Despite the hype around reshoring, it's still too early to characterize what's happening as a boom. Manufacturing construction spending excluding computer and electronic products rose approximately 5.6% between February 2025 and March 2026 in nominal terms, adjusted for inflation real growth was around 2.3%. This is not a universal trend, but rather a specific set of industry sectors where domestic production investment is already underway.
The freight reality that small carriers need to understand is that there's no single manufacturing boom generating a rising tide of new domestic freight. Instead, there are specific sectors like pharma, food and beverage, flatbed-adjacent construction materials, and regional automotive supply chains that offer opportunities for growth.
Pharmaceutical manufacturing is the sector where reshoring is most concretely real, with companies like Eli Lilly announcing a $27 billion domestic investment plan. This includes facilities in Indiana, North Carolina, Wisconsin, and Alabama, which will create jobs and stimulate local economies.
The freight profile of pharmaceutical manufacturing facilities is unique and requires specialized handling. These plants generate high-frequency movements of regulated inputs, controlled substances, packaging components, and finished product, often requiring chain-of-custody documentation and temperature-sensitive transportation.
Small carriers that can navigate the complexities of pharmaceutical logistics will be well-positioned to capitalize on this trend. By understanding the specific needs of these facilities, they can offer customized services that meet the unique requirements of each customer.
The Alabama facility announced by Eli Lilly is one of the largest pharmaceutical manufacturing investments in that state's history, with production expected to ramp up over a five-to-seven-year timeline. This investment will create jobs and stimulate local economic growth.
Merck has an active domestic vaccine and biologics manufacturing program, while Johnson & Johnson announced a $55 billion domestic manufacturing pledge. These companies are committing significant resources to domestic production, which will help drive growth in the sector.
Flatbed-adjacent construction materials and regional automotive supply chains also offer opportunities for small carriers. By focusing on these sectors, they can differentiate themselves from larger carriers and attract new customers.
The key is for small carriers to understand their target markets and tailor their services accordingly. By doing so, they can capitalize on the growing demand for specialized logistics services in specific industries.
Ultimately, small carriers that can adapt to changing market conditions and offer customized services will be well-positioned to succeed in this new landscape.
