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Surging Costs Complicate Plans for New U.S. Factories
Wall Street Journal ^ | April 6, 2025 | John Keilman and Owen Tucker-Smith

Posted on 04/09/2025 6:46:14 AM PDT by karpov

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To: karpov

“…hampered by delays in securing a $182 million loan guarantee the federal government conditionally granted last year.”

How about that? Tariffs saved the taxpayers $182 million without an import being made.


41 posted on 04/09/2025 8:01:28 AM PDT by FreedomNotSafety
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To: ProtectOurFreedom
If things don’t look bright by spring and summer next year, the Dems will be back, impeachment, and maybe conviction. Then deep state misery forever.

The economy will be booming by next year.

But, even if it isn't, there is virtually no chance of Democrats taking back the Senate and absolutely no chance of a two-third vote necessary for impeachment.

You realize that you're spewing bullsh$t, don't you?

42 posted on 04/09/2025 8:22:59 AM PDT by Kazan
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To: Kazan

I’m glad you are so confident.


43 posted on 04/09/2025 8:24:45 AM PDT by ProtectOurFreedom (Don't be a "PANICAN" or a "PANICRAT")
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To: karpov
yearslong government effort to reinvigorate U.S. manufacturing

Yeah right. Haven't seen it.

44 posted on 04/09/2025 8:32:35 AM PDT by Pollard (Zone 6b)
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To: karpov
Tariff-swollen building costs helped to kill a $300 million plastics recycling plant in Erie, Pa., that had been in the works for four years. International Recycling Group, helmed by CEO Mitch Hecht, said Thursday it was canceling the factory partly because new duties on material and imported machinery had created “expectations of substantially higher project development costs than anticipated.”

In the works for four years? Sounds like they were waiting on fedgov grants and subsidies which means it wasn't a viable business anyway. Kind of like the Non Governmental Organizations aka NGOs that can't survive without government money. They were never "on Governmental" in the first place.

45 posted on 04/09/2025 8:36:00 AM PDT by Pollard (Zone 6b)
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To: ProtectOurFreedom

Trump knows what the hell he’s doing.


46 posted on 04/09/2025 8:44:00 AM PDT by Kazan
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To: karpov
plants that are still being built need machinery that isn’t made in the U.S

LOL
I got an old lathe sitting in my garage that I can donate if that would help.

47 posted on 04/09/2025 8:50:03 AM PDT by Karl Spooner (Putin: "Time to finish off the Ukraine troops"- 3/28/25)
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To: central_va

You can’t buy the land for an auto factor within a year, much less build one. Nothing to say of the electrical and plumbing infrastructure the city must provide... Large grocery stores average 18-24 months of build time following 3-4 YEARS of planning.


48 posted on 04/09/2025 10:14:25 AM PDT by TexasGunLover
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To: central_va

It is so bad that if the globalists could figure out away to import entire buildings and houses built with wage slave labor they’d do it.

******************

Don’t give them any ideas, they have a woke status quo to uphold.


49 posted on 04/09/2025 10:27:04 AM PDT by unclebankster (Globalism is the last refuge of a scoundrel. )
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To: Nervous Tick; SoConPubbie; TexasGunLover; Skwor; karpov; central_va

It seems you might be right — for Tesla at least, it seems like setting up a new such facility could take as little as a year, which honestly surprises me.

However, when it comes to semiconductor manufacturing, that timeline is a whole different story. Building a new fab typically takes 5 to 7 years, and that’s only if everything goes perfectly — no delays, no hiccups.

Here’s why it takes so long:

Facility construction alone can take at least 3 years. These fabs are some of the most intricate and technically demanding buildings on the planet.

Equipment installation and calibration is another huge undertaking. Tools like EUV lithography machines are incredibly delicate, astronomically expensive, and require custom cleanroom setups. This phase alone can stretch over 1–2 years.

Tech transfer adds more time. Moving proprietary process technologies from, say, Taiwan to the U.S. isn’t just a plug-and-play operation — it involves years of knowledge transfer and navigating intellectual property restrictions.

Then there’s the workforce gap. The U.S. simply doesn’t have as many experienced semiconductor engineers as Taiwan or South Korea, which slows down ramp-up.

And finally, supply chain localization is a beast of its own — everything from specialized chemicals to ultra-pure gases has to be sourced or manufactured domestically.

So yes, compared to that, a Tesla gigafactory going up in a year feels almost magical.


50 posted on 04/09/2025 11:26:47 AM PDT by USA-FRANCE (The Iran-Russia-North Korea-China Alliance is at war against Israel and Ukraine. Let's not forget.)
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To: USA-FRANCE
Facility construction alone can take at least 3 years. These fabs are some of the most intricate and technically demanding buildings on the planet.

I am not an expert on this type of thing, but we live in an area that has had working semiconductor manufacturing plants built, operate and then was sold multiple times before it went out of business largely because of foreign competition. I had relatives that worked at one. It did not take as long as you have projected... from the time that we first heard that the plant had been proposed to the time that it was actually operating.

The county jumped at the chance to get more high-tech jobs, and they faced no opposition from the normal enviro-whacko faction that typically challenges every new business project. Of course, the construction jobs created economic activity immediately. My relatives started their training during the time plant was being constructed.

Of course, this plant opened in the 80s and the technologies have advanced tremendously since that time. So that might explain a difference in the amount of time that it would take to build another plant. I am sure that the equipment has to be upgraded frequently in this type of operation. The last owner was Microsoft, and I am not sure that they would go out of their way to preserve American jobs.

51 posted on 04/10/2025 6:41:25 PM PDT by fireman15
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