1 week Ago By Logan Dragone
The manufacturing industry in Central Florida has grown substantially in the last 10 years, with gross domestic product growing to $17 billion in 2023 — a 93% increase from 2014. Manufacturing employment has slowly increased in Central Florida counties, but tariffs installed by the Trump administration, intended to bolster domestic manufacturing, may weaken profitability and uproot supply chains, according to experts. Central Florida has a diversified manufacturing industry, with significant activity in aerospace and defense, boat manufacturing and medical device technology.
With the tariffs in place, much of the steel, agriculture and other products will likely rise in cost, causing concern for manufacturers. A first-quarter 2025 survey from the National Association of Manufacturers showed manufacturers concerned about trade uncertainties increased 20% from the previous quarter to 76.2%.
The survey was conducted before the March and April tariffs. “A lot of folks are very actively trying to figure out exactly what the impact is going to be,” said Mike Aller, the vice president of strategic program development for public-private manufacturing partnership FloridaMakes. “Costs are likely to rise and that is going to be reflected in some degree [by] reduced margins for companies and increased prices for customers.
” Aller says the impact for each manufacturer will be dependent on the degree to which they import materials and other parts of their supply chain from other countries. For companies looking to take advantage of tariffs, the challenge will be identifying the areas of opportunity in the industry, purchasing domestically, and raising capital, Aller says. Economist Sean Snaith, the director of UCF’s Institute for Economic Forecasting, said the tariffs may be used to address specific areas of the supply chain.
“They're not going to restore the manufacturing sector to what it was in the 1950s, but I think there are some strategic industries where there is some concern about being dependent on other countries to produce goods for us,” said Sean Snaith, director of UCF’s Institute for Economic Forecasting . Meanwhile, manufacturers are supporting a bill in the Florida legislature which will create a chief manufacturing officer for the state and the create a “Made in Florida” designation — similar to the “Grown in Florida” program for crops. Sign up for the Business Journal’s free morning and afternoon daily newsletters to receive the latest business news affecting Orlando.
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