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Manufacturing USA (MFG USA), previously known as the National Network for Manufacturing Innovation, is a network of research institutes in the
United States The United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country primarily located in North America. It consists of 50 states, a federal district, five major unincorporated territorie ...
that focuses on developing manufacturing technologies through public-private partnerships among U.S. industry, universities, and federal government agencies. Modeled similar to Germany's
Fraunhofer Institute The Fraunhofer Society (german: Fraunhofer-Gesellschaft zur Förderung der angewandten Forschung e.V., lit=Fraunhofer Society for the Advancement of Applied Research) is a German research organization with 76institutes spread throughout Germany ...
s, the network currently consists of 16 institutes. The institutes work independently and together on a number of advanced technologies.


History

In June 2011,
United States President's Council of Advisors on Science and Technology The President's Council of Advisors on Science and Technology (PCAST) is a council, chartered (or re-chartered) in each administration with a broad mandate to advise the president of the United States on science and technology. The current PCAST w ...
(PCAST) recommended that the
federal government A federation (also known as a federal state) is a political entity characterized by a union of partially self-governing provinces, states, or other regions under a central federal government (federalism). In a federation, the self-governin ...
launch an advanced manufacturing initiative of public-private partnerships to support "academia and industry for applied research on new technologies and design methodologies." The recommendation called for $500 million per year to be appropriated to the Departments of
Defense Defense or defence may refer to: Tactical, martial, and political acts or groups * Defense (military), forces primarily intended for warfare * Civil defense, the organizing of civilians to deal with emergencies or enemy attacks * Defense industr ...
,
Commerce Commerce is the large-scale organized system of activities, functions, procedures and institutions directly and indirectly related to the exchange (buying and selling) of goods and services among two or more parties within local, regional, nation ...
and
Energy In physics, energy (from Ancient Greek: ἐνέργεια, ''enérgeia'', “activity”) is the quantitative property that is transferred to a body or to a physical system, recognizable in the performance of work and in the form of heat a ...
, increasing to $1 billion per year over four years. The National Network for Manufacturing Innovation was proposed in the President's fiscal year 2013 budget and formally unveiled by the administration several weeks later in March 2012. The proposal called for a joint federal effort between the Department of Defense, Department of Energy,
National Science Foundation The National Science Foundation (NSF) is an independent agency of the United States government that supports fundamental research and education in all the non-medical fields of science and engineering. Its medical counterpart is the National I ...
and the Department of Commerce's
National Institute of Standards and Technology The National Institute of Standards and Technology (NIST) is an agency of the United States Department of Commerce whose mission is to promote American innovation and industrial competitiveness. NIST's activities are organized into physical sci ...
to create a network of 15 regional institutes, funded by a one-time investment of $1 billion and carried out over a period of 10 years. The administration reprogramed $45 million of existing resources from the Departments of Defense, Energy, Commerce and the National Science Foundation through executive action to fund a pilot, proof-of-concept institute for the program. In May the Department of Defense solicited proposals from consortiums led by nonprofit organizations and universities to establish an
additive manufacturing 3D printing or additive manufacturing is the construction of a three-dimensional object from a CAD model or a digital 3D model. It can be done in a variety of processes in which material is deposited, joined or solidified under computer co ...
(which includes 3D printing) research institute to serve as the prototype facility. In August, 2012 the government announced the winning proposal, the National Additive Manufacturing Innovation Institute (NAMII), also known as AmericaMakes led by the National Center for Defense Manufacturing and Machining and based in
Youngstown Youngstown is a city in the U.S. state of Ohio, and the largest city and county seat of Mahoning County. At the 2020 census, Youngstown had a city population of 60,068. It is a principal city of the Youngstown–Warren metropolitan area, which ...
,
Ohio Ohio () is a state in the Midwestern region of the United States. Of the fifty U.S. states, it is the 34th-largest by area, and with a population of nearly 11.8 million, is the seventh-most populous and tenth-most densely populated. The sta ...
. The consortium's members include 40 companies, nine research universities, five community colleges and 11 nonprofit organizations. AmericaMakes was established with an initial federal government investment of $30 million, while the consortium contributed almost $40 million in additional funding. The administration stated that it expected AmericaMakes to become financially self-sustaining. In May 2013, the administration announced the establishment of three additional institutes using $200 million in funding through two federal agencies: the Departments of Defense, and Energy. In September 2016, the program adopted the name "Manufacturing USA". , Manufacturing USA consists of sixteen institutes. Nine are managed in part by the Department of Defense. Six are managed in part the Department of Energy. One is managed in part by the Department of Commerce.


