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Insourcing Facts

InsourcingDefinition

The economic impact of U.S. subsidiaries of global companies investing in the American economy

Insourcing Facts 1
  • Jobs - Employ 5.3 million Americans, or 4.7 percent of private sector employment.  
    Insourcing Jobs by State Map

  • Payroll - Support an annual payroll of $408 billion, paying U.S. workers an average of $77,409 - more than 36 percent higher than the economy-wide average.

 

Insourcing Facts 2
  • Manufacturing - Provide approximately two million manufacturing jobs, accounting for over 17 percent of America's manufacturing workforce.

  • Exports - Produce nearly 18 percent of U.S. exports, providing $229.3 billion in American goods and services annually to customers around the world.

  • Purchase Locally - Buy more than $1.8 trillion in goods and services from local suppliers and small businesses, amounting to 80 cents for every dollar spent of their total input purchases.
Insourcing Facts 3
  • Research and Development - Spend $41.3 billion annually on U.S. research and development activities, or 14 percent of all R&D performed by U.S. companies.

  • Reinvestment - Reinvest an annual $87.4 billion of their earnings into their U.S. operations.

  • Taxes - Pay $26.6 billion in annual federal corporate income taxes.
Insourcing Facts 4
  • Bricks & Mortar - Spend an annual $149 billion on plant construction and new equipment, or 11 percent of all such investment in the United States.
  • Unions - Employ a higher percentage of union workers than the national average. 12.4 percent of employees at U.S. subsidiaries are covered by a union collective bargaining agreement, compared to 8.2 percent at all U.S. businesses.
  • Industrial Footprint - Employ approximately 34 percent of the U.S. motor vehicle industry, 31 percent of the U.S. chemicals industry, and 24 percent of the U.S. primary metals industry.

All statistics are the latest data from the Department of Commerce's Bureau of Economic Analysis released August 2012 regarding the U.S. subsidiaries of internationally-headquartered companies.  They are compiled by Content First, LLC for the Organization for International Investment.

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