a recession this year," Mark Zandi, chief economist of Moody's Analytics, told AFP.
Negotiations are likely to continue though as countries seek to halt the tariffs.
Trump has previously been persuaded to halt tariffs on neighbors Canada and Mexico while trade talks continued.
He ordered levies on both on the grounds that they had failed to stop the flow of the deadly opioid fentanyl into the U.S.
All rights reserved ©2025 Agence France-Presse
U.S. President Donald Trump on Wednesday unveiled a raft of punishing tariffs targeting countries around the world including some of its closest trading partners, in a move that risks sparking a ruinous trade war.
Speaking in the White House Rose Garden against a backdrop of U.S. flags, Trump slapped the most stinging tariffs on China and the European Union on what he called "Liberation Day."
The dollar fell 1% against the euro and slipped against other major currencies as Trump was speaking.
Trump reserved some of the heaviest blows for what he called the "nations that treat us badly," including 34% on goods from superpower rival China, 20% on key ally the European Union and 24% on Japan.
But the 78-year-old Republican -- who held up a chart with a list of levies -- said that he was "very kind" and so was only imposing half the amount that those countries taxed U.S. exports.
For the rest, Trump said he would impose a "baseline" tariff of 10%, including Britain.
An audience of cabinet members, as well as workers in hard hats from industries including steel, oil and gas, whooped and cheered as Trump said the tariffs would "make America wealthy again."
"This is Liberation Day," Trump said, adding that it would "forever be remembered as the day American industry was reborn, the day America's destiny was reclaimed."
Sweeping auto tariffs of 25% that Trump announced last week are also due to take effect at 12:01 a.m. Thursday.
Trump has telegraphed the move for weeks, insisting tariffs will keep the United States from being "ripped off" by other countries and spur a new "Golden Age" of American industry.
But many experts warn the tariffs risk triggering a recession at home as costs are passed on to U.S. consumers and a damaging trade war abroad.
The world has been on edge ahead of Trump's announcement.
Markets have been volatile as investors hedged their bets, and the announcement came after Wall Street stocks closed.
The tariffs will also reinforce fears that Trump is backing even further away from U.S. allies towards a new order based on a vision of American supremacy.
U.S. trading partners have vowed swift retribution, while also trying to persuade Trump to reach deals to avoid tariffs in the first place.
Germany warned Wednesday that trade wars hurt "both sides."
The European Union will react to new Trump tariffs "before the end of April," said a French government spokeswoman.
The 27-nation bloc's initial salvo would counter U.S. actions on steel and aluminum, followed by sector-by-sector measures.
British Prime Minister Keir Starmer said a "trade war is in nobody's interests."
"We have prepared for all eventualities -- and we will rule nothing out," he told parliament.
Trump has had a long love affair with tariffs, insisting in the face of experts that they are a cure-all for America's trade imbalances and economic ills.
The billionaire insists the levies will bring a "rebirth" of America's hollowed-out manufacturing capacity, and says companies can avoid tariffs by moving to the United States.
But critics say U.S. businesses and consumers could bear the burden if importers pass on the cost, adding that the policy could increase risks of a recession.
"If this trade war continues through Labor Day (on Sept. 1), the U.S. economy will likely suffer a recession this year," Mark Zandi, chief economist of Moody's Analytics, told AFP.
Negotiations are likely to continue though as countries seek to halt the tariffs.
Trump has previously been persuaded to halt tariffs on neighbors Canada and Mexico while trade talks continued.
He ordered levies on both on the grounds that they had failed to stop the flow of the deadly opioid fentanyl into the U.S.
All rights reserved ©2025 Agence France-Pressefactory
02 April 2025manufacturing net
Automakers Report Stellar Sales Ahead Of Trump'S Tariffs Taking EffectNEW YORK (AP) — The major car companies say sales rose sharply in March, with most reporting double-digit gains. For some companies, the strong performance last month helped make up for a sluggish start to the year.
Automakers sold nearly 1.6 million vehicles in the U.S. in March, up 13.6%. That brought total sales for the first quarter to more than 3.9 million vehicles, Motorintelligence.com said Tuesday. Almost all automakers saw a surge in sales of electric vehicles.
What future months hold for the automakers is uncertain. President Donald Trump announced 25% tariffs on auto imports that go into effect on April 3. The tariffs are set to expand to applicable auto parts in the following weeks, through May 3. The tax hike means automakers could face higher costs and lower sales, though Trump argues that the tariffs will lead to more factories opening in the United States.
Auto industry analyst Sam Abuelsamid at Telemetry Insight said expectations were that the March numbers would be higher due to some pre-buying ahead of the imposition of tariffs, although the pre-buying was likely “limited to some degree by affordability and continuing high interest rates.”
Here's a look at the latest results:factory
02 April 2025manufacturing net
Trump'S 'Liberation Day' Unlikely To Free Businesses From UncertaintyWASHINGTON (AP) — President Donald Trump says his tariff announcements slated for Wednesday will amount to a "Liberation Day" for the United States. But American businesses and financial markets are unlikely to be freed from the uncertainty generated by his often stop-and-go trade policy.