Model

According to the original National Network for Manufacturing Innovation proposal, it would consist of up to 45 linked institutes with unique research concentrations to serve as regional manufacturing innovation hubs with spokes that link to project locations as seen represented by the various linked activities across the network. Each institute would be independently run by a nonprofit organization and form a public-private partnership designed to leverage existing resources and promote collaboration and co-investment between industry, universities and government agencies. The network is designed to address the inconsistency in U.S economic and innovation policy in that federal
research and development Research and development (R&D or R+D), known in Europe as research and technological development (RTD), is the set of innovative activities undertaken by corporations or governments in developing new services or products, and improving existi ...
(R&D) investments and
tax incentives A tax incentive is an aspect of a government's taxation policy designed to incentivize or encourage a particular economic activity by reducing tax payments. Tax incentives can have both positive and negative impacts on an economy. Among the posit ...
are not matched by corresponding incentives to encourage the domestic manufacture of the technologies and products that arise from this R&D. The goal of the institutes is to develop, showcase and reduce risks sufficiently so that commercial companies can commercialize new products and processes for domestic production, as well as to train a manufacturing workforce at all skill levels to enhance domestic manufacturing capabilities. Institute activities include connecting proven basic research to additional problem solving that ranges from basic to applied research and demonstration projects that reduce the cost and risk of commercializing new technologies or that solve generic industrial problems, education and training, development of methodologies and practices for supply-chain integration, and engagement with small and medium-sized manufacturing enterprises. Critics of Manufacturing USA have argued taxes and burdensome regulations are the most pressing problems facing U.S. manufacturers. Supporters counter that the U.S. government has a long history of successful investments in R&D to support innovation in U.S. industry. Others argue that the Manufacturing USA can help alleviate two key
market failure In neoclassical economics, market failure is a situation in which the allocation of goods and services by a free market is not Pareto efficient, often leading to a net loss of economic value. Market failures can be viewed as scenarios where indiv ...
s that plague industrial innovation, namely that innovators generally do not capture the full economic benefits that their innovations provide and thus achieving the optimal level of R&D investment requires government support, and the so-called "valley of death" problem in which no single business can afford the risk or the cost to invest or where businesses tend not to invest in long-term R&D projects with profits that are far in the future. Additionally, supporters argue that the Manufacturing USA will create a more attractive domestic environment for manufacturing, and thus will encourage manufacturers to locate production facilities in the United States.


Institutes


See also

*
Manufacturing in the United States Manufacturing in the United States is a vital sector. The United States is the world's third largest manufacturer (after the People's Republic of China and the European Union) with a record high real output in Q1 2018 of $2.00 trillion (i.e., ad ...
*
DIUx The Defense Innovation Unit (DIU) is a United States Department of Defense (DoD) organization founded to help the U.S. military make faster use of emerging commercial technologies. Launched in 2015, the organization has been called "the Pentagon's ...
*
Defense Innovation Advisory Board The Defense Innovation Board is an independent advisory board set up in 2016 to bring the technological innovation and best practice of Silicon Valley to the U.S. Military. It is governed by the Federal Advisory Committee Act (FACA) and provides ...


References


External links


Manufacturing USA official website
{{authority control Manufacturing in the United States National Institute of Standards and Technology National Science Foundation United States Department of Defense United States Department of Energy Research institutes in the United States Innovation organizations United States Department of Commerce NASA United States Department of Labor