Globalization%20has%20come%20full%20circle%20at%20Otis%20Elevator%20Co.

Globalization%20has%20come%20full%20circle%20at%20Otis%20Elevator%20Co.

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By TIMOTHY AEPPEL Globalization has come full circle at Otis Elevator Co. The U.S. manufacturer, whose elevators zip up and down structures as diverse as the Empire State Building and the Eiffel Tower, is moving production from its factory in Nogales, Mexico, to a new plant in South Carolina. Fifteen years ago, Otis Elevator joined the stampede of U.S. manufacturers who moved production to Mexico in a bid to save money. Now they're moving it all back. Tim Aeppel explains why on The News Hub. More startling: Otis says the move will save it money. What's happening at Otis is part of a broader shift in the way manufacturers tally costs. Their outlook has been changing as the cost of producing abroad has risen and they have devised more efficient ways to make things close to where they want to sell them. International companies ranging from Ford Motor Co. to General Electric Co. have started returning to the U.S. some jobs that they had previously shipped offshore, a process sometimes dubbed as "reshoring." "It's a trickle, it's not a trend—but clearly companies are now thinking more about it," says Scott Paul, executive director of the Alliance for American Manufacturing, a nonprofit alliance of business and labor groups that lobbies for domestic production. A number of forces are behind the modest influx. Wages and other costs are going up in
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Globalization%20has%20come%20full%20circle%20at%20Otis%20Elevator%20Co.

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