As a global percentage, US manufacturing has shrunk in its share. However as far as total output goes, US manufacturing has actually been increasing. It's just that China is rising so quickly that "dey tukk er jerbs" crowd started sounding the alarms. Manual intensive low-end segment of manufacturing will not be coming back, and even that has started to move away from China. As long as the US occupies the top of the food chain in the industrial sector (aerospace, electronics etc), it will be golden.