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US manufacturing (1 Viewer)

how long does it take for a manufacturer to get a plant up and running

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rickc

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So just how long does it take for a manufacturer after deciding to open a plant in America to get up and running?
Pick a site, obtain the required permits, construction, install equipment, train workers and get the plant up and running.
 
rickc said:
So just how long does it take for a manufacturer after deciding to open a plant in America to get up and running?
Pick a site, obtain the required permits, construction, install equipment, train workers and get the plant up and running.
Click to expand...

It depends on the product and the technical level of the staff needed.
You can maybe make a factory making bolts in a year but it'll take at least 5 years to get a microchip factory built and running at the very best.

The UK is building a new nuclear power station and the build time is about a decade and that's while they have the worlds largest crane on site to help.
It's called Big Carle by the way.
 
rickc said:
So just how long does it take for a manufacturer after deciding to open a plant in America to get up and running?
Pick a site, obtain the required permits, construction, install equipment, train workers and get the plant up and running.
Click to expand...

A factory of the type that's been promised: easily 5 years.

But why build a new factory in America where the raw materials are going to cost 25% more? You'd have to be nuts.
 
Peter said:
What if I become a billionaire and decide I want to completely stripmine Yellowstone park into oblivion?

It has the worlds largest deposite of yellow and I want it all.
Click to expand...
Take it. Lee Zeldin, Trump's EPA chief, hates environmental protection laws. He's knocking them down fast.
 
rickc said:
So just how long does it take for a manufacturer after deciding to open a plant in America to get up and running?
Pick a site, obtain the required permits, construction, install equipment, train workers and get the plant up and running.
Click to expand...
Depends on the product and the type of machinery required to make it.
 
rickc said:
So just how long does it take for a manufacturer after deciding to open a plant in America to get up and running?
Pick a site, obtain the required permits, construction, install equipment, train workers and get the plant up and running.
Click to expand...
Any manufacturing plant built from scratch, in America, starting tomorrow, is guaranteed to be almost wholly robotic.
 
Wholly dependent on what you're talking about.

Are you making mattresses? (Got ours straight from local factory, and not massive.)

Now the Purina plant they've been working on for several years near me... holy shit.

Total investment in this facility: an estimated $550 million
Total investment across the U.S. in the last five years: $1.5 billion
Total square footage of Williamsburg Township facility: 1.2 million
Expected number of employees: 300 by 2024
Click to expand...
newscenter.purina.com

Nestlé Purina PetCare Plans to Build New Factory in Ohio to Meet Growing Pet Food Demand

Today, Nestlé Purina PetCare announced a $550 million investment to build a new factory in Williamsburg Township, Ohio, to meet increasing demand for its high-quality, nutritious pet foods. The...
newscenter.purina.com newscenter.purina.com
And the height of some parts of it are up there.

The planning, construction with all the bits and pieces, and getting running... years.
 
Any significant plant will be 4 to 5 years. Maybe longer in some cases. Think of the processes involved.

- Select, negotiate, and acquire a site and get all the required permissions, plus secure financing etc
- Get all the roading, power, water etc infrastructure in place. Can you even secure enough long term power in some places today
- Set up and secure all the supply chains to avoid tariffs as much as possible. This may mean building other manufacturing plants to avoid using as many imports as possible
- Build the plant in a country that is busy deporting a big chunk of it's construction work force
- Secure and install the production machinery. Much of this may need to be imported, so hope that isn't a problem, or that you are waiting for the factory that produces that machinery to be built. Plus negotiate and set up all the support infrastructure needed
- Hire the staff needed, some/many of whom will need to move from other parts of the country and get settled into their new homes because we don't tend to have 1000's of suitable unemployed people just waiting in any one area
- Train the staff and get the production lines operating properly
- Sort out all the logistical teething issues
- Finally begin deliveries of the products

What will complicate this is that you are no longer just taking advantage of existing supply chains. It's no use building a new plant in the US to avoid tariffs if most of your production inputs are imported anyway. So right now we are also talking about major changes to supply chains that will need to be designed and negotiated before a new US production plant is going to be financially viable. That likely means that you will be waiting for other production plants to be built in the US to provide the non-tariffed inputs that you need. Of course this time could be shortened if you can buy and just modify an existing facility, but those will become rare if a lot of companies try to increase US manufacturing at the same time.

The sad thing will all of this is that these new manufacturing plants will likely only be manufacturing for the US, because they will be non cost competitive as exports. Overseas manufacturers will continue to build for the rest of the world outside the US like they already do. Meantime, retaliatory tariffs will decimate US exports in the things that we are traditionally competitive in. So we applaud about some new local car production plants for Japanese/Korean/German etc cars, while we watch our farming sector being decimated by tariffs and other retaliatory actions. Personally, I am not convinced that is a great trade.
 
