UL^* (a safety science company) just released a new annual study on Navigating the Product MindSet -- which resulted from quantitative interviews with 1,195 manufacturers and 1,235 consumers across a range of export and import markets in high-tech, building materials, food, and household chemicals -- that had some interesting facts and findings that we should all be aware of. These include:

• On average, manufacturing companies rely on more than 35 different global contract manufacturers to create a single product.
• In the US, 50% of medical devices, 80% of medication ingredients, 75% of seafood, and 60% of fruits and vegetables come from other countries.
• In the last year, global trade flows increased:
  • 12.9% in developed economies
  • 16.7% in developing economies
• Per person, Chinese consumers are outspending US consumers 3 to 1 in High-Tech purchases
• 81% of Chinese consumers would buy more green products if environmental claims could be substantiated
• The majority of manufacturers believe they are ahead of the curve in:
  • safety (97%)
  • reliability (97%)
  • sustainability (94%)
  • innovation (89%)
• The majority of manufacturers believe their quality and on-time delivery are the best-performing aspects of their supply chain with
  • 79% claiming consistent product quality
  • 71% claiming on-time product delivery
• While 49% of manufacturers believe that product reliability & product safety are key factors in effective global competition, only 9% believe that designing sustainable products is a key factor (and only 8% believe operational sustainability is a key factor).
• Only 31% of manufacturers consider environmental products to be profitable
• 50% of manufacturers will increase sourcing from other countries

The Top 10 Export Markets are:

1. USA
2. China
3. Germany
4. Japan
5. France
6. UK
7. Netherlands
8. Italy
9. South Korea
10. Hong Kong

The Top 10 Import Markets are:

• USA
• China
• Germany
• Japan
• UK
• France
• Italy
• South Korea
• Netherlands
• Canada

So what does all this mean? Our next post will reflect on these findings.

^* Underwriters Laboratories Inc.