Skip to: Content
Skip to: Site Navigation
Skip to: Search

October 11, 2008 1:35:38 AM CDT

Learn about Newser Points »

« Back to the grid | Next story »

Oil Price Spike Brings Jobs Back to US

Posted Jun 13, 08 11:30 AM CDT in Business 

(Newser) – As costs for overseas production and shipping soar, US companies are growing reluctant to outsource manufacturing—and some are even bringing their plants back to America, the Wall Street Journal reports. “In a world of triple-digit oil prices, distance costs money," said an economist. But it’s not just the transport: Raw materials are getting pricier, and workers abroad are calling for more money.

One foundry president says shipping costs were “the straw that broke the camel's back." But even domestic transportation is expensive, and for some companies, there are industry-specific reasons to work abroad. “A decent amount of production could come back into the States within five years, not everything,” said a shipper.

Source Wall Street Journal

0 comments | Print E-mail | Digg Seed this on Newsvine Add this link to Del.icio.us StumbleUpon

Related Newser Stories

  • US Sees Worst Decline in Jobs Since 2003

    Mar 7, 08 7:58 AM CST
    US Sees Worst Decline in Jobs Since 2003 The US lost 63,000 jobs in February, the second straight month payrolls contracted and the worst drop since 2003, catching economists off guard and fanning fears of recession anew, Bloomberg reports. Economists hoped the economy would add 23,000 jobs after declining a modest 17,000 in January, when the unemployment rate rose to 4.9%. More »

A ship is moored by oil tanks in Tokyo Bay in Kawasaki, near Tokyo, Japan, Tuesday, April 1, 2008.   (AP Photo/Itsuo Inouye)
In this June 10, 2008 file photo, a woman walks past the price board at a Shell gas station in San Mateo, Calif.   (AP Photo/Jeff Chiu)
A visitor stands in the lobby of Emerson Electric's headquarters in St. Louis, Nov. 28, 2007. Emerson has brought some jobs from Asia to Mexico and the US amid high transportation costs.   (AP Photo/Tom Gannam, file)
« Prev« Prev | Next »Next » Slideshow
Our editors also recommend:

Threads (
1
 of 1)

Tags

oil price  • manufacturing  • outsourcing  • job market  • factory  • transport  • jobs


Loading...

Premium Articles from HighBeam

Find more articles like this

Today's Most Popular

Loading...

Other Business Stories

What is Newser?

2008 Codie Finalist

Newser gives you more news in less time. We search for the best and most important stories all over the web, read them for you, and deliver concise and sharp summaries—along with links to the full text. Newser provides a way to stay on top of an ever-expanding horizon of news and opinion—politics, sports, business, trends, technology, personalities, crimes, and controversies. Newser keeps you not just better informed, but, with our signature graphic interface and smart condensed format, more enjoyably informed.

Learn more »