So will large manufacturers commit to such a long term plan with reduced profits knowing trump and his tarrifs will be gone in no more than 4 years?
 
Depends on what you are doing. Where you are doing it. And what the laws, permits, licensing on local, state and sometimes federal levels. If you are dealing with harmful materials, it will take longer. This is, believe it or not, the easiest part of it. 90% of will be paperwork, the remaining 10% will be whatever inspections discover. If you have a good law firm hired, then they can handle this for you effectively. It's when folks try to do it on their own that things get messed up. Pay the money for lawyers to do it.

You will also need to add into getting loans and investments, depending upon the size of the enterprise. It usually isn't a matter of if you get the investments/loans, but it is time intensive. This hard for some, because some MAGA idiots like to infuse politics into business deals. Even if the banks or investors share your politics, if you act like an asshat, they'll treat you like an asshat. If you inject your politics in, they will think you are stupid and don't want to waste money on stupid people...unless they feel they can benefit from it.

Then there will be lawsuits. Competing interests (not necessarily the type of manufacturing you are doing, or even manufacturing interests) will use the courts to try to stop you. Sometimes, it might a grassroots organization, every now and again the local/state government, but 80% of the time it is other businesses trying to stop you. Not saying that regulations and certain organizations can't throw a monkey wrench into the works...but it's more likely that a business will do it to you. The biggest stumbling block isn't really regulations, or some NIMBY or environmental group. It's usually other businesses.

All of these things cost money to do. And we haven't talked about the cost of doing business yet...this is just being able to buy the land and hire construction to even start. You still money to run the business. And here's where tariffs actually come in. Everything is more expensive now due to tariffs. You will have to include that when you make your pitch for loans and investments. And in the economy as it stands right now...unless they see it as a sure thing, its really going to be hard.

Honestly, the smaller it is, probably the more quicker it will be to get going. The larger it is, unless you can back it up in case things go south, its going to take at least four to five years. Just to provide an example. It took Harris Teeter four years to put its market in Baltimore. The two big problems were getting funding to construct and lawsuits from at least four other grocery chains that operate in the city.
 
rickc said:
So just how long does it take for a manufacturer after deciding to open a plant in America to get up and running?
Pick a site, obtain the required permits, construction, install equipment, train workers and get the plant up and running.
Click to expand...

In a blue state it will take you five years of begging for permission until they say no.
 
holbritter said:
Depending on the item being manufactured, 5 the least
Click to expand...

5 years isn't a problem.

Orange said this is the 'last election' we needed to vote in and we prolly wont need anymore. we don't need Elections anyway.

our Monarch will get a 3rd term for life, like all Monarchs get...that's when all these factories will be running again.


next question, lets move on.


.
 
rickc said:
So will large manufacturers commit to such a long term plan with reduced profits knowing trump and his tarrifs will be gone in no more than 4 years?
Click to expand...

4-5 years? So was Trump lying here too?

“When I win the election, we will immediately begin a brand new Trump economic boom. It’ll be a boom. We’re going to turn this country around so fast. Many people say that they only reason the stock market is up is because people think I am going to win.”
-Trump on campaign trail, August 2024.
https://apnews.com/article/trumps-comments-about-stock-market-dba336a82ffaf000b80e7218d749995a
 
rickc said:
So just how long does it take for a manufacturer after deciding to open a plant in America to get up and running?
Pick a site, obtain the required permits, construction, install equipment, train workers and get the plant up and running.
Click to expand...
It takes at least until the end of a presidential term to do the proper planning. And then you wait to see who is elected before you decide to pull out.
 
Revelation said:
5 years isn't a problem.

Orange said this is the 'last election' we needed to vote in and we prolly wont need anymore. we don't need Elections anyway.

our Monarch will get a 3rd term for life, like all Monarchs get...that's when all these factories will be running again.


next question, lets move on.


.
Click to expand...

time to educate see below....

ataraxia said:
4-5 years? So was Trump lying here too?

“When I win the election, we will immediately begin a brand new Trump economic boom. It’ll be a boom. We’re going to turn this country around so fast. Many people say that they only reason the stock market is up is because people think I am going to win.”
-Trump on campaign trail, August 2024.
https://apnews.com/article/trumps-comments-about-stock-market-dba336a82ffaf000b80e7218d749995a
Click to expand...

Atar, this will hit big in the 3rd term. see my post above.


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Loulit01 said:
You could probably manufacture significant quantities of meth with a month or two.
Click to expand...
download (6).jpeg
 
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