America Revealed

WELCOME TO THE SERIES

THAT TAKES YOU TO THE HEART OF AMERICA

AND REVEALS THE INNER WORKINGS OF OUR COUNTRY

AS YOU HAVE NEVER SEEN THEM BEFORE.

WE'RE GOING TO GO ON QUITE A JOURNEY.

WE'LL TRAVEL COAST TO COAST ACROSS THIS SPRAWLING LAND

TO DISCOVER THE HABITS, THE RHYTHMS, AND THE SECRETS

YOU ONLY NOTICE WHEN YOU STEP BACK

AND SEE THE BIG PICTURE.

I'M YUL KWON.

I'VE WORKED IN LAW AND GOVERNMENT,

BUSINESS AND JOURNALISM.

I'VE EVEN WON THE REALITY SHOW "SURVIVOR."

WHOO!

AND IN EVERY PART OF MY LIFE,

I'VE BEEN FASCINATED BY THE SAME THINGS --

SYSTEMS AND NETWORKS.

NONE HAVE SHAPED US MORE PROFOUNDLY

THAN THE ONES WE USE TO MANUFACTURE --

TO BUILD THE THINGS THAT FILL OUR LIVES

AND FUEL OUR ECONOMY.

WHOA, THIS PLACE IS HOT!

IN THIS EPISODE,

WE'LL UNCOVER A REVOLUTION --

A TRANSFORMATION THAT'S WELL UNDER WAY,

RESHAPING WHO WE ARE AND WHAT WE MAKE.

WE'LL ENTER A SURPRISING WORLD OF CONSTANT CHANGE

RUTHLESS COMPETITION AND RELENTLESS INNOVATION.

I LOVE THE ROBOTS.

STEP BACK JUST A LITTLE BIT.

FROM THE SIMPLEST STEEL SCREW TO THE SLEEKEST NEW CAR...

FROM A TINY SILICON CHIP TO A BEHEMOTH AIRCRAFT CARRIER...

WE'LL EXPLORE THE INTERLOCKING CHAINS OF SUPPLY AND DEMAND,

PART AND ASSEMBLY,

MATERIAL AND MANPOWER THAT MAKE OUR COUNTRY WORK.

15 SECONDS...

AAH! HERE, JUST FINISH IT FOR ME!

THIS IS THE STORY OF HOW AMERICA CREATES.

THIS IS "AMERICA REVEALED."

"AMERICA REVEALED" IS MADE POSSIBLE BY...

THE CORPORATION FOR PUBLIC BROADCASTING...

AND BY CONTRIBUTIONS TO YOUR PBS STATION FROM...

MANUFACTURING HAS SHAPED AMERICA.

FROM SHORE TO SHORE,

OUR IDENTITY HAS BEEN DEFINED BY THE THINGS WE MAKE

AND THE WAY WE MAKE THEM.

BUT MANUFACTURING IS NOT WHAT IT USED TO BE.

AND THIS PLACE SHOWS WHY.

THIS IS SAVANNAH, GEORGIA.

IT'S BEEN A TRADING CENTER SINCE COLONIAL TIMES,

AND TODAY,

IT'S ONE OF THE FASTEST-GROWING PORTS IN THE UNITED STATES.

THINGS HAVE CHANGED SINCE THE DAYS OF SETTLERS,

CORN, AND COTTON...

THESE GIANT SHIPS COME HERE FROM ALL AROUND THE WORLD,

FILLED WITH ALL KINDS OF MANUFACTURED GOODS

LIKE COMPUTERS, OVENS, FLAT-SCREEN TVs,

AND EVEN AMERICAN FLAGS.

WE USED TO MAKE THESE THINGS OURSELVES.

NOW THEY CAN BE MADE MORE CHEAPLY ABROAD.

SO WE IMPORT THEM, PACKED TIGHT INSIDE THESE CONTAINERS.

WE IMPORT SO MUCH, IN FACT, THAT THESE DOCKS ARE LOADED

WITH MORE THAN $1 30 MILLION WORTH OF GOODS.

AND THEY WON'T BE HERE FOR LONG...

BECAUSE THIS PORT RUNS 24 HOURS A DAY, 7 DAYS A WEEK.

SO, BEFORE YOU KNOW IT, EVERY CONTAINER YOU SEE HERE

WILL BE GONE --

HEADED OFF TO STOCK AMERICA'S STORES.

THESE SHIPS WILL BE GONE, TOO.

