Posted on 12/11/2016 4:32:24 PM PST by Steelfish
Trump & Boeing: It's Not About Air Force One, It's About China by Jon Ostrower December 9, 2016
Boeing executives were blindsided by Donald Trump's Tuesday comments about the cost of Air Force One, but those weren't the tweets that worried America's largest exporter.
Many former and current Boeing executives say they're far more worried about Trump's antagonism toward China, the largest and most important growth market for the crown jewel of American manufacturing. "The vulnerability to China is pretty clear," said one former senior Boeing executive.
In contrast to the long term stakes over Boeing's future in China, the flap over the cost of Air Force One lasted 24 hours.
Boeing would be a prime target in any retribution by China if Trump follows through on his campaign threat to impose a hefty tariff on Chinese imports.
A shift of orders to Airbus would likely cause a rippling drop in output for Boeing, a loss of jobs, and, crucially, a loss of market share that would give Airbus the ability to lower prices and win other deals. One-quarter of the nearly 500 Boeing 737 jets delivered in 2015 went to Chinese airlines, serving a fast-growing middle class that's as large as the entire U.S. population. The market is worth a trillion dollars over the next 20 years.
Everyday, Boeing's factories are filled with colorful jets for Chinese airlines that Americans won't recognize: Xiamen, 9 air, Donghai, Ruili, Hainan, Hebei, Shandong and Shenzhen.
(Excerpt) Read more at money.cnn.com ...
Same with South Korean engineers/managers.
Yep, that’s it.
China wants all the marbles.
Iran obviously did since they got 80 airliners for only $16 billion..........
The Korean government gave billions to Samsung and other chaebol to copy and advance US technologies.
Now 80% of the memory chips are made in South Korea, within range of NK artillery.
The joys of "free trade."
Siemens thought they would have billions in locomotive sales to China, so they sold some engines and moved some manufacturing to China.
A few years later the Chinese started selling locomotives that were exact copies down to the millimeter.
What Trump is concerned about is China requiring Boeing to build manufacturing and engineering facilities in China, have China steal the designs and manufacturing techniques, set up its own aircraft manufacturing, and then undercut Boeing in the international market.
BINGO!!
And Boeing should be concerned too if they weren't so greedy.
Yep, I've believed for years that any factory an entity from an advanced economy sets up in China will eventually result in the Chinese copying the product and manufacturing process and going into business for themselves.
Exactly, that is what is required for Boeing to continue to sell to China.
You know, that is EXACTLY what they did to Motorola.
A few years ago, a gauge company (making gauges for auto, marine and aircraft industries) wanted to build a plant in PRC, but the Chinese wanted to see the gauges, the Chinese decided not to let them build, but the Chinese made the gauges right down to the name (they added a letter and removed a letter).
they have china, silverware etc only in first class...unless they recently changed.
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