China State Construction nets $100 million US subway deal

AsiaLynx.com (ChinaDaily.com) ^ | 11/23/2009 | Liu Yiyu

[Rumplemeyer]

The project is performed by America workmen from the New York area, you think they are importing craft and supervision from China? Not happening.

[grey_whiskers]

Well, given the number of H1-B's from India who overstay their visa...

if what you say is correct, I *am* glad they are using US workers.

But why not use a US firm, since (presumably) using US workers eliminates the wage arbitrage which is the "excuse of first resort" when outsourcing; and using a US firm would keep the money flowing in the US economy...?

Cheers!

[smokingfrog]

As far as I am concerned, it’s not a matter of fairness, it’s a matter of trust. I don’t believe the Chinese are trustworthy. I’m tired of hearing stories about Chinese drywall, lead in children’s toys, melanin in baby formula, toxic toothpaste, tainted animal feed, and on and on. And don’t get me started on Chinese made steel. They will do anything to make a buck from the US.

[Rumplemeyer]

The rules require the project be awarded to the “lowest responsible bidder” that means the low bidder must be pre-approved by the owning agency, it is a very through process based on financial and technical ability. They met the rules and submitted the lowest bid, based on the plans, specification and schedule of the owner.

The unit prices for the items of work reflect the respective bidders ( Contractors)internal production histories. Everyone pays the same for labor and equipment, the materials are the same...production is the wild card, it determines your cost. The “Profit” is the contingency you add for risk...sometimes more than 50% of you labor cost, if the job has problems and takes longer...your labor increases.

The labor in NYC is all Union, you are not going to bring in foreign workers on visa's.

How would the money not flow into the U.S. economy?

[Rumplemeyer]

These jobs are built by American citizens that work China State, they have a U.S. Joint Venture partner, Halmar from NYC. Halmar is run by Chris Johnson, a very smart and experienced guy from NY.

The NYC construction market is a very tough and competitive one, not for beginners. The Owners are very quality conscious and demanding, the inspection is tops, I know I am a Heavy Construction Contractor working in NYC.

[grey_whiskers]

If the winning bidder is a Chicom company, the "profits" flow to China, n'est-ce pas?

Cheers!