Editorial: Battle Creek, a Rust Belt icon, battles back as American manufacturing jobs decline | Entertainment

For generations, the Kellogg food company and Battle Creek, Michigan, went together like corn flakes and milk. Then came 2023.

After decades as an independent public company, Kellogg split in two, later selling its storied cereal business to Italy’s Ferrero Group and its valuable snack business to Mars Inc., which has extensive operations in Chicago.

When Illinois Gov. JB Pritzker bragged in March about hundreds of jobs being transferred to the Windy City in the wake of the deals, that sounded like a tough blow in the offing for Michigan’s “Cereal City.”

As it turned out, not so much.

Many of those jobs being consolidated in Chicago come from Mars’ operations elsewhere. And while Kellogg was indeed busted up and sold off, it remains one of the biggest employers in its old hometown, maintaining a global research and development facility and a local headquarters at One Kellogg Square.

The Kellogg Foundation still supports education, housing and revitalization in Battle Creek. A local student can still attend Ann J. Kellogg Elementary, Kellogg Prep High School and Kellogg Community College. The Kellogg Arena, Kellogg Community Credit Union and Kellogg Bird Sanctuary just outside town are still notable landmarks.

Like many other small industrial cities across the Midwest, Battle Creek is diversifying beyond its roots. A community built on blue-collar union jobs and paternalistic corporate leadership has had to evolve as those one-time pillars of prosperity weakened.

Battle Creek today is much different than it was, but it is not circling the drain. Its resilience in the face of change shows that, under pressure, the Rust Belt’s factory towns can carve out a future based on their long-time strengths.

American manufacturing shed an estimated 100,000 jobs last year amid tariff chaos and persistent inflation. Sustained downward pressure could herald an even worse performance this year.

Battle Creek would be in big trouble had it depended only on Kellogg as its economic engine. Instead, over the years, the city’s economic development brain trust got creative.

Back in the 1980s, Battle Creek courted Japanese companies, overcoming skepticism and occasional hostility from some locals. Today, Denso Manufacturing is considered the area’s No. 1 employer. Other Japanese companies took note as Denso grew and prospered in this unlikely spot midway between Chicago and Detroit.

The Fort Custer Industrial Park, launched in the 1970s at a time when such ventures were hit-or-miss propositions, now hosts dozens of companies. Some of the big ones are Japanese manufacturers turning out auto parts, Denso included.

Like so much of Battle Creek, the industrial park was something else before its current incarnation. The sprawling Fort Custer helped train generations of soldiers throughout the 20th century, and part of it still serves the Michigan National Guard.

The Milton is another example of a white elephant that became a unicorn. At 19 stories, the former Heritage Tower is one of the city’s tallest buildings. Built in 1931 for a long-gone bank, it fell into disrepair until the Michigan Economic Development Corp. undertook a high-stakes renovation, supported by local patrons.

The result is an office, retail and residential property anchoring downtown, its art deco mezzanine beautifully restored. On a recent visit, the leasing office reported that just two of its 85 apartments were available.

Battle Creek’s people needed to reinvent themselves, too. Consider Michael “Mac” McCullough, former editor of the Battle Creek Enquirer, a once-robust local newspaper that operates today with a stretched-thin staff. McCullough is now a librarian and archivist at the public library downtown, and a walking encyclopedia of local knowledge.

McCullough is clear-eyed about the ongoing challenges — the empty buildings, silent churches and all-too-conspicuous poverty that followed the loss of good-paying union jobs. Battle Creek long benefited from talented executives serving on civic boards, organizing charity drives and coaching youth sports. They’re scarce these days, and much of Battle Creek’s workforce commutes to the city while living outside it. “There was more of a mindset that their jobs were to be stewards of the community,” he recalled.

As he spoke, not far from the library’s Japanese-language section, McCullough was setting up a local-history archive with 7,000 historical books and other items. “Tales of Battle Creek” tells of the connection with the Seventh-day Adventist Church, established in the city more than a century ago and instrumental in promoting healthier corn flakes over the pork-heavy diet of the era. “Small Town: Giant Corporation” describes the origins of Denso’s ongoing, transformative investment in Battle Creek.

McCullough misses the city that moved to the rhythm of a three-shift workday when he arrived to join the newspaper in 1998. But he says he’s not going anywhere. “Battle Creek is a town you can fight for, care for,” he said. “I love it here.”

