Manufacturing Belt: From Rust Belt Past to Industry 4.0 Future

Manufacturing, the process of turning raw materials into finished goods, has been around for centuries — its roots stretch back to Mesopotamia and ancient Egypt. But it wasn’t until the Industrial Revolution in the 18th and 19th centuries when the manufacturing sector really took off in the United States, with mass production and machines changing the game. 

While manufacturing still makes up about 10 percent of the U.S. GDP, the rise of automation and global competition has hit some parts of the country hard, particularly in the Manufacturing Belt-Rust Belt states. Towns that were once booming with factories and churning out products like cars, steel and cameras in the 20th century are now facing job losses, empty plants, population decline and a dying economy. 

Introducing the Term ‘Rust Belt’

As one might expect, the term “Rust Belt” has a negative connotation. The area —marred by fewer high-paying jobs, rising poverty and population shifts as residents relocate in search of employment — symbolizes a more significant decline in the manufacturing might of America. Also known as the “Manufacturing Belt,” “Rust Bowl” and “Factory Belt,” the Rust Belt generally includes the following states in the Midwest and along the Great Lakes:

• Illinois
• Indiana
• Michigan
• Missouri
• Upstate and Western New York
• Ohio
• Pennsylvania
• West Virginia
• Wisconsin

So, why the term, “Rust Belt?” In 1984, the decline in these states became so apparent that Walter Mondale, the Democratic party’s presidential nominee against Republican President Ronald Reagan, gave a speech to Cleveland steelworkers during his campaign. He said, “Reagan’s policies are turning our Industrial Midwest into a Rust Bowl.”

From there, the media tweaked the Dust Bowl reference to play off the country’s growing, southern Sun Belt region that represented a healthy economy, with industries like oil, military, aerospace and agriculture at the forefront. And, therefore, the term “Rust Belt” was born.

A History of the Rust Belt 

Of course, this region wasn’t always known as the Rust Belt. In fact, it was at the forefront of the Industrial Revolution, which began in late 18th-century Britain and was notable for scientific and technological development that transformed rural, agriculturally based societies into industrialized, urban economies. Products once crafted by hand were now mass-produced in factories across America through the introduction of new machines and techniques, creating a significant boost to the U.S. economy in the 19th century. 

While the 19th century was driven primarily by steam power and mechanization, rapid technological advancements and shifts in industrial processes further characterized the Industrial Revolution of the 20th century. This later period focused more on mass production, electricity and new materials, especially ones being produced by the steel industry.

Key innovations like Henry Ford’s assembly line made production faster and goods more affordable than ever, while the widespread adoption of electricity further transformed industries. Chemical engineering gave rise to plastics and other synthetic materials, while the transportation and communication sectors boomed thanks to automotive vehicles, airplanes, telephones and radio. 

But this rapid industrial growth soon led to environmental challenges and worker exploitation, setting the stage for labor reforms and ecological movements to come. In the latter 20th century after World War II, the desire for lower labor costs, fewer regulations and expanding global trade with countries like China and Mexico caused manufacturing jobs to relocate overseas. It wasn’t long before deindustrialization in the once-booming Rust Belt cities of Pittsburgh; Buffalo, N.Y.; and Akron, Ohio, to name a few, began to negatively impact these local governments and economies.

How the Rust Belt Is Reinventing Itself

As a result, the Rust Belt became a hollowed-out shell of its former self. As factories were abandoned, Midwestern and Great Lake communities that depended on manufacturing jobs faced unemployment, economic decline and population loss. Industrial Heartland cities like Detroit and Cleveland saw a nearly 50 percent population decline between 1970 and 2006.

There was also a problem with how younger generations perceived blue-collar work. In the past, these roles provided a stable path to middle-class prosperity — families could live on one income and easily afford a home, a car and other creature comforts. Over time, that was no longer the case, as wages stagnated and prices continued to rise. Younger generations began seeing these jobs as too physically demanding with limited career growth, so they fled to larger cities. 

But all is not lost. American businesses are reinventing themselves for the modern age. Let’s take Kodak, for example. Located in Rochester, N.Y., Kodak was a giant in film and film camera manufacturing for over a century, but it failed to adapt quickly enough to the digital age and instead clung to its traditional film business. By 2012, it declared Chapter 11 bankruptcy. At its peak in 1992, Kodak employed 62,000 local employees — in 2012, it was down to just 1,600. 

However, Kodak is no longer on the decline. It made a major shift from consumer products to commercial imaging, focusing on areas like digital printing, 3D printing and healthcare imaging. By reinventing itself as a provider of business-to-business services, it adapted and found new opportunities, stabilizing its position in niche markets. While it’s no longer the large-scale manufacturer it once was, its ability to pivot allowed it to remain on solid ground and even grow. As of this writing, Kodak now employs 4,000 people locally. 

Industry 4.0 & the Future of Manufacturing 

For the past three decades, the Rust Belt’s fate appeared to have been sealed, but Kodak is just one example of hope on the horizon. Recent investments in technology coming into Rust Belt cities and states have brought increased interest in the region once again. Plus, economically, it’s now a better bet, as major cities like New York, Chicago and Los Angeles have become too expensive for young families and those looking to purchase homes. 

Thanks to what’s been dubbed Industry 4.0, manufacturers are integrating cutting-edge technologies such as Internet of Things (IoT), artificial intelligence (AI) and robotics into their processes. This digital transformation takes traditional factories like those owned by Kodak and turns them into efficient manufacturing hubs, offering a lifeline in revitalizing the local economies of the Rust Belt.

As of 2020, Kodak began embracing Industry 4.0 principles in a few key areas. For example, its print systems and manufacturing processes use IoT and automation to enhance productive efficiency and performance of their most crucial assets. Through the use of these technologies, Kodak has simplified its print job preparation, which, in turn, boosts automation, improves efficiency, reduces costs and increases profitability.

There is concern among workers that increased automation might lead to job shortages. While some repetitive tasks will likely become automated over time, that does not necessarily mean workers will be replaced. New manufacturing and maintenance job positions that require human expertise will be created. The focus is shifting toward training workers with the skills they’ll need to manage, program and maintain these advanced systems.

In this sense, the use of Industry 4.0 doesn’t eliminate human jobs but instead complements them. By embracing these new methods of manufacturing, it likely won’t be long before the Rust Belt and companies like Kodak can reclaim their crown as a manufacturing powerhouse.

How Manufacturers Use a CMMS Like Coast 

Computerized maintenance management system (CMMS) software like Coast is a large part of the solution to fix manufacturers’ problems. By centralizing all asset management and maintenance work into one convenient software, manufacturers see a reduction in unplanned downtime. They can simply plan preventive maintenance and routine checks to improve operational efficiency and extend asset lifespan by addressing everyday wear and tear in a timely manner. This means fewer emergency repairs and more savings over time.

CMMS software also makes teamwork easier with its real-time communication. Your team can create, assign and track work orders all from one place, no matter where they are, as well as communicate along every step of the process. 

So, if you’re ready to make maintenance stress-free, Coast is here to help. Book a demo today!