BUT WHAT THEY TAKE WITH THEM MAY SURPRISE YOU,

BECAUSE WHEN THEY GO,

THEY'LL BE FILLED WITH AMERICA'S BIGGEST EXPORT.

AND IT'S NOT TVs OR COMPUTERS OR OVENS.

IT'S SOMETHING ELSE.

THIS IS THE ONLY WAREHOUSE IN THE PORT

THAT STORES AMERICAN-MADE GOODS.

IT'S THE SIZE OF SEVEN FOOTBALL FIELDS.

AND RIGHT NOW, ALL IT HOLDS IS PAPER

ROLLS AND ROLLS OF PAPER.

THAT'S BECAUSE WE SHIP MORE CONTAINERS OF PAPER TO THE WORLD

THAN ANYTHING ELSE BY FAR.

AND ONE MAN IS RESPONSIBLE FOR KEEPING IT ALL MOVING.

SO, LARRY, EVERYTHING IN HERE

IS GONNA BE EXPORTED OUT OF THE COUNTRY?

THAT'S CORRECT.

HERE, IN THIS PARTICULAR FACILITY,

WE DO NOTHING BUT EXPORT PAPER.

LARRY GERJACKS MANAGES THIS WAREHOUSE.

HE KNOWS WHERE ALL THE PAPER COMES FROM,

WHERE IT'S GOING, AND WHY.

IT'S GONNA GO TO ASIA, PARTS OF EUROPE.

A BULK OF THIS GOES TO CHINA.

AND WHAT DO THEY DO WITH ALL THIS PAPER?

WELL, IT COMES RIGHT BACK TO US IN BOXES.

ALL THESE DIFFERENT ELECTRONICS THAT WE IMPORT FROM CHINA

IS BOXED UP WITH THIS PAPER WE SEND OVER TO THEM.

SO ALL THIS PAPER IS GOING TO CHINA.

THEY TAKE IT, THEY MAKE IT INTO BOXES

TO PACKAGE ALL THE STUFF

TO IMPORT BACK INTO THIS COUNTRY.

THAT'S CORRECT.

SO IT'S JUST KIND OF GOING BACK AND FORTH?

THAT'S RIGHT.

I WOULD SAY YOU HIT IT ON THE NAIL.

LOOKING AROUND, THIS PLACE SEEMS LIKE A SIGN OF TROUBLED TIMES.

PAPER IS WHAT'S CALLED A LOW-VALUE GOOD.

IT'S A PRODUCT--UNLIKE, SAY, A TELEVISION

THAT'S WORTH LITTLE MORE

THAN THE RAW MATERIALS THAT GO INTO IT.

SO FOR MANY OF US, THIS AN UNSETTLING PICTURE

A PICTURE OF A COUNTRY

THAT'S IMPORTING MORE THAN IT'S MAKING,

OF A MANUFACTURING SYSTEM THAT'S DYING.

BUT IF YOU LOOK BEYOND THIS PORT,

YOU'LL SEE SOMETHING VERY DIFFERENT.

MANUFACTURING IS NOT REALLY DISAPPEARING FROM AMERICA.

IT JUST DOESN'T LOOK LIKE IT USED TO.

A WHOLE NEW LANDSCAPE IS EMERGING,

FILLED WITH NEW IDEAS, NEW PEOPLE, AND NEW PLACES...

LIKE HERE IN CHATTANOOGA, TENNESSEE.

THIS SITE, FROM A LOGISTICS POINT OF VIEW,

IT'S A BEAUTIFUL SITE

BECAUSE IT'S ADJACENT TO AN INTERSTATE,

YOU DON'T HAVE ANY NEARBY RESIDENTIAL,

IT'S GOT DUAL RAIL ACCESS.

IT'S JUST A TERRIFIC SITE.

THIS IS DENNIS CUENO.

HE WORKS AS A SITE SELECTOR --

HELPING COMPANIES FIND LOCATIONS FOR THEIR FACTORIES.

HE SPECIALIZES IN HIGH-VALUE MANUFACTURING

IN GOODS THAT ARE WORTH FAR MORE

THAN THE COST OF THEIR RAW MATERIALS.

AND HERE IS WHAT HE'S SO EXCITED ABOUT.

IT'S AMERICA'S NEWEST AUTO PLANT

A BILLION-DOLLAR STATE-OF-THE-ART FACILITY

FILLED WITH ALL OF THE LATEST TECHNOLOGY.

