New England’s manufacturing challenges and opportunities
Posted on Mon, Jun 01, 2009 @ 09:53 AM
Source: Mass High TechThe cost of doing business and taxes are perennial complaints from New England manufacturers, but those aren't the only factors impacting the success of the region's manufacturers. A handful of manufacturing sector representatives who were heading to the Eastec 2009 show in Springfield last week shared their thoughts on what it takes for manufacturing to succeed here, and the impact of the federal stimulus bill.
Agree with the comments or disagree? Join the discussion using the comments box after reading the article, and let us know what challenges your company faces and whether the stimulus package can help your sector.
Q. What's the greatest challenge for a manufacturing company in New England?
It's taxes and labor cost. Our competition, more and more, is coming from Italy and Spain and China. China is our market, but as they find out what we are doing and try to parallel design it, they can do it with a lower cost of labor. The tax structure is very difficult in Massachusetts. We've made great progress on workmen's comp, but we've gone backward a bit.
Howard Gries, president, Kinefac Corp.
Worcester
Manufacturer of parts and threaded components
As with many areas of the country it is the burden that is put on small business with regard to taxes, high cost of insurance, etc. These drive manufacturing out of the state. Additionally I do not see the state government promoting and offering incentives to lure manufacturers to the state.
Jim Cepican, general manager, accessories division, Citizen Machinery America
Agawam
Distributor of machine tools, manufacturer of accessories
The greatest challenge comes from the fact that manufacturing does not attract the interest or attention of government officials that set the agenda for investments in education, research and infrastructure. We have in recent years found it difficult to recruit sufficient numbers of engineers and technicians with the skill sets for laser assembly and test and for industrial laser-related R&D.
Terry L. VanderWert, president, PRIMA North America Inc.
Chicopee
Manufacturer of machinery and lasers
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