Editor’s note: Welcome to So That Happened, our editors’ takes on things going on in the manufacturing world that deserve some extra attention. This will appear regularly in the Member’s Only section of the site.

Rockwell’s CEO Was Certain About This Answer

A hatful of industrial-company CEOs, including key distributors and blue chips ITW and Nucor, have this summer pointed to a nice improvement in customers’ buying activity. Demand appears solid and maybe even broadening out, they said, as companies look to grab their share of investments being poured into data centers, electrification and infrastructure.

But much of that capital spending has been about modernization and incremental growth. So what, Morgan Stanley analyst Tobenna Okwara asked Rockwell Automation Chairman, President and CEO Blake Moret at the investment bank’s recent Laguna Conference, might be the catalyst to open the investment floodgates on big greenfield projects?

Moret was clear.

“A reduction in the uncertainty, as there are a lot of active, headline-grabbing trade discussions going on,” he said. “I was in Washington yesterday. It is a very active moment, certainly for the U.S.’ most important trading partners here with Canada and Mexico. And a reduction in the volatility there – particularly in industries like automotive, where the supply chains are so integrated across those three countries – I think that would release more capital.”

Something to add to the sector’s wish list for after the midterms?

— Geert De Lombaerde

Hexagon’s New State of Manufacturing Report

Executives think they can adapt to major disruptions, run integrated data and run lights-out facilities. New employees, in appreciable numbers, disagree with the executives on every point. 

This disconnect between leadership and the rest of the organization is the theme of Hexagon Manufacturing Intelligence’s annual State of Manufacturing report, released on September 17.

According to the report:

• 91% of executives think their company can adapt to major disruptions and 62% of entry-level workers agree. 
• 80% of executives think their company’s data is integrated but only 33% of entry-level workers agree. 
• While 31% of executives think they run plants lights-out only 10% of their senior managers agree.  

While 77% of manufacturing leaders believe their operations are fully or mostly connected, the data gathered by the report disagrees:  

• 67% of manufacturers surveyed do not have their data integrated across a unified perspective and lose over 6 hours a week to measurement and inspection bottlenecks.
• 40% are fully connected across design, production, quality and business systems but 39% of respondents report limited feedback between these departments.  

Leaders may have (potentially unfounded) confidence about data and automation in their organizations but only 24% of manufacturers surveyed think they are ahead of their competitors on automation, while 46% believe they are keeping pace. Chief concerns about moving forward with automation include ROI (22%) and cybersecurity (27%).  

Other data points from the report:

• 58% of manufacturers think their reshoring efforts are on progress while 29% report running behind.
• Tariffs (51%) and inflation (50%) are the pressures manufacturers feel the most.
• Only 7% of manufacturers expect AI to reduce headcount and 79% train workers for AI-assisted or automated environments.

Check out the full report if you want to really get into the weeds.

—Dennis Scimeca

California Shut Out of Manufacturing Extension Partnership Funds

Last week, IndustryWeek reported that 11 state Manufacturing Extension Partnerships and one in Puerto Rico received their latest round of federal funding from the National Institute for Standards and Technology (NIST). The MEP program helps small and medium-sized manufacturers improve and modernize their operations.

However, two states eligible for MEP funding did not receive awards: California and Alaska. 

California lost its federal MEP funding in 2025. This year, the state was in the running to have the funding restored, with up to $15.6 million available to re-establish its MEP Center. 

According to a statement from California Rep. Norma Torres, the state has more than 35,000 manufacturers, contributing more than $391 billion to the U.S. economy. Torres, along with other Congressional representatives, had advocated for the funding renewal. 

The San Joaquin Valley [California] Manufacturing Alliance lamented the MEP funding rejection in a Sept. 17 Linkedin post.

In 2025, Alaska MEP’s chose to end its award. Carrie Hines, president and CEO of the American Small Manufacturers Coalition, noted last December that “the geography of Alaska is a hard territory to serve and generate cost share to draw down the federal funds. That became the issue.”

Concerned that Alaska manufacturers would lose economic clout, two women in food manufacturing stepped up to start the Alaska Manufacturing Association to connect and advocate for the state’s manufacturers. 

Alaska was part of the open call for grant applications in the September 2026 cohort but the state did not receive a federal MEP award. 

— Laura Putre

FSCJ Fuels the Future of Semiconductor Skills 

Florida State College at Jacksonville (FSCJ) recently celebrated the official opening of an advanced semiconductor training lab. The facility, developed by Festo Didactic, is designed to help develop a workforce pipeline to address the semiconductor and STEM skills gap. 

“Fabs play a critical role in semiconductor manufacturing, where the microchips that power today's connected world are produced,” says Industrial Engineer and Sales Director for Festo Didactic North America Daniel Rodriguez. “Investing in educational fabs is one of the most effective ways for institutions to attract and retain students and prepare graduates for careers in advanced manufacturing.” 

The lab features Festo’s Semiconductor Learning Factory platform and Cyber-Physical manufacturing system with 14 workstations, simulating a real fab environment and providing students with hands-on Industry 4.0 training. Students will operate metrology and inspection tools, handle silicon wafers with vacuum wands and learn critical safety protocols. 

“Our graduates will be able to adapt to various automated environments – and they won’t be limited to one industrial sector,” says FSCJ Dean of Engineering and Technology Douglas Brauer. “The skill sets they acquire in our lab translate directly into dozens of technical and operational industries for in-demand roles.”  

The lab installation, which is supported by a $2.3 million state capitalization grant, will support at least 15 engineering technology courses and the Festo Industry Certification Program, with training ranging from basic machine operation and mechatronics to technologies such as AI vision inspection. 

“Having the first-of-its-kind advanced manufacturing and semiconductor training system in Florida will give our students an immediate competitive edge in the workforce,” says FSCJ President John Avendano. 

— Anna Smith

Hammond Flies Into Fort Worth

An area of manufacturing seeing consistent investment (including some greenfield work) is electrical equipment in general and transformers specifically. Adding to the list this week was Ontario-based Hammond Power Solutions, whose leaders said they will invest $35 million to equip and commission leased space in Fort Worth that will crank out large transformers for data centers and broader energy applications. 

The investment, CEO Adrian Thomas said in a statement, will bring Hammond closer to some of its customers and position it to take advantage of longer-term trends. The company’s initial investment allows for roughly $180 million worth of annual production and has the capacity to grow by another $100 million or so over time. 

— Geert De Lombaerde