The race against China is bringing American workers into sharper focus, particularly as job vacancies abound. From semiconductor factories to the drydocks responsible for building the U.S. Navy’s combat ships, it’s clear… there aren’t enough skilled laborers to meet the demand. Navy Secretary John Phelan, speaking in Detroit on July 16, highlighted the imbalance, stating, “We’ve spent the last 10 years teaching people how to code. We need to spend the next 10 years teaching people how to use their hands.” This statement emphasizes a crucial pivot in our workforce strategy.
The industries responsible for both ships and chips depend heavily on hands-on labor. Roles like shipfitters and semiconductor equipment technicians are essential for America to maintain its competitive edge. As President Trump noted on August 26, “Every policy of the Trump administration is designed to lift up the American worker, promote great-paying, blue-collar jobs, and to rebuild the industrial bedrock of our nation.” With a diversification in workforce attire—from traditional blue collars to engineers in clean room gear—there’s a modern twist to the labor demand, yet the core remains rooted in expertise and craftsmanship.
Despite this demand, America faces a significant challenge. The decline in the manufacturing workforce, sharpened by globalism and exacerbated by COVID-19, has serious implications. Today, only 3% of the American workforce is employed in manufacturing, a drop from 9% during the Cold War. While some states like Texas and Florida have managed to recover manufacturing jobs after the pandemic, many others have not. Without immediate action, this trend threatens not just economic stability but also national security.
Currently, the U.S. Navy needs to fill 250,000 positions over the next decade to maintain its shipyards. This shortfall poses a significant risk to maritime dominance, especially when faced with a rapidly expanding Chinese fleet. It’s clear that addressing workforce wages is crucial. Trump indicated that wages for blue-collar workers are increasing at the fastest rate in sixty years, but this upward trajectory must reach skilled positions like welders working on nuclear submarines, which should offer salaries that are competitive with other industries.
Beyond entry-level positions, retaining experienced workers is vital, especially as shipyards push forward with ambitious projects involving submarines and aircraft carriers. The vision of “the nation as a shipyard” calls for strategic investment and the cultivation of new talent pools in regions where labor is abundant. The stakes of this effort are high, especially given the sharp decline of the U.S. share in global semiconductor manufacturing—from 40% in 1990 to just 12% in 2020. With projections of 33% growth in semiconductor jobs by 2030, the anticipated gap of 146,000 unfilled positions highlights the need for a comprehensive approach to workforce development.
The advanced chips being produced today—those powering systems used in satellites and fighter jets—demand specialized knowledge. The production capabilities in places like Linthicum, Maryland, spotlight the urgent need for hiring to meet growing demands, which could quadruple by 2030 if the workforce can be assembled. There is, however, some positive news. According to the St. Louis Fed, manufacturing investments have doubled since 2022, reflecting a renewed focus on modernizing facilities and increasing efficiency.
The One Big Beautiful Bill aims to facilitate access to training, including Pell Grants that can cover on-the-job training programs. Secretary of Labor Lori Chavez-DeRemer recognizes that job creators are “back at the center of our economic agenda.” From aerospace manufacturing in Utah to microelectronics in Idaho, the growth of the job market depends heavily on the availability of skilled labor.
President Trump often points to “the incredible hardworking men and women of our country” as pivotal players in the U.S.-China economic competition. It is their labor that underpins American prosperity and national security. As the competition heats up, the nation must prioritize investment in its workforce, ensuring a robust pipeline of talent is equipped to innovate and sustain us in critical industries.
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