Bank of America says tariffs might spark a ‘reshoring’ boom

The U.S. manufacturing sector is showing signs of slowing down, according to the Bank of America Institute. While tariffs may encourage companies to bring production back to the U.S., this reshoring is likely to rely more on automation than increased hiring due to labor shortages and high costs. Despite a drop in new manufacturing orders and contraction signals, tariffs could help certain subsectors recover. Reshoring has created 2 million jobs over 15 years but has slowed recently, Fortune has reported. About 60% of analysts expect production to continue shifting to the U.S. if tariffs stay high.