Some big questions will be resolved when Trump announces what are expected to be reciprocal tariffs that involve raising U.S. import duties to be equal to the levies that other countries impose on U.S. goods. Companies will have a greater sense of how many countries will be affected, and how high the duties will be.
Yet questions will still swirl around trade and tariffs for months to come, economists say. More tariffs are in the pipeline and could target specific industries such as pharmaceuticals, copper and lumber. And the United States may reach deals with other countries that could alter the reciprocal tariffs. There will also be countless details that could take months to resolve to determine precisely which imports will be hit with taxes.
As a result, few analysts expect Wednesday's announcement to bring the certainty that many businesses — and Wall Street investors — crave.
"April 2 is when this all kicks off, it's not when all of this ends," said Kelly Ann Shaw, a former senior White House trade adviser during Trump's first term. "At some point this will settle. But because we're at the very beginning of what will fundamentally be a total rethink of the global trading system, there are going to be a lot more questions than answers in the near term."
For now, a measure of economic policy uncertainty maintained by Nicholas Bloom, a Stanford University economist and two colleagues, is at its highest level — outside of the pandemic — since its inception in 1985.
When businesses are unsure about where economic policy is headed, they are more likely to put major spending projects on hold and slow hiring, Bloom said. And when unsure, consumers typically take a more cautious approach to spending.
"April 2 could reduce uncertainty if this is a once and final announcement on tariffs," Bloom said. "But I suspect it will be one of a series on ongoing announcements."
Trump "has been unequivocally clear for decades about the need to restore American greatness," said White House spokesman Kush Desai. "America cannot just be an assembler of foreign-made parts — we must become a manufacturing powerhouse that dominates every step of the supply chain of industries that are critical for our national security and economic interests."
Randy Carr, CEO of World Emblem, said he expects the products he makes in Mexico and Canada will face a 25% tariff as soon as Wednesday. The company has already notified customers that it will raise prices 8%. World Emblem makes badges, patches and labels for companies, universities and law enforcement agencies.
In February, Carr put about $9 million in investment on hold, most of which he planned to spend on artificial intelligence and online commerce. He has started to spend some of that money but is doing so more slowly than he would prefer.
"We don't know if we'll need the money for tariffs," he said. "Who knows what will happen on Wednesday."
Already in place are duties on cars, steel, aluminum and all imports from China. Surveys have found widespread uncertainty among manufacturing firms and even oil company executives, who say that higher costs for steel pipe will cut into their profits.
Emerald Packaging, which makes packaging for produce and whose clients include Walmart and Kroger, is holding back on investment for now, given the uncertainty.
CEO Kevin Kelly said the Union City, California-based company learned a big lesson during the height of the pandemic. It started 2021 with $7 million in cash but depleted its reserves by year-end because of the costs of navigating supply chain snarls.
"We're not spending any money right now," he said. "We're trying to build cash ... because we'll need a cushion."
One reason the cloudy outlook surrounding tariffs is likely to remain for months is that Trump wants to maintain some uncertainty about his next steps as a negotiating strategy, Shaw said.
"Intentional ambiguity is a key component" of his approach to trade talks, Shaw said. Those negotiations will likely start after reciprocal duties are announced and could take months to resolve.
At the same time, Trump is due to receive a series of reports this week on other countries' trade policies, including tariffs but also the subsidies, currency manipulation and tax policies that Trump officials say can distort trade. Those reports could prompt further steps.
And then there is Trump's confessed love of tariffs and his willingness to use them for a variety of policy goals, including raising revenue, forcing action on fentanyl trafficking and bringing back manufacturing. The White House has also said it will slap 25% tariffs on any country that imports oil from Venezuela, though that also includes the United States.
"Given that tariffs seem to be an answer for every problem, who knows what might happen next and what will lead to yet another ad hoc round of tariffs?'' said Marc Busch, professor of international business diplomacy at Georgetown University.
A big question for the economy is how long this might last.
Matthew Luzzetti, an economist at Deutsche Bank, said that even if Wednesday's announcement were the final word on tariffs, the uncertainty around the president's actions so far could drag down growth by about 1% for several quarters.
"If that uncertainty were to extend further, or remain elevated for longer, that would only amplify the effects," Luzzetti said.
Neil Bradley, chief policy officer at the U.S. Chamber of Commerce, said that even with more certainty, adding tariffs will harm the economy.
"To the extent that April 2 provides clarity, then you can begin to make adjustments and plans," Bradley said. "But having certainty about economically harmful policies is not a positive."factory
02 April 2025manufacturing net
Tesla Sales Drop 13% In First Quarter As Elon Musk Backlash, Aging Models Hurt DemandNEW YORK (AP) — Tesla sales declined 13% in the first three months of the year, another sign that Elon Musk's once high-flying electric car company is struggling to attract buyers.
