AI has moved from a buzzword to an operational enabler, with 82% of manufacturing executives viewing it as a key growth driver. Almost half have experienced significant ROI on their investments. However, a skills gap remains a major obstacle for innovation.
2026 Manufacturing Outlook
Manufacturing faces a defining moment in 2026. The future belongs to those who adapt business models, embrace new technologies, and rethink sourcing to outpace traditional competitors. This report highlights changing trends like AI, operational agility, and sourcing strategies, and how they’re changing the industry.
AI Is a Competitive Necessity
The real winners will be those who foster a culture where innovation is everyone's responsibility and not just the domain of a digital team.
Vaidy Raghavan
Chief Product & Technology Officer
Chief Product & Technology Officer
Read more about AI / Innovation
Agility Is the New Manufacturing Currency
Manufacturing's future depends on proactive resilience, not reactive plans. Reshoring is now a dominant strategy, with 45% of global executives pursuing it to counter risks from rising costs and tariffs. The greatest blind spot is overreliance on a single supplier. True business continuity must be built into operations from the start, not just written in a playbook.
Having redundancy in supply chains built in with alternate suppliers and alternate components called out on the bill of materials is really what enables business continuity.
Michael Cavalieri
Senior Vice President of Marketplace Operations
Senior Vice President of Marketplace Operations
Read more about Operational Agility
The Future of Manufacturing Is Customer-Driven
Customer expectations are at an all-time high, demanding faster delivery, superior quality, and stable pricing. As costs rise, manufacturers face mounting pressure and are raising prices. The path forward requires a focus on value, streamlining processes, and adopting transparent pricing to build trust and meet these new demands.
Buyers — even in B2B contexts and in complex manufacturing capacities — are expecting Amazon-like speed and real-time transparency and customization, so the right partners can enable faster lead times and on-demand production and full supply chain transparency.
Rachel Zepernick
General Manager
General Manager
Read more about Customer & Market Expectations
Sourcing for Stability
The pricing power paradox is forcing a sourcing revolution. Facing rising raw material and labor costs, companies must raise prices while facing customer pushback. The only way to gain stability and a competitive advantage is through updating sourcing strategies. Eighty-four percent of companies are using new technologies and partnerships to diversify their supplier networks, which builds resilience and ensures flexibility.
In the past, manufacturing pricing was fragmented and opaque, but we're now moving toward a future where pricing models can resemble those of B2C companies. By leveraging marketplace intelligence and data analytics, we can develop dynamic pricing strategies that optimize prices for both buyers and suppliers in real time.
Amaresh Sahoo
Vice President, Pricing, Sourcing & Analytics
Vice President, Pricing, Sourcing & Analytics
Read more about Pricing & Sourcing
What Are You Looking Forward to in 2026?
Tune in to discover expert recommendations from top industry leaders at Thomas and Xometry for navigating the evolving manufacturing landscape and positioning your business for growth.
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Discover the key trends and strategies shaping manufacturing in 2026 to stay ahead of the competition and drive growth.