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Trump promised a manufacturing boom, but factory jobs continue to decline

William Brangham:

The U.S. job market has been cooling recently, and government data shows it’s only getting harder for Americans to find a job.

One sector that has proved tougher than most is manufacturing. President Trump has promised a manufacturing boom in both his terms, but while he’s been able to get pledges for more factory investment, the actual jobs inside those factories tell a different story thus far.

Economics correspondent Paul Solman has this report.

Paul Solman:

The Ohio State marching band and its featured instrument, the brassy sousaphone, emblem of school spirit and state pride, made just outside Cleveland.

Rob Hines, Sousaphone Buffer, Conn Selmer:

We handcraft everything. We have perfected the process for it and it’s been working for 58 years in our facility. And that’s what I think you get when you get that American craftsmanship.

Paul Solman:

Rob Hines, an American craftsman, sousaphone buffer at the Conn Selmer plant, where he’s worked for nine years.

Rob Hines:

It’s not an easy job. It’s a grueling job. But we do it because we love what we do.

Paul Solman:

And what they lovingly produce, which is why he and co-workers were stunned when the company suddenly said it will shutter the factory in June and relocate to China, shunting 150 people to the street.

Rob Hines:

It’s a lot of fear right now. A lot of people are afraid.

Wyatt Georskey, Sousaphone Buffer, Conn Selmer:

We’re talking about some of the best brass instrument craftsmen in the world going into job interviews and being told, well, that’s good and all, but you don’t actually have any skills.

Paul Solman:

Wyatt Georskey, another buffer. His future?

Wyatt Georskey:

I don’t know what I’m going to do. We’re all left in a limbo right now.

Paul Solman:

Of course, some of you have seen it as long as I have, manufacturing jobs on the wane ever since 1979.

President Donald Trump:

Jobs and factories will come roaring back into our country, and you see happening already.

Paul Solman:

It’s a trend President Trump has famously vowed to reverse with tariffs and domestic investment. Foreign leaders and business executives have frequently visited the White House grounds pledging to spend in the U.S. of A.

DONALD TRUMP:

In 12 months, I secured commitments for more than $18 trillion pouring in from all over the globe.

Paul Solman:

This number is widely thought to be implausible and almost assuredly includes commitments that were made before Trump’s second term. But there’s no contesting the fact that, since President Trump took office, the U.S. has lost nearly 100,000 manufacturing jobs.

The administration and its allies, however, tout their dedication to a turnaround.

John Paulson, Founder, Paulson & Co.: We need to protect American jobs and protect American manufacturing. We can’t have Americans, American producers closing American factories and offshoring.

Paul Solman:

And yet it’s this same famed investor, John Paulson, who owns the brass instrument factory. Paulson hosted a $50 million fund-raiser for President Trump during the 2024 campaign.

Rob Hines:

A lot of our members support Trump and believed in the administration.

Paul Solman:

Or did, claims Conn Selmer union Rob Hines.

And how are people feeling about it now?

Rob Hines:

Some people feel slighted. Some people are even questioning if Trump actually knows about the moves his allies are making in the dark. Some people still believe in administration. Some people feel let down.

Paul Solman:

In recent years, the company had already been moving parts to China, cheaper production, to buff the bottom line, but at a hidden cost, says Hines.

Rob Hines:

We have seen over the last year the quality deteriorate just from trying to integrate those foreign parts.

Paul Solman:

Wait, the myopic maximizing of shareholder value we have heard so much about? Or do the workers here just see what they want to see?

Rob Hines:

I don’t think it would be just because it’s in our interest. As somebody who works with these parts day in and day out, six days a week, we see the quality, and the employees have complained about the quality. And it’s fallen on deaf ears.

Paul Solman:

Meanwhile, the job attrition in Wyatt Georskey’s part of the plant.

Wyatt Georskey:

At times, it’s been over 100, and now we’re down to this group of 16 of us who are sending out the last American-made French horns and sousaphones and tubas.

Paul Solman:

Plus, there’s another cost often ignored when a plant goes under, the loss of internal community.

Rob Hines:

That’s just as big a weight as losing your job financially. I mean, it might sound kind of bizarre to say, but a lot of people are devastated, because we have people 40, 50 years have been working together.