The double-digit drop is likely due to a combination of factors, including its aging lineup, competition from rivals and a backlash from Musk's embrace of right wing politics. It also is a warning that the company's first-quarter earnings report later this month could disappoint investors.
Tesla reported deliveries of 336,681 globally in the January to March quarter. The figure was down from sales of 387,000 in the same period a year ago. The decline came despite deep discounts, zero financing and other incentives.
Analysts polled by FactSet expected much higher deliveries of 408,000.
Dan Ives of Wedbush said in a note to clients that Tesla is seeing soft demand in the United States and China, as well as facing pressure in Europe.
"The brand crisis issues are clearly having a negative impact on Tesla...there is no debate," he said.
Ives said that Wall Street and analysts alike knew that the first-quarter figures were likely to be bad, but that it was even worse than expected.
"We are not going to look at these numbers with rose-colored glasses...they were a disaster on every metric," he said.
Tesla's stock has plunged by roughly half since hitting a mid-December record as expectations of a lighter regulatory touch and big profits with Donald Trump as president were replaced by fear that the boycott of Musk's cars and other problems could hit the company hard.
Analysts are still not sure exactly how much the fall in sales is due to the protests or other factors. Electric car sales have been sluggish in general, and Tesla in particular is suffering as car buyers hold off from buying its bestselling Model Y because of plans for an updated version later this year.
The Austin, Texas electric vehicle maker has also lost market share to rivals in recent months as their offerings improve, including those of BYD. The Chinese EV giant unveiled in March a technology that allows it cars to charge up in just a few minutes.
Shares of Tesla slipped nearly 6% in early trading on Wednesday.factory
02 April 2025manufacturing net
Water Plant Workers Charged After Raw Sewage Leaks Into CreekSituated just northwest of Oklahoma City, the Bethany-Warr Acres Water Treatment Plant was recently the scene of a crime – that is, according to Oklahoma County District Attorney Vicki Behenna who has filed charges against two former employees.
The water treatment plant handles three million gallons of raw sewage a day, and the County alleges that 55-year-old Anthony Menzie and 63-year-old Glenn Brentnell committed multiple felonies in willfully allowing waste to leak into a nearby creek.
Most Read on IEN:
According to reports, regulators responded to a complaint in 2022, where they discovered improperly treated and raw wastewater had been pooling near the plant and then flowing into nearby Bluff Creek.
Witnesses pointed to the two suspects, and Menzie reportedly admitted to falsifying lab records in order to downplay fecal contamination levels – something he says he was instructed to do by Brentnell, the plant manager.
A report in The Oklahoman points to ongoing problems with the facility between 2020 and 2022, including non-compliance as well as problems with the wastewater management system. These issues led to at least four notices to be issued to the facility.Â
The state’s Department of Environmental Quality alleges in court documents that, after an emergency order was issued, the agency learned that there were no personnel onsite at the facility and that the doors were locked.
Shortly thereafter, in late 2022, Brentnell is said to have “abruptly retired” though the suit says he claimed "the issues in the … notices were minor."Â
A separate investigation by a public trust disagreed, instead finding plant equipment that was neglected and in a state of disrepair. They suggest it was these issues that led to the discharge of wastewater into Bluff Creek and subsequent coverup.
While local authorities hope to see Menzie and Brentnell face the music, they also stress that the problems are being addressed. Regulators say the situation at the plant has improved, and the facility is on its way to getting back in compliance.
Click here to subscribe to our daily newsletter featuring breaking manufacturing industry news.
WEBVTTX-TIMESTAMP-MAP=LOCAL:00:00:00.000,MPEGTS:000:00.159 --> 00:05.519Situated just northwest of Oklahoma City, theBethany War Acres water treatment plant was00:05.519 --> 00:07.519recently the scene of a crime.00:08.029 --> 00:11.979That is according to Oklahoma County DistrictAttorney Vicky Behina,00:12.229 --> 00:15.270who has filed charges against two formeremployees.00:15.390 --> 00:19.219The water treatment plant handles 3 milliongallons of raw sewage a day,00:19.469 --> 00:25.899and the county alleges that 55-year-old AnthonyMenzie and 63-year-old Glenn Brentnell00:25.899 --> 00:31.559committed multiple felonies in willfullyallowing waste to leak into a nearby creek.00:31.790 --> 00:34.400According to reports, regulators responded to acomplaint in.00:34.796 --> 00:40.91622, where they discovered improperly treatedand raw wastewater had been pooling near the00:40.916 --> 00:46.476plant and then flowing into nearby Bluff Creek.Witnesses pointed to the two suspects and00:46.476 --> 00:51.265Menzie reportedly admitted to falsifying labrecords in order to downplay fecal00:51.265 --> 00:55.566contamination levels, something he says he wasinstructed to do by Brent Nell,00:55.826 --> 00:59.276the plant manager.A report in the Oklahoman points to ongoing00:59.276 --> 01:02.872problems with the facility between 20.In 2022,01:03.361 --> 01:07.832including noncompliance as well as problemswith the wastewater management system.01:08.001 --> 01:11.671These issues led to at least 4 notices to beissued to the facility.01:11.842 --> 01:15.961The state's Department of Environmental Qualityalleges in court documents that after an01:15.961 --> 01:20.882emergency order was issued, the agency learnedthat there were no personnel on site at the01:20.882 --> 01:23.882facility and that the doors were locked.Shortly thereafter,01:23.961 --> 01:27.882in late 2022, Bretnell is said to have abruptlyretired.01:28.150 --> 01:31.970Though the suit says he claimed the issues inthe notices were minor,01:32.089 --> 01:35.580a separate investigation by a public trustdisagreed.01:35.699 --> 01:40.250They suggest it was these issues that led tothe discharge of waste water into Bluff Creek01:40.250 --> 01:41.690and the subsequent cover up.01:41.940 --> 01:44.980While local authorities hope to see Menzie andBrentnell face the music,01:45.059 --> 01:47.769they also stress that the problems are beingaddressed.01:48.059 --> 01:53.059Regulators say the situation at the plant hasimproved, and the facility is on its way to01:53.059 --> 01:55.029getting back in compliance.01:55.379 --> 01:57.569I'm Anna Wells, and this is Manufacturing now.factory
02 April 2025manufacturing net
Texas Instruments Cuts Jobs After Getting $1.6B In Chips FundingTexas Instruments (TI) is laying off workers in Utah despite recently receiving $1.6 billion in federal funding meant to help with the construction of three new semiconductor plants currently under construction in Texas and Utah.
