Chicago’s South Suburbs see the future of manufacturing as American and robotic

For decades, the Chicagoland area has played a pivotal role in American manufacturing capability. Unfortunately, the once-strong bastion of manufacturing and fabrication has lost much of its fervor following years of economic stagnation, outmigration, and a declining tax base.

However, as the global marketplace continues to evolve, American manufacturers must contend with an aging ownership base, greater competition, a more even playing field, and a severe labor shortage.

The technological revolution that has brought about artificial intelligence, robotics, and machine learning can play a quintessential role in reinforcing the once-great American manufacturing sector and transforming it into advanced manufacturing.

Using robotics and intelligent systems, manufacturers can retrofit their operations to be more productive with fewer available workers. Not only will specialized autonomous robots help operationally, but they could also be the product that drives international demand for “American-made.”

Initiatives such as the Metals HUB program, overseen by the Southland Development Authority (SDA), are examples of how local, community-driven policies can change the trajectory of American manufacturing and are models that can be imitated across the country in other historically manufacturer-led regions.

By examining the structure and intentions of the SDA Metals HUB program, we can evaluate how initiatives like these can make a significant impact on surrounding communities and local economies, how American manufacturers can cope with the foreseeable challenges of tomorrow, and how we can best prepare our nation to remain competitive in a global economy starkly different from today.

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More about the Metals HUB Program

The Metals HUB program was established by the SDA in 2021 and formally launched in June 2022 as a strategic initiative aimed at revitalizing the metals manufacturing sector in Chicago’s South Suburbs or Southland. This organization supports local metals, machinery, and equipment (MM&E) companies by helping them secure new business opportunities, access technical resources, plan succession and acquisitions, and foster collaboration within the industry.

The HUB connects Southland manufacturers to new markets, provides technical assistance, and encourages modernization through programs like the Metals HUB Sensor Kit. It uses digital manufacturing technology from MxD, the U.S. Department of Defense’s National Center for Cybersecurity in Manufacturing, to boost efficiency.

By creating these resources, the Metals HUB aims to strengthen the local economy, enhance job opportunities, and sustain the Southland’s manufacturing legacy.

The HUB is particularly beneficial to the Southland due to its holistic approach to fostering advanced manufacturing and incorporating a robust workforce and infrastructure. Facing challenges like an aging labor pool and outdated technology, the HUB actively supports MM&E firms through workforce development initiatives, including a Department of Energy-funded internship program that prepares young talent for manufacturing careers.

It also fills critical gaps in sales and outreach for local firms, helping them connect with original equipment manufacturers (OEMs) and secure new contracts.

In addition, the Metals HUB plays a significant role in advising on the integration of robotics and new efficiency-boosting technologies. The work being done by SDA and the Metals HUB team is pivotal in transforming the Southland into a thriving manufacturing hub once again.

AI and robotics integration

Digital transformation and integrating new technologies are major focuses of the Metals HUB in its work with MM&Es. As CEO of the SDA, my team and I work closely with our manufacturing partners to ensure they are using a level of technology that is comfortable for their team yet comprehensive enough to tangibly boost productivity and efficiency.

According to the U.S. Chamber of Commerce, there are currently over 500,000 open manufacturing jobs in the U.S., and the National Association of Manufacturers (NAM) expects that shortage to rise to 2.1 million jobs by 2030. The combination of retiring laborers coupled with the increased demand for more domestic supply chains to offset international instability is driving the need for more integrated robotics plants without displacing skilled workers.

Skilled and knowledgeable workers will increase in value, but robotics must be strategically utilized to maintain a competitive volume of productivity.

SDA sets an example for manufacturing nationwide

The SDA Metals HUB program serves as a prime model for other economic development initiatives across the U.S., particularly in areas facing similar challenges of deindustrialization and workforce shortages. The unique demographic and geographic makeup of Chicago’s South Suburbs — spanning a diverse population with a mix of rural, urban, and suburban landscapes — reflects the complexity of many American regions.

This diversity brings both challenges and advantages, allowing the Metals HUB leadership to develop adaptive, community-focused strategies that can be applied nationally.

By addressing the needs of a broad range of communities, the Metals HUB program demonstrates how local economies can use their specific assets to foster growth in manufacturing. In the Southland, where long-standing manufacturing traditions meet modern economic challenges, the SDA has prioritized initiatives that bridge the gap between traditional industry practices and the demands of a tech-enabled global market.

The result is a revitalized local economy that both retains and attracts skilled workers, laying the groundwork for sustainable, competitive manufacturing.

Helping American manufacturing compete globally

The Metals HUB program isn’t only revitalizing manufacturing in the Southland; it’s also contributing to a vision of American manufacturing that is resilient, adaptable, and technologically forward. As global competitors invest heavily in automation, AI, and robotics, American manufacturing must keep pace to maintain its position on the world stage.

Programs like the Metals HUB, which actively integrate robotics and smart technology, are helping the industry adapt to these new standards and respond to a severe labor shortage expected to worsen in the coming decade. The Cook County Bureau of Economic Development provides ongoing support.

The Metals HUB’s approach equips manufacturers to contend with complex issues like international competition and economic shifts by modernizing production and enhancing operational efficiency. As a result, Southland manufacturers are better positioned to produce high-quality, American-made goods that can meet rising global demand.

This model of combining legacy manufacturing strengths with cutting-edge technology is a necessary step toward securing America’s future in the global manufacturing economy.

Manufacturers at the ready

Programs like SDA’s Metals HUB exemplify how public-private partnerships can foster innovation and address the multifaceted challenges Americans face today. As the Metals HUB expands, it continues to provide a framework for modernized manufacturing that other economic development councils can emulate.

Through strategic investment in technology, workforce development, and community-centered support, the Metals HUB program ensures that manufacturing in America not only survives but thrives. More than 110 MM&E companies operating in the region generate about $3 billion in revenue.

The Southland Development Authority has shown that with intentional and targeted initiatives, American manufacturing can rise to meet global challenges, ensuring long-term economic resilience. The Metals HUB program stands as a testament to the potential for regional initiatives to create meaningful change, offering a blueprint for economic revitalization that could strengthen manufacturing communities across the United States.

About the author

Bo Kemp is the CEO of the Southland Development Authority, a non-profit business organization designed to grow the economy of the South Suburbs. A graduate of Yale and the Harvard Business School, he has held positions at TSG Capital Group and Morgan Stanley and served as business administrator for Newark, N.J., under then-Mayor Cory Booker.

Kemp specializes in driving growth, managing major initiatives, and promoting efficiency through public-private partnerships. With his robust perspective, His expertise spans utilities, public infrastructure, economic development, and more.