Sometimes it seems that there are concerted efforts to talk the US and its economy down, when in fact, the country’s economy is, according to The Economist, “the envy of the world. A recent article in the publication claimed that the American economy has left other rich countries “in the dust”. So what are the industries and sectors driving that growth, and which ones are delivering the most?
Smart Appliance Manufacturing
Large smart appliances like household cooking appliances, refrigerators, and laundry equipment have predicted revenue growth of 29.7% for the coming year. Revenue has surged because the price of these smart appliances has come down, making them more accessible to consumers. This has made them affordable for almost all households for the first time. In addition, incomes have been rising, which has benefited the industry and allowed more consumers to purchase more luxury items, including major smart appliances.
Fruit and Nut Farming
Fruit and nut farming in the US accounts for non-citrus fruit and nut crops sold fresh and for processing to domestic and export markets. Revenue is up by 28.1% as the industry has benefitted from increased demands from wineries and overseas trade. The increase comes after revenues were hit in the past 5 years as a result of COVID-19 supply chain disruptions and the impact of Russia’s invasion of Ukraine. However, now, for the first time in a long while the balance is shifting back towards growth.
Kombucha
The kombucha industry is experiencing revenue growth of 24.5% as consumers become increasingly aware of healthy choices and demands for alternative beverages. Kombucha is the most popular drink choice for health-conscious Americans. The industry offers a wide range of flavors and varieties, with Kombucha producers tapping into the fact that consumers like to try new things. They have been experimenting with different herbs, spices, and fruits to create diverse and appealing portfolios.
Solar Power
The solar power industry, including photovoltaic (PV) panels and solar thermal power stations, has witnessed significant growth of 23.5%. This growth has been propelled by improved technology used for electricity generation and government incentives to help the economy transition to sustainable supply. Legislation requires utility companies to diversify their portfolios to ensure renewable energy production is an increasing part of their mix. Despite intensive lobbying from Big Oil, there is increasing public support for green energy, and the country has seen tax incentives and grants to encourage further investment in solar energy. In turn, this has led to more companies powering facilities with solar-produced electricity.
Online Gambling
Online gambling is a relatively small but robust industry that has seen revenue growth of 22.6%. Consumers have grasped the opportunity to have a wager as gambling rules were relaxed across the country after the Supreme Court overturned a federal ban. Demand for online gambling rose significantly during the COVID-19 pandemic when people had enforced leisure time on their hands. Many people thought this might be a blip, but it is, in fact, an upward trend. While online casino gambling for real money is only available in a handful of states, the latest craze sweeping the nation is social and sweepstakes casinos. The same legislation does not cover these as real money is not staked. Casinos like Chumba are top-rated and give away vast sums of virtual Gold Coins to attract players to their sites. A review site like Casino.org finds them for you, showing that the industry has grown so much, that even third-party review sites have become a large sub-sector within the growing vertical.
3D Printing and Rapid Prototyping Services
Over the past five years, rapid technological development and new 3d printing apps have seen these industries grow by 22.3%. The falling price of 3D printing machines has allowed many companies to purchase their own equipment, and demand has flourished. As design and development services could be done remotely, this industry could continue operating when others had to shut down due to COVID-19.
Hybrid and Electric Vehicle Manufacturing
The hybrid and electric vehicle industry has grown by 21% due to a surge in the popularity of renewable energy. Hybrid electric vehicles (HEV) and electric vehicles (EV), including plug-in hybrids (PHEV) and plug-in electric vehicles (PEV), have experienced dramatic upticks in sales amid rising oil and gas prices. Concerns about the environment and new entrants to the market have also resulted in growth. At the same time, government incentives and infrastructure have increased accessibility for domestic customers and commercial fleets including taxis and hire cars.
Wholesale fruit and vegetable
Fruit and vegetable wholesale has experienced increases in revenue of 21.6%. Higher per capita disposable income allowed consumers to purchase more fresh produce from grocery stores and eat out more often, benefiting the wholesale industry. As the economy reopened, people were keen to get out more, and this demand from downstream sectors drove revenue growth for wholesalers.
Cotton Farming
The cotton farming industry has been highly volatile over the past five years. After the pandemic caused states and localities to enact quarantines and reduce consumer spending and demand for products from textile mills and clothing manufacturers, the industry has now bounced back and grown by 20.6%. Textiles and garment manufacturers are critical to the cotton industry, and the pandemic caused the cotton market to decline, and plunging prices worsened the industry’s performance. Commodity prices surged post-pandemic, which helped bolster the market, but trade wars and an appreciating dollar caused exports to fall. However, at the moment, the movement in the market is in the right direction.
Frozen Food Production
Frozen food producers saw growth of 17.7% as higher disposable income let consumers trade up to new, healthier, and premium frozen foods with higher retail price tags, which ‘froze’ demand in some product areas. Health concerns have also led consumers to buy fewer frozen ready meals. Frozen food producers responded by introducing products that are healthier and contain more nutritious ingredients. In addition, new studies have indicated that frozen ingredients have the same health benefits as their fresh counterparts.
Sustainable growth and transition
From technology to food and from farming to online gambling, there is much to be encouraged by in the US economy. The continuing upsurge in environmental awareness and the drive for a greener economy also fuel economic growth. The challenge for politicians and industry will be to ensure that people in the declining sectors can find well-paid, meaningful work in the growing industries to ensure communities are not left behind, as has happened in the past.
