We want more American communities to see these same benefits, so today we’re strengthening our commitment to U.S. manufacturing. We’re doing it in a couple of ways.
First, we’re announcing a new commitment: over the next ten years, Walmart will spend an additional $350 billion on items made, grown or assembled in the U.S. We estimate that this spend will support more than 750,000 new American jobs.1 We’ve identified six priority categories to focus on: plastics; textiles; small electrical appliances; food processing; pharmaceutical and medical supplies; and Goods Not For Resale (GNFR).
This commitment will mean a few more impacts, including an estimated 100 million metric tons of CO2 emissions avoided by sourcing closer to our customers.2 It will also mean an increase in spending and support for small businesses and diverse suppliers and sellers who are based here in the U.S., and it will provide the opportunity for 9,000 entrepreneurs to become Walmart suppliers and sellers through our annual Open Call events.3 Open Call is one of my favorite days of the whole year at Walmart. We invite basically ANYONE with a shelf-ready product that supports American jobs to pitch it to us. This year’s event will be held virtually on June 30.
We’re also launching a concept we call “American Lighthouses.” We plan to unite key stakeholders in specific regions of the country to identify and overcome top-down barriers to U.S. production. These Lighthouses will bring together participants from the supplier community (including manufacturers and NGOs) as well as others from academia, government and local economic development groups. By bringing together key regions and various stakeholders, we can make the supply chain more efficient. The aim is to bring U.S. manufacturing back in a sustainable, long-term way.
U.S. manufacturing really matters. It matters to our suppliers, to entrepreneurs and to the environment. It matters to our customers - more than 85% of which have said it’s important for us to carry products made or assembled in the U.S.4 And most of all, because of the jobs it brings, it matters to American communities and the people who live in them.
1 Per Boston Consulting Group using data from the Economic Policy Institute and Bureau of Labor statistics.
2 Calculated based on total spend of $350B from FY21 – FY31. Sources: Environmental Defense Fund, United Nations Conference on Trade and Development (NCTAD). Boston Consulting Group analysis.
3 Based on number of opportunities (both direct and through marketplace) for Open Call applicants to become sellers and suppliers in 2020; corporate.walmart.com/newsroom/2020/10/02/more-than-175-small-businesses-find-opportunity-at-walmarts-first-ever-virtual-open-call-for-u-s-manufactured-products.
4 According to a survey done by Walmart’s Global Customer Insights & Analytics (GCIA) team in FY18 and confirmed in an April 2019 survey.