BUT THIS FACTORY WASN'T BUILT BY FORD,

CHRYSLER, OR GENERAL MOTORS.

IT WAS BUILT BY VOLKSWAGEN.

AND WHILE YOU MAY NOT THINK OF VOLKSWAGEN

AS AN AMERICAN CAR-MAKER,

MAYBE YOU SHOULD.

THESE CARS ARE MADE IN AMERICA

OUT OF AMERICAN-MADE PARTS

BY NEWLY HIRED AMERICAN WORKERS

AND HAVE BEEN SPECIALLY DESIGNED TO BE SOLD IN AMERICAN MARKETS.

AND VOLKSWAGEN ISN'T THE ONLY FOREIGN COMPANY

BEING DRAWN TO OUR SHORES.

WHAT'S HAPPENING HERE IS PART OF A MUCH BIGGER PICTURE.

THIS IS WHAT AMERICA'S AUTO INDUSTRY LOOKED LIKE IN 1980.

EACH DOT IS A FACTORY RUN BY A U.S. AUTOMAKER.

AND IN THE LAST 30 YEARS,

MORE THAN HALF OF THEM HAVE CLOSED...

WHILE COMPANIES LIKE HONDA, TOYOTA, BMW, AND NISSAN

HAVE OPENED NEW FACTORIES,

SPAWNING A VAST NETWORK

OF AMERICAN-OWNED AUTO-SUPPLY FIRMS --

ALL THESE DOTS YOU SEE HERE.

IT'S BEEN A MAJOR BOOST TO OUR ECONOMY

AND A PROFOUND CHANGE TO OUR AUTO INDUSTRY --

A CHANGE THAT DENNIS CUENO HAS WITNESSED FIRSTHAND.

MOST OF THE NEW PLANTS BUILT IN THE UNITED STATES

OVER THE PAST 20 YEARS

HAVE BEEN BY FOREIGN AUTO MANUFACTURERS.

THEY HAVE PUT ABOUT $44 BILLION OF NEW INVESTMENT

IN THE UNITED STATES.

THEY EMPLOY ABOUT 80,000 PEOPLE.

I THINK A LOT OF PEOPLE WOULD BE SURPRISED BY THAT,

BECAUSE I THINK THE COMMON ASSUMPTION

IS THAT ALL THESE MANUFACTURING JOBS

ARE GOING OVERSEAS TO PLACES LIKE CHINA.

THE LABOR-INTENSIVE, LOW-COST,

LOW-WAGE CLASS JOBS ARE GOING TO CHINA.

BUT THE HIGH-VALUE-ADDED JOBS ARE STILL STAYING HERE.

AND THE FACT THAT THIS LARGE, MULTI-NATIONAL CORPORATION,

VERY SOPHISTICATED,

CAN BUILD THESE CARS ANYPLACE,

HAS CHOSEN TO PUT $1 BILLION INVESTMENT HERE

TELLS YOU THAT THE UNITED STATES

IS STILL A GOOD PLACE TO BUILD STUFF,

ESPECIALLY HIGH-VALUE-ADDED STUFF.

THERE'S ONE OBVIOUS REASON

THAT AMERICA ATTRACTS THIS KIND OF INVESTMENT.

WE'RE A HUGE MARKET.

WE BUY MORE THAN 12 MILLION CARS A YEAR.

BUT THERE'S ANOTHER REASON THAT'S FAR MORE SIGNIFICANT.

OUR FACTORIES ARE IN THE MIDST OF A REVOLUTION.

THEY'VE EMBRACED A NEW WAY OF THINKING ABOUT MANUFACTURING

ONE EXTRAORDINARILY FOCUSED ON EFFICIENCY.

AND HERE AT VOLKSWAGEN,

YOU CAN SEE THAT THINKING IN ACTION.

BUSINESSES HAVE ALWAYS CARED ABOUT EFFICIENCY.

BUT THIS PLACE HAS PUT EFFICIENCY ON STEROIDS.

TO BE PROFITABLE,

THESE PEOPLE NEED TO MAKE 500 CARS A DAY.

AND EACH CAR HAS ABOUT 20,000 PARTS.

SO EVERY MOVEMENT IS COORDINATED,

EVERY ACTION PLOTTED OUT.

SOME OF THIS MAY LOOK FAMILIAR

BECAUSE THE BASIC WORKFLOW WAS ESTABLISHED OVER A CENTURY AGO,