Wyatt Georskey:

It’s been a tragedy, right, not only for community, but for bar buddies and friends everywhere.

Paul Solman:

But that too has been happening for eons. In fact, the destruction of all those jobs down on the farm is what helped create the manufacturing boom of the last century. But is there no way to protect American jobs from foreign competition?

The push now is, let’s get manufacturers from here and especially abroad to bring their manufacturing to the United States, which is then supposedly going to create more jobs than at least are here now.

Robert Lawrence, Harvard University:

The question is, how significant would those jobs be relative to the whole economy?

Paul Solman:

Trade economist Robert Lawrence.

Robert Lawrence:

We had a $1.2 trillion trade deficit in manufacturing last year. Suppose all the money that is going abroad would be used to buy American goods.

Paul Solman:

Even under such a fantasy, how much would actual factory floor jobs increase? Professor Lawrence estimates less than 1 percent. And, of course, American-made products would then cost more. In addition, he says:

Robert Lawrence:

If we were self-sufficient, what would it do to the opportunities for the typical worker in the United States who doesn’t have a college education? Would it create large numbers of employment opportunities? That’s basically what’s been driving our policies. And the answer is very little.

But, in addition, those jobs are increasingly likely to be displaced as a result of increased automation.

Paul Solman:

And perhaps increasingly likely to be overpromised, like two Ohio Intel plants.

Tim Bubb, Licking County, Ohio, Commissioner:

Intel promised 5,000 jobs into construction. We’re seeing less than half that, and 3,000 permanent jobs to man those two plants and manufacture silicon chips. Frankly, I think that’s overpromised and underdelivered, as they say.

Paul Solman:

Licking County Commissioner Tim Bubb, where the Intel project is located.

Is it an unrealistic expectation that we’re going to have lots more manufacturing jobs in this country than we used to?

Tim Bubb:

Well, I’m not going to go as far as unrealistic, but you don’t want to be overly optimistic. We’re still an expensive labor market. We have competitors around the world. It’s a world market now in Asia and other places that have been pretty darn competitive in manufacturing and shipping to this country.

Paul Solman:

More over, ads Bubb:

Tim Bubb:

One of the problems we have in this country is trained work force. You can move manufacturing plants back here, but who’s going to work in them?

Paul Solman:

But at the Alliance for American Manufacturing, the watchword is patience.

Scott Paul, President, Alliance for American Manufacturing: Just as it took a couple of decades for us to deindustrialize, I don’t think that we’re going to see immediate results in manufacturing.

Paul Solman:

Scott Paul runs the Alliance.

Scott Paul:

I’m optimistic that over time, we will see manufacturing job growth come out of both the massive amount of construction that’s going on right now, the trade deficit coming down a little bit, and a reshoring trend that was already under way before Trump became president.

Paul Solman:

So he says manufacturing jobs won’t be stuck forever at today’s lower level, and new corporate investment promised by Trump will be part of the renaissance. The U.S., he says, added a million manufacturing jobs between 2010 and 2019, when many thought that simply wouldn’t happen.

Scott Paul:

It’s not impossible to regrow the sector if we have the right policies. There might be a ceiling on the manufacturing job growth that we can see because of automation and productivity, but that doesn’t mean that we can’t grow the sector again over time.

Paul Solman:

Patience is a luxury for the likes of Wyatt Georskey, though.

Wyatt Georskey:

I’m not even thinking day to day. I’m thinking second to second. All I’m thinking is, can I get enough sousaphones out, can I get enough tubas out that they won’t close this plant at a whim because they see productivity dip?

All I can think about are the people around me and my duty to them and to our legacy to keep the place open just a little longer so we can get a few paychecks.

Paul Solman:

As of last week, the plant was still open, the paychecks still being issued. But the deadline seems to be the end of June.

For the “PBS News Hour,” Paul Solman.

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Trump said tariffs would bring factories ‘roaring back.’ So why are manufacturing jobs on the decline?

Just before President Trump announced his sweeping tariffs on “Liberation Day” last spring, the White House celebrated February’s gain of 10,000 manufacturing jobs, noting that more than 100,000 positions in the sector had been shed in the final year of the Biden administration.

“Manufacturing is Roaring Back,” the White House website declared.

