•A new era of manufacturing: “On-shoring” • Focus… on the Southern draw
page21 > Reason #2: The gas bonanza •The (positive) double price effect in the short-run
• Chemicals and primary metals industries to benefit most from the low energy costs •Focus… on Texas, the power plant
page28 > Reason #3: The commitment to a conducive business climate • Objective: Innovation
•Cash hoarding instinct: debunking the myth • Focus …on California, the innovation incubator
Subsidiaries page36
Economic Outlook
series page38
Euler Hermes Economic outlook is issued ten times a year by the Economic research department of Euler Hermes. It is also available on subscription for other businesses and organisations. Reproduction is authorised, so long as mention of source is made. o Publication Director and Chief Economist: Ludovic Subran • Macroeconomic Research: Maxime Lemerle (Manager), Mahamoud Islam (Economist), Ana Boata (Economist), Romeo Grill (Economist Germany), Dan North (Economist USA), Clément Bouillet (Intern) • Sector Research: Yann Lacroix (Manager), Bruno Goutard, Marc Livinec, Didier Moizo (Sector Economists) • Country Risk Research: David Atkinson (Manager), Andrew Atkinson, Manfred Stamer (Economists) • Graphic Design: Claire Mabille • Editors: Martine Benhadj • Support: Valérie Poulain, Mathilde Lavaud • For further information, contact: the Economic Research Department of Euler Hermes at 1, place des Saisons 92 048 Paris La Défense Cedex – Tel.:+33 (0) 184115377>Euler Hermes is a limited company with a Directoire and Supervisory Board, with a capital of 14,451,032.64 euros, RCS Paris B 388 236 853 • Photoengraving: Evreux Compo, Evreux, France – Permit november 2012—Bull 1176; ISSN 1162 – 2881o 15 December 2012
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Special Report The Reindustrialization of the United States
Economic Outlook n° 1187 | Special Report | The Reindustrialization of the United States
page4 > Overview – Like a phoenix rising from the ashes page6 > It’s the (macro)economy stupid!
• Falling over the ‘fiscal cliff’: why the short-term outlook is worrying •Which favorable market conditions support a full-fledged U.S. recovery? • Another positive sign for the industrial fabric: insolvencies on the decrease
page10 > Manufacturing: the cornerstone of the reindustrialization of the U.S. • 2000-10: important but losing momentum and restructuring massively
• Over-performing in the aftermath of the crisis to start back on new grounds •The guest stars of reindustrialization