Posted on 04/09/2025 1:01:33 PM PDT by daniel1212
Understanding why China has a chokehold on the US and many multinational companies has a lot to do with the government’s creation of special economic zones (SEZs)...
For example, the city of Shenzhen was once a small fishing village of 30,000 before it was designated as one of the first SEZ in 1980. Now, Shenzhen,..a top ten global finance center in 2024...home to multinational tech companies like Huawei and Tencent (maker of Wechat)...The Shenzhen experiment illustrates what happens when you bring together dense clusters of suppliers, logistical infrastructure (including highways, railroads, and ports), skilled workers, economic investment and tax incentives.
The other major piece that gives China its competitive edge is the access to critical raw materials (CRMs)... In 2022, the US Geological Survey published a list of 50 mineral commodities critical to the US economy (and national security) and China is the primary source of 26 of the 50...
Ellyson of East West drilled down on the economic realities of the supply chain trickling back to China, ...“we were one of the largest electronics assemblers east of the Mississippi and many of the components have to come from Asia…there is no domestic source,” so.. “we had to move most of those assemblies to Costa Rica and Mexico.”.. . what can and should be manufactured and assembled right here in the USA, at competitive prices.
Ferrell emphasized that there is opportunity in the machining and fabrication industry, explaining that there are actually 200,000 component parts of a locomotive but there is a huge shortage of skilled labor because technical trades like welding, for example, are no longer taught in high schools..
it will require much more capital and investment to build up the US manufacturing ecosystem similar to the SEZ model in China, and it may take decades
(Excerpt) Read more at forbes.com ...
Yep. But we still keep going despite their determined efforts.
Government deficit spending is necessary to make up for trade imbalances.
Otherwise, the Chinese, Japanese, Koreans and other foreigners would wind up with an ever-increasing percentage of the dollars.
Your “Free Market Economy (FME)” has been dependent on the continued creation of government fiat dollars for decades.
In 1941 he would have said we've lost most of our Pacific fleet, Hitler controls most of Europe and we should sue for peace while we still can.
This woke shill for globalism and American’tism ends his, “It just can’t be done” screed by praising Biden, his “Inflation Reduction” act, blah blah blah.
I ask you,
Did we give up when the Germans bombed Pearl Harbor?
Hell no!
F him and the pony he rode in on.
It’s a black female.
No way in Hell do I believe that China has been so uniquely blessed resource-wise that despite having 20% of the world’s population on 5% of the land, they have the dominant share of over half of the times of rare resources. If they lead the world in *extraction* of those resources, I presume it’s only because the cheapest method of extraction is extremely environmentally destructive and the Chinese government has such a criminally indifferent attitude towards the survival of its own workforce that other nations simply are unwilling to pile corpses high enough to compete price-wise.
Manufacturers traded manufacturng capability for importing finished (or near-finished) products as a way to increase their profits. They are now addicted and the detox procedure will be lengthy and painful.... as people with 401K investments will also find out.
See my post 25
“Maggie, I don’t want you gettin’ too close to the Asian boy.”
Herschel
“Dad. She’s Korean, her name now is Glenda.”
Maggie
Figures.
It happened because of 75 years of industrial growth, American inventors, American tycoons and bankers taking risks, millions of immigrant laborers and farmers to feed them, conflict and violence, several Panics and one Great Depression. After the second war we rebuilt Europe, continued arming our military and fostered the rebirth of Western Eurpoean industry as an ally in the Cold War. All the while we made money and built more factories but prifit is the god of capitalism and cheaper labor means greater profit. Unions had raised wages at the same time as allowing workers to buy the products they made,buy that house in Levittown, send their kids to college. International competotors arose, first Japan then Western Europe. It was competition . We beat Japan but others arose. Now we assemble, we don’t make and tge infrastructure needed to return will take longer to build than Pres Trump has left in office.
LOL Forbes LOL
Well, get started NOW, guys. Quit bellyaching, get Congress members to pass laws making schools start teaching need skills or fire all administrators/teachers. Get the infrastructure in place instead of spending billions on perversion and your own kickbacks. Your OWN sins have caused all of this. Confess, repent and START doing what is right for this nation, or...just die.
Wonder what the mysterious loss of 600-800 million people will play in all of this.
AI overview...
“Ferrell emphasized that there is opportunity in the machining and fabrication industry”
SNIP
“it will require much more capital and investment to build up the US manufacturing ecosystem”
Congress (GOPe) and Trump better pay attention to this. Without YUGE incentives for small shops to retool and expand, lessened regulations, and tax cuts these tariff’s will back fire. My suppliers have already sent notices to expect increased costs. These are materials and supplies not available in the USA. Me paying more for my supplies to enrich an already bloated government does not leave me warm and fuzzy when my tax rates are still going to be the same and machine tools skyrocket. I barely survived Biden’s awful years. In my microeconomic situation these are not good for my business.
China is not the indispensable nation.
The critical materials are not the exclusive province of China.
The idea is not to get manufacturing from China to the US; it’s to get it out of China and at least somewhere else.
You just can’t have the second largest economy cheat, lie and steal their way to the top. They don’t respect contracts, patents, rule of law.
China’s sea lanes are vulnerable and their navies cannot protect them. China gets 93% of their oil via the sea. Their navy is not what Britain was in the 19th century.
China would be crazy to believe in its invincibility and go after Taiwan.
China should be concerned if there is an attack on Iran. If there is, their oil supply would be in jeopardy.
“will require much more capital and investment to build up the US manufacturing ecosystem similar to the SEZ model in China, and it may take decades”
Not with “ Nimitzing “.
” The Yorktown will be up and running in less than 48hrs “
Could be another Great Awakening in the US. A lot of positives out there within the US.
It happened because US retailers markup 1000% and they expect the manufacturers to make product without profit.
Our problems with China ALL started with that Israel firster, Henry Kissinger.
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