Companies shifting production away from China are facing major challenges in Vietnam

Irata

Posts: 1,751   +2,929
So you don't want it completely made in the US, just assembled?
I have no problem with parts sourced from different countries - the iPhone as is already contains parts from all over the world.

Losing the ability to manufacture or "build" things is imo very dangerous strategically. First you lose the actual plants, then you lose the knowledge and infrastructure.
 

wiyosaya

Posts: 6,575   +4,971
Government has made manufacturing in the West expensive.
Actually, government, in the US anyway, gives tax breaks to corporations for manufacturing outside of the US. Counter-intuitive, I know, but that is the way it is.
 

Austinturner

Posts: 296   +355
That is fine with me. Maybe we would learn to live within our means.
I really don’t know why you would want to live in a bubble and not be part of the global economy, but if you want to be hermit USA go right ahead! I want China’s dominance of world manufacturing to be reduced, but I want every country to be good at making different things and have flourishing trade between nations.
 

RudyBob

Posts: 238   +250
"trade war between China and the US" Nope. China been ripping us off cause our leaders allowed it and our leader tried his best to level it out
 

Austinturner

Posts: 296   +355
I do want to be part of the global economy. But not at the cost of screwing our local economy!
But you couldn’t be part of the global economy with 100% tariffs on all imported goods which you proposed. You can’t trade with other countries and get mutual benefits of specialisation when you have prohibitive tariff levels. You also can’t put tariffs on all imported goods without reciprocal tariffs being placed on your goods by all your trading partners and no one will buy goods from you when they could buy from other places without paying tariffs.
 

cliffordcooley

Posts: 13,003   +6,323
But you couldn’t be part of the global economy with 100% tariffs on all imported goods which you proposed.
Don't look at me. I'm not the reason we need this. I'm not the one that opted to move our businesses over seas. If it is a necessary evil to bring business back. I'm willing to deal with it. I sincerely don't understand why you are not.
 

Austinturner

Posts: 296   +355
Don't look at me. I'm not the reason we need this. I'm not the one that opted to move our businesses over seas. If it is a necessary evil to bring business back. I'm willing to deal with it. I sincerely don't understand why you