But such gains were short-lived. Manufacturing jobs began to slide again in May and haven’t stopped declining. 72,000 manufacturing positions have been lost since April’s tariffs announcement, including 8,000 roles in December alone.

What gives?

“What we’re seeing is certainly a continuation of trends that began before the Trump administration,” Gordon Hanson, an economist and professor in urban policy at the Harvard Kennedy School, told Yahoo Finance. “But the tariffs haven’t helped.”

Indeed, millions of manufacturing jobs have disappeared from the US since 1979 amid a combination of “powerful” trends, Hanson said, including automation, “the continuing effects of the China trade, and the fact that the US has not done a lot of the things you need to do to restore manufacturing prowess.”

Tariffs are hardly the solution to those problems, Hanson said — though Trump insists otherwise. He vowed in April that jobs and factories would “come roaring back into our country” as levies on imports boosted locally produced goods.

While tariffs do reduce import competition, they can also increase the cost of key components for domestic manufacturers. Take US electric vehicle plants that rely on batteries made with rare earth elements imported from overseas, for instance. Some parts simply aren’t made in the United States.

Read more: What are rare earth minerals, and why are they important?

As for sectors that had already largely left the US, like apparel and textile manufacturing, “a lot of those industries are just substantially gone,” Hanson said, meaning there aren’t many existing factories where production could be ramped up and hires could be made.

Do you have a story about navigating the job market? Reach out to Emma Ockerman here.

Manufacturing is hardly the only industry to add few workers these days: Job growth remains paltry across the board, and what hiring does exist is largely being driven by the healthcare and social assistance sectors.

President Trump tours the assembly line at the Ford River Rouge Complex on Jan. 13 in Dearborn, Mich. (Photo by Anna Moneymaker/Getty Images) · Anna Moneymaker via Getty Images

Then there’s the uncertainty caused by the administration’s whipsawing tariff policies, which can lead employers to pull back on hiring as they await greater clarity.

“If Trump just picked a number — whatever it was, 10% or 15% to 20% — we might all say it’s bad, I’d say it’s bad, I think most economists would say it’s bad,” Dean Baker, senior economist at the Center for Economic and Policy Research, said. “But the worst thing is there’s no certainty about it.”

Story Continues

Trump’s tariff threats against several European nations as he sought control of Greenland, for example, appeared and abated within a matter of days, injecting some volatility into the stock market in the process.

Read more: How Trump’s tariffs affect your money

With rates “constantly changing, what becomes very difficult for businesses is to plan,” Baker added. “I think you’ve had a lot of businesses curtail investment plans because they just don’t know whether the plans will make sense.”

Manufacturing job losses could also be more severe than they appear in preliminary data. Fed Chair Jerome Powell said in December that federal statistics may have overstated job growth by “about 60,000” per month.

It’s “too early to say with any certainty” that these manufacturing jobs would be around if not for the tariffs, Baker noted, but there’s also “zero evidence” that they came charging back.

To be sure, the Biden administration also claimed a renaissance in manufacturing jobs, but that was after massive job destruction in 2020. Though employment in the sector eventually jumped above pre-pandemic levels, the growth was uneven regionally and lagged growth in other sectors, the Economic Innovation Group said in a 2024 analysis. Still, spending on manufacturing construction boomed following the 2021 bipartisan infrastructure bill, 2022 CHIPS Act, and 2022 inflation reduction bill.

That spending declined in 2025.

But, tariffs or no tariffs, a manufacturing employment boom would be difficult to construct.

As a country develops, manufacturing might first rise as a share of employment, but “in every single industrial economy” it declines steadily after a certain point, Robert Lawrence, senior fellow at the Peterson Institute for International Economics and professor of international trade and investment at the Harvard Kennedy School, said.

“It doesn’t matter if you have a trade deficit or a trade surplus,” Lawrence said.

Consumers use the money they save on cheaper goods and spend it on services, where there’s more employment growth. That’s what’s happened in the US, where payroll gains for 2025 were concentrated in services like healthcare, food services, and social assistance.

“I think this is deep,” Lawrence said. “We’ve tried industrial policy, we’ve tried trade protection — even before Trump’s initiatives and Liberation Day tariffs — and we haven’t seen much recovery at all. If anything, it continues to decline.”

Emma Ockerman is a reporter covering the economy and labor for Yahoo Finance. You can reach her at emma.ockerman@yahooinc.com.

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