According to the Salt Lake Tribune, Texas Instruments laid off workers at its existing Lehi facility, which it acquired from Micron Technology in 2021. The company said the cuts are part of efficiently supporting its long-term operational plans.
Most Read on IEN:
TI did not specify how many workers were impacted by the cuts. But it did say it was well less than the 33% of the workforce criteria for a WARN Act notice. As the report points out, the Lehi facility employs 1,100 people.
In December, TI announced the CHIPS Act funding agreement, including a 25% investment tax credit.
"As the largest analog and embedded processing semiconductor manufacturer in the U.S., TI is uniquely positioned to provide dependable, low-cost 300mm semiconductor manufacturing capacity at scale," said TI CEO Haviv Ilan in a statement. "The increasing number of electronic devices in our lives depend on our foundational chips, and we appreciate the support from the U.S. government to make the semiconductor ecosystem stronger and more resilient."
The funding is intended to support the company’s investments through 2029 for three large-scale 300mm wafer fabs in Sherman, Texas (SM1 and SM2), and Lehi, Utah (LFAB2), which broke ground in 2023.
The cuts come after TI experienced a sales decline in the fourth quarter of 2024 and anticipated further declines in the first quarter of 2025. But despite sliding sales and job cuts, the company said it hasn’t changed its plans to build the new plant in Utah.
Click here to subscribe to our daily newsletter featuring breaking manufacturing industry news.factory
02 April 2025manufacturing net
Ace Celebrates 150 YearsAjax/CECO/Erie Press (ACE) celebrated 150 years of operations in the forging and metal-forming equipment industry, driven by strategic mergers and technological advancements.
A major catalyst for this success has been the consolidation of three industry pioneers, bringing together over 400 years of combined expertise and integrating advanced maintenance and repair programs, automation and control systems and comprehensive training initiatives.
The origins of ACE date back to 1875, when Ajax Manufacturing established its presence in the forging industry. Over time, the company built a reputation for producing forging hammers, presses and upsetters.
In 2005, Ajax Manufacturing acquired Chambersburg Engineering Company (CECO), a firm specializing in hydraulic and mechanical forging equipment since its founding in 1897. This acquisition strengthened Ajax Manufacturing’s capabilities in hammer and press technology.
The next significant expansion occurred in 2019 when Erie Press Systems was acquired by Ajax-CECO. Founded in 1895, Erie Press specializes in hydraulic and mechanical press technology, serving sectors such as aerospace and automotive manufacturing.
Over the past century and a half, advancements in equipment, automation and maintenance practices have enabled manufacturers to improve efficiency, extend machine lifespan and enhance workplace safety.Ajax/CECO/Erie Press
Erie Press focuses on stretch forming, a metal shaping process that involves stretching materials like steel and aluminum beyond their yield point over shaped dies. This technique ensures smooth, precise contours while enhancing strength and minimizing the need for post-processing.
Initially developed for aircraft manufacturing, stretch forming has become essential in the automotive, aerospace and construction industries. It enables the efficient production of complex parts with minimal force, reducing costs and material waste while improving durability and surface finish.
The company is now known as Ajax/CECO/Erie Press (ACE).
