RS Components have created an interactive graphic, The Manufacturing Capitals of the World. which reveals who came out on top in 2010, 2016 and who is expected to dominate the sector in 2020.

The Manufacturing Capitals of the World

Contributed by | RS Components

The manufacturing industries are evolving as new digital technologies transform the landscape. As smart manufacturing and the implementation of the IoT drives manufacturing to new heights, what should we expect to see from manufacturing in years to come? RS Components reveal all with a new interactive graphic.

In the USA, manufacturing generated $2.18 trillion towards their GDP in 2016, driving 11.7 percent of the nations whole economic output. Whilst in the UK, manufacturing contributes £6.7 trillion to the global economy.

In 2018, manufacturing is expected to delve further into hyper-connectedness as the industry implements Industry 4.0 and continues it’s steady growth into the IoT and Artificial Intelligence (AI). In the midst of this revolution, AI will become a necessity as the amount of data created by the IoT will be too large for humans to manage and control. Business Insider predicts business spending on IoT solutions will hit $6 trillion by 2021.

As the digital and physical worlds of manufacturing converge, we're going to see manufacturing heavyweights continue to take centre stage. By 2020, 60% of manufacturers will rely on digital platforms which will support as much as 30% of their overall revenue. Kamal Ahmed, BBC economics editor, comments that ‘for the first time since the (British) financial crisis, the three main engines of global growth - the USA, China and Europe - are performing strongly at the same time.’

But, which countries are top performers in manufacturing and will they always be?

RS Components have created an interactive graphic, The Manufacturing Capitals of the World. which reveals who came out on top in 2010, 2016 and who is expected to dominate the sector in 2020.

What will the manufacturing industry will look like in 2020?

The US will be the manufacturing capital of the world by 2020. Rising from fourth position in 2010 to second in 2016, the US is predicted to climb to the top spot by 2020. Asia will also be dominating the manufacturing capitals of the world in 2020. China, Japan and India all make appearances in the 2020 top 5, as they did back in 2010, too.

Germany are also included in the 2020 top 5. Only just making the top 10 list back in 2010, Germany will place 3rd in the world by 2020, with giants USA and China before them. This makes Germany the highest climbing manufacturing capital country out of those in the top 5 ranks.

The UK was the biggest climber in the manufacturing capitals rankings between 2010 and 2016. After recording the fastest growth in their manufacturing sector for three years back in 2017, the UK rise from 17th place in the world in 2010, to 8th in 2020.

The graphic reveals that Brazil falls the furthest down the ranks out of all the countries; in 2010, Brazil ranked as the 5th top manufacturing capital in the world. By 2020, the nation will have fallen a total of 18 spots, taking 23rd place.


BRIC Breakdown

Of the BRIC countries (Brazil, Russia, India and China), only China is viewed by executives as a top manufacturing nation in 2016. The other three BRIC nations have experienced a decline in their rankings over the last few years.


The Rise of the Mighty Five

The five Asia-Pacific nations of Malaysia, India, Thailand, Indonesia and Vietnam (MITI-V or the “Mighty Five”) are expected to be included into the top 15 nations on manufacturing competitiveness from 2010 up until 2020..


Battling for the Top Spot

China is again ranked as the most competitive manufacturing nation in 2016, but is expected to slip to second position as global executives provide their perspective on how the next few years will play out and the USA will take the top spot.


Regional Clusters of Strength

Out of the top 10 manufacturing competitive nations, two regions, North America and Asia-Pacific, dominate. All three North American countries in the top 10 today are expected to remain in the top 10 ranking a few years from now. As many as five Asia Pacific nations (China, Japan, South Korea, Taiwan and India) are expected to factor in the top 10 by 2020.


UK Cements Itself in the Top 10

Despite fears that manufacturing is moving overseas,  the UK holds its place in the top 10 most competitive nations and is expected to do so into 2020.



The content & opinions in this article are the author’s and do not necessarily represent the views of ManufacturingTomorrow

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