Walmart just announced it would be raising prices because of tariffs. So is that a good argument against Trump’s autarkic trade policies? Perhaps. But, as the Professor of Innovation at the University of Cambridge, Tim Minshall, points out, the global system of manufacturing is a complex thing. He argues that while countries shouldn't attempt complete manufacturing self-sufficiency, maintaining some domestic capability is crucial for innovation and resilience. Minshall, whose new book How Things Are Made, explores the hidden world of manufacturing, explains how the industrial manufacturing and knowledge economies are deeply interconnected, and how relocating production isn't simple due to complex supplier networks and specialized skills. He addresses challenges facing manufacturing powers like Germany and examines China's rising dominance. Minshall concludes that manufacturing must become both better (less environmentally harmful) and focused on creating better products, while consumers must recognize both their role and responsibility in this complex system.

Five takeaways

* Manufacturing is essential for national "sovereign capability" but countries don't need to make everything themselves - a balanced approach is better than complete self-sufficiency or total offshoring.

* Knowledge economies and manufacturing are interdependent - research and development require tight coupling with production, and letting manufacturing disappear overseas can damage innovation capabilities.

* Manufacturing supply chains are incredibly complex - components for products like iPhones travel "around six times around the world" and factories can't simply be relocated overnight as skills, suppliers and infrastructure take years to develop.

* Modern manufacturing faces two major problems: fragility (as demonstrated during COVID) and environmental damage from production and logistics.

* We need both "better manufacturing" (less harmful processes) and "manufacturing better things" (like clean energy systems), while recognizing our role as consumers in driving manufacturing choices.

Tim Minshall is the inaugural Dr John C. Taylor Professor of Innovation at the University of Cambridge, the head of the Engineering Department’s Institute for Manufacturing and a fellow of Churchill College. His research, teaching and outreach are focused on the links between manufacturing and innovation. He lives in Cambridge with his scientist wife, Nicola.

Named as one of the "100 most connected men" by GQ magazine, Andrew Keen is amongst the world's best known broadcasters and commentators. In addition to presenting the daily KEEN ON show, he is the host of the long-running How To Fix Democracy interview series. He is also the author of four prescient books about digital technology: CULT OF THE AMATEUR, DIGITAL VERTIGO, THE INTERNET IS NOT THE ANSWER and HOW TO FIX THE FUTURE. Andrew lives in San Francisco, is married to Cassandra Knight, Google's VP of Litigation & Discovery, and has two grown children.

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