ACE operates under the umbrella of Park-Ohio Holdings Corp., an industrial holding company headquartered in Cleveland, Ohio. Park-Ohio provides the financial strength and global reach that support ACE’s continuous growth and innovation. Through this partnership, ACE has expanded its engineering capabilities, enhanced its manufacturing operations and provided customer support across industries worldwide.Â
ACE offers a broad spectrum of solutions tailored to meet the needs of modern manufacturing. Its portfolio includes forging hammers, mechanical and hydraulic presses, upsetters, ring rolling mills and hydroforming presses, as well as other specialized equipment. These machines are integral to industries such as aerospace, automotive, energy, defense and heavy machinery production.Â
Although the specific machines may differ, from forging hammers to hydraulic presses, the principles behind their effective operation remain the same. Certain key practices help ensure that equipment performs efficiently, remains operational for longer periods and meets safety standards.
Across all types of forging and metal forming equipment, ACE emphasizes five core areas: preventive maintenance, repair and spare parts programs, equipment rebuilding and remanufacturing, automation upgrades and advanced human-machine interfaces (HMIs).Â
ACE’s portfolio includes upsetters, forging hammers and hydroforming presses, as well as other specialized equipment.Ajax/CECO/Erie Press
These elements contribute to the longevity and efficiency of industrial machinery by reducing unexpected failures, improving process automation and enhancing operator control. Additionally, structured training programs help manufacturers address workforce challenges by ensuring that operators and maintenance teams have the necessary knowledge to manage and maintain their equipment effectively.
As the industry continues to evolve, the value of proven knowledge and well-engineered forging and metal forming solutions remains essential for manufacturers striving to maintain quality and competitiveness.factory
02 April 2025manufacturing net
German Company Wants To Replace Basketball'S Wood Courts With GlassChris Thornton loves talking about playing basketball on the most fragile-sounding of surfaces: glass.
Thornton is managing director of the Americas division of ASB GlassFloor, a German company building floors made of fused-together layers of safety glass covering LED panels. The courts are a far more dynamic visual feast, with customized playing lines, logos, colors, animated graphics and advertisements for multiple sports.
In basketball, where wood is still king, Thornton sees growth potential for glass courts — already showing up in the NBA and internationally — as a tech-driven alternative to the sport's long-running hardwood foundation.
"I use this analogy a lot: We're at the initial stages of the iPhone being launched," Thornton said. "Way back when Apple did that, the design of the hardware has changed, but more importantly the original iPhone was just a phone, a text device and music player. Now you're running your entire life and communicating to the world on it. I see this in the same regard."
It seems strange at first blush — big, strong athletes jumping and running across a court of glass while "pounding the rock" and even diving on the floor. That is a future ASB GlassFloor company envisions, citing technology improvements allowing for a safe and viable surface featuring stunning visuals that can be changed with a few swipes and taps of a smartphone or tablet app.
Thornton said the glass surface has give and flexibility exceeding that of wood, aided by a spring-action design to the aluminum and steel framing beneath the LED paneling. There's also a ceramic coating with dots etched into the glass, offering grip, and a consistent surface without "dead spots" or other quirks that can occur with wood courts.
That combination has the company touting enhanced safety potential for athletes, even in more easily spotting sweat to wipe up.
"There's a stigma about the glass: 'Oh my gosh, it's going to break, it's harder, people are going to break the glass, they're going to fall through it,'" Thornton said. "It's actually quite the opposite."
The visuals are the bigger selling point. Arena managers could easily update a court's look instead of using space storing hardwood stacks for multiple designs and paying for labor to install or update them. Or coaches could set up their own practice regimens with on-court visual cues.
And yes, a team could even opt for a hardwood-panel look in a nod to tradition.
The trade-off? A bigger price tag than a wood counterpart. Thornton didn't specify an amount but pointed to potentially selling leases to the courts, saying the company has had "advanced" talks with college teams and leagues.
At Connor Sports, a Michigan-based company that makes the hardwood courts for the men's and women's Final Four, technical director Jason Gasperich referenced that higher cost. He noted that roughly 750 of the 800 courts his company typically builds and sells per year might end up in elementary and high schools "where they just don't have the budget for that."
Still, he also gave a tip of the cap to the technology.
"Nonetheless, they're still super interesting, unique," Gasperich said. "And there's things you can do with digital that you can't do with a traditional wood floor."
Glass LED courts are already in home arenas for Bayern Munich in Germany and Panathinaikos Athens in Greece. They've also been used in events by governing body FIBA.
In the U.S., Kentucky used one in October for its "Big Blue Madness" event marking the ceremonial season start for Wildcats basketball.
"I love everything about the versatility of this floor," men's coach Mark Pope said in video posted by ASB GlassFloor capturing reactions as players tested it out in Rupp Arena.
"I don't know what I was expecting, but it squeaks like a real basketball court," women's player Cassidy Rowe said in the video. "It just functions like a normal basketball court, but it's showing our picture, which is crazy."
The NBA offered a showcase look during the 2024 NBA All-Star weekend, holding its skills competition, 3-point contest, dunk contest and shooting matchup between Stephen Curry and Sabrina Ionescu on one in Indianapolis.
By December, the company had set up a training facility in Orlando allowing NBA teams in town to play the Magic a chance to workout on the glass court and offer feedback. Thornton, who said the NBA has bought a minority stake into the company's Americas division, estimated more than 100 players and coaches have tested it so far.
"As we integrate with the other data providers in both the NCAA and NBA, we are only going to get better and better with what improving what you can do on an ASB GlassFloor," he said. "The focus now up to today has been getting a surface that is comfortable for the athletes to play on, and we've done that."factory
02 April 2025manufacturing net
Martian Dust Could Pose Health Risks To Future AstronautsDon’t breathe in the dust on Mars.
That’s the takeaway from new research from a team of scientists, including researchers from the University of Colorado Boulder. The findings suggests that long-term exposure to Martian dust could create a host of health problems for future astronauts—leading to chronic respiratory problems, thyroid disease and more.
The study, published in the journal GeoHealth, is the first to take a comprehensive look at the chemical ingredients that make up Martian dust, and their possible impacts on human health. It was undertaken by a team from the worlds of medicine, geology and aerospace engineering.
“This isn't the most dangerous part about going to Mars,” said Justin Wang, lead author of the study and a student in the Keck School of Medicine at the University of Southern California in Los Angeles. “But dust is a solvable problem, and it’s worth putting in the effort to develop Mars-focused technologies for preventing these health problems in the first place.”
Wang, a CU Boulder alumnus, noted that Apollo era astronauts experienced runny eyes and irritated throats after inhaling dust from the moon. Apollo 17’s Harrison Schmitt likened the symptoms to hay fever.
But scientists know a lot less about the potential harms of Martian dust. To begin to answer that question, Wang and his colleagues drew on data from rovers on Mars and even Martian meteorites to better understand what makes up the planet’s dust. The group discovered a “laundry list” of chemical compounds that could be dangerous for people—at least when inhaled in large quantities and over long periods of time.
They include minerals rich in silicates and iron oxides, metals like beryllium and arsenic and a particularly nasty class of compounds called perchlorates.
In many cases, those ingredients are present in only trace amounts in Mars dust. But the first human explorers on Mars may spend around a year and a half on the surface, increasing their exposure, said study co-author Brian Hynek.
“You’re going to get dust on your spacesuits, and you’re going to have to deal with regular dust storms,” said Hynek, a geologist at the Laboratory for Atmospheric and Space Physics (LASP) at CU Boulder. “We really need to characterize this dust so that we know what the hazards are.”
One thing is clear, he added: Mars is a dusty place.
Much of the planet is covered in a thick layer of dust rich in tiny particles of iron, which gives the planet its famous red color. Swirling dust storms are common and, in some cases, can engulf the entire globe.
“We think there could be 10 meters of dust sitting on top of the bigger volcanoes,” said Hynek, a professor in the Department of Geological Sciences. “If you tried to land a spacecraft there, you’re going to just sink into the dust.”
Wang found his own way to Martian dust through a unique academic path. He started medical school after earning bachelor’s degrees from CU Boulder in astronomy and molecular, cellular and developmental biology, followed by a master’s degree in aerospace engineering sciences. He currently serves in the Navy through its Health Professions Scholarship Program.
He noted that the biggest problem with Martian dust comes down to its size. Estimates suggest that the average size of dust grains on Mars may be as little as 3 micrometers across, or roughly one-ten-thousandth of an inch.
“That’s smaller than what the mucus in our lungs can expel,” Wang said. “So after we inhale Martian dust, a lot of it could remain in our lungs and be absorbed into our blood stream.”
In the current study, Wang and several of his fellow medical students at USC scoured research papers to unearth the potential toxicological effects of the ingredients in Martian dust.
Some of what they found resembled common health problems on Earth. Dust on Mars, for example, contains large amounts of the compound silica, which is abundant in minerals on our own planet. People who inhale a lot of silica, such as glass blowers, can develop a condition known as silicosis. Their lung tissue becomes scarred, making it hard to breath—symptoms similar to the “black lung” disease that coal miners often contract. Currently, there is no cure for silicosis.
In other cases, the potential health consequences are much less well-known.
Martian dust carries large quantities of highly oxidizing compounds called perchlorates, which are made up of one chlorine and multiple oxygen atoms. Perchlorates are rare on Earth, but some evidence suggests that they can interfere with human thyroid function, leading to severe anemia. Even inhaling a few milligrams of perchlorates in Martian dust could be dangerous for astronauts.
Wang noted that the best time to prepare for the health risks of Martian dust is before humans ever make it to the planet. Iodine supplements, for example, would boost astronauts’ thyroid function, potentially counteracting the toll of perchlorates—although taking too much iodine can also, paradoxically, lead to thyroid disease. Filters specifically designed to screen out Martian dust could also help to keep the air in living spaces clean.
“Prevention is key. We tell everyone to go see their primary care provider to check your cholesterol before it gives you a heart attack,” Wang said. “The best thing we can do on Mars is make sure the astronauts aren’t exposed to dust in the first place.”factory
02 April 2025manufacturing net
Reinventing The LadderIn 1996, W.steps brought the world's first telescopic ladder to market. The company, previously known as Telesteps, created an entirely new product category in the ladder market.Â
In 2022, Telesteps was acquired by Hultafors Group, which rebranded to W.steps (pronounced vee-steps) in 2024. The Hultafors Group has a legacy that stretches back to 1883 and the company now has a portfolio that includes safety, workwear and professional tool brands.Â
In this exclusive interview with Industrial Equipment News (IEN), Christopher Berg, vice president of global brands at Germantown, Wisconsin-based Hultafors Group North America, discusses how W.steps reimagined the ladder, getting professionals to trust a telescopic design and the potential impact tariffs will have on the business.
Christopher Berg, vice president of global brands at Hultafors Group North America.IEN: Is reinventing the ladder difficult? Is it hard to get users to trust a telescopic ladder?
Christopher Berg: Steve Jobs said, “Innovation is the ability to see change as an opportunity – not a threat.” Hultafors Group seized the opportunity to change the ladder when we created the telescopic ladder in the early 1990s. Since then, we’ve perfected and positioned our company as the global leader in telescopic technology.
Establishing trust for any new product is always a challenge, especially one that reinvents the category. Getting professionals to "take the first step" via product trial and usage is the best way to build that trust. We establish trust before that first step by reinforcing the fact that our product is ANSI Type 1A (heavy-duty) rated, rigorously tested to hold up to 330 pounds and constructed from the highest quality Swedish aluminum in our fully automated plant in Sweden.Â
Above all, we remind customers that we’ve sold more than a million telescopic ladders worldwide to pros just like.
IEN: Are W.steps ladders as durable as traditional ladders?
Berg: Yes, but let’s start with some definitions. First, there are "traditional ladders," which for the pro user encompasses step ladders, extension, straight (a.k.a. leaning), multi-purpose, platform, scaffolding and telescopic ladders. In addition to the ladder design, there’s also the material the ladders are constructed of, which today is primarily aluminum or fiberglass.
Next, “durability,” can have many interpretations. We define “durability,” as strength, wear resistance, weather resistance and the ability to maintain functionality over time.
We can confidently say, backed by our more than 30 years successfully selling to professionals, that W.steps ladders are at least as durable if not more durable than traditional ladders.
IEN: How are they made?
Berg:Â The ladders are made in Sweden at our fully automated factory. From the smallest part to the finished ladder, we are in full control of the entire manufacturing process and maintain exacting standards throughout. All ladders are made from aircraft-grade, certified aluminum and have a rail system with a patented triangular tube design that makes them stronger and more stable.Â
IEN: Do they ever need to be repaired? Are they easy to maintain?
Berg: We understand that our ladders will be used in harsh environments. As with the other tools and equipment on the jobsite or in a plant, our ladders need basic maintenance to ensure proper functionality and longevity. In dusty or muddy environments, just be sure to blow or rinse it off before collapsing it. You’d do the same with any other power tool or equipment before packing up at the end of the day.Â
When maintained properly, the ladder does not need any repair. However, heavy users may need to replace either the rubber feet or tops after extended use, both of which are easy to replace and available as service parts.
IEN: Since they are made in Sweden, do you have any concerns over how potential tariffs could impact your business?
Berg: Like most other manufacturers, we are being impacted by the recently introduced tariffs. Most ladders sold in the U.S. are manufactured overseas, whether in China, Mexico or, in our case, Sweden. We’re of course concerned, but have no alternative but to adjust our pricing to reflect this reality.factory
02 April 2025manufacturing net
8 Ai-Driven Advantages For Manufacturers Impacted By Steel, Aluminum TariffsSome of President Donald Trump's tariffs echo his first-term policies which imposed 25% tariffs on steel and 10% on aluminum in 2018 under Section 232 of the Trade Expansion Act of 1962, citing national security concerns.
However, the 2025 measures are more aggressive, closing loopholes such as tariff exemptions and raising the aluminum tariff to match steel at 25%. The president has also signaled a willingness to impose even higher tariffs, as evidenced by the short-lived 50% threat against Canada.
These tariffs are part of a broader trade agenda that includes a 20% levy on all Chinese imports and plans for reciprocal tariffs to match the import taxes imposed by other countries on U.S. goods. While the administration argues that these measures will protect domestic industries and strengthen national security, critics warn they could rekindle already high inflation, slow economic growth and harm U.S. manufacturers reliant on imported materials.Â
Unfortunately, reshoring production isn’t a quick fix. Rebuilding the infrastructure and workforce to sustain domestic production could take decades. In the meantime, manufacturers must find ways to stay agile, competitive and compliant in a volatile trade war. Â
While tariffs are designed to incentivize domestic production, history suggests they often trigger alternative responses. Instead of onshoring, many companies sidestep tariffs by shifting production to lower-cost regions like Vietnam, Chile or Mexico. During Trump's first term, the 2018 steel and aluminum tariffs benefited U.S. metal producers but imposed significant costs on downstream industries.
A 2023 U.S. International Trade Commission report found that the $2.3 billion increase in production by steel and aluminum manufacturers was offset by a $3.5 billion decline in output among companies that use these materials.Â
The immediate pain of the tariffs will be felt by manufacturers that rely on steel and aluminum. For instance, Steelport Knife Co., a small Oregon-based manufacturer, has already seen a 10% price hike from its U.S. steel supplier. The company's Japanese and German competitors can source steel at lower costs, putting the business at a disadvantage. To cope, Steelport is cutting costs by tightening inventories and reducing travel to trade shows.Â
By leveraging AI, companies can proactively manage risks, optimize supply chains and stay ahead of policy shifts.
Using large language models (LLM)Â and machine learning, AI-powered platforms can scan thousands of global trade sources including government updates, regulatory changes and industry reports in real-time. These systems instantly flag relevant changes, assess their impact and provide actionable insights.
Automated alerts ensure that manufacturers are informed of critical updates the moment they occur, reducing reaction time and enabling proactive adjustments. This means manufacturers can pivot quickly, rather than scrambling to react after new tariffs take effect. Â
Instead of guessing how new tariffs will affect profitability, AI-driven predictive models simulate different scenarios, helping manufacturers anticipate costs and adjust strategies accordingly. Experts warn that businesses relying on metal components, from vehicle manufacturing to food packaging, will struggle to absorb the added costs, ultimately passing them down to consumers.
Some companies may attempt to shift away from metal-dependent production methods, such as beverage brands emphasizing plastic packaging over aluminum cans. If the steel tariff threatens margins, AI can recommend alternative sourcing strategies, pricing adjustments or contract renegotiations to mitigate losses. Â
High tariffs can significantly impact supply chains by making certain imported components prohibitively expensive. AI-driven supply chain management tools can assess alternative sourcing options from different countries, taking into account production capabilities, cost-effectiveness and regulatory requirements. This allows manufacturers to quickly pivot their supply chains without major disruptions.Â
Smaller manufacturers, in particular, face challenges when shifting suppliers, as they lack the economies of scale and automation advantages of larger firms. AI-driven analytics can help these companies identify the most feasible supply chain adjustments, whether by diversifying suppliers, nearshoring production or modifying component sourcing to mitigate tariff exposure. Â
Tariff engineering is the strategic modification of a product’s design, composition or sourcing to qualify for lower-duty classifications. AI enhances this process by analyzing historical tariff rulings, trade agreements and HS code structures to identify opportunities for tariff optimization. By leveraging AI-driven insights, manufacturers can explore ways to legally adjust materials or assembly locations to minimize tariff costs while maintaining compliance.
For example, if a steel component incurs a high tariff but an alternative composite material falls under a lower-duty classification, AI can flag this opportunity and recommend a viable material substitution. Similarly, AI can assess whether minor product modifications—such as unassembled versus pre-assembled shipments—can result in lower tariff rates.
By continuously analyzing tariff structures and trade agreements, AI empowers manufacturers to implement cost-saving design and sourcing strategies while maintaining regulatory compliance.
Accurate classification under the Harmonized System (HS) is crucial for determining correct tariff rates, but misclassification can lead to hefty fines and shipment delays. AI-powered classification tools use deep learning to analyze product descriptions, assign accurate HS codes and cross reference historical tariff decisions, reducing compliance risks while saving time and resources.
Automated workflows further streamline compliance by integrating with enterprise resource planning (ERP) and trade management systems, ensuring that product classifications are consistently updated across an organization. This reduces human error, accelerates customs clearance and minimizes regulatory penalties.Â
Trade compliance requires meticulous documentation, and AI can streamline this process by automating the generation and verification of required paperwork. AI-driven systems ensure that import and export documentation is accurate and complete, reducing errors that could lead to shipment delays or customs penalties.
Additionally, AI can optimize duty drawback claims by identifying overpaid tariffs and automating the reimbursement process, improving cash flow for manufacturers.
AI enables manufacturers to adjust pricing in real time based on tariff fluctuations, supplier costs and market conditions. By analyzing procurement data, transportation costs and regional tariff structures, AI-driven tools can identify cost-saving opportunities, suggest supplier diversification and optimize profit margins without compromising competitiveness. Â
In industries like automotive and home construction, where metal tariffs can significantly raise material costs, dynamic pricing models allow companies to remain profitable while maintaining competitive pricing.
For example, rising costs for steel screws, wires and machine parts could increase the price of dishwashers, dryers and homebuilding materials. AI-powered pricing tools help manufacturers adjust strategies in response to these shifting cost structures. Â
Trade compliance isn’t just a legal issue, it affects procurement, finance, sales and operations. AI-driven platforms centralize trade data, providing real-time visibility across departments. With automated dashboards and customized reporting, AI ensures that all stakeholders work from the same dataset. When teams work from the same playbook, they can make faster, more strategic decisions to mitigate risks and capitalize on opportunities.Â
Trade policies will continue to evolve, but manufacturers that integrate AI into their operations will be best positioned to thrive. The companies that win in this environment won’t be the ones waiting for policy stability, rather they’ll be the ones using technology to stay ahead of the curve.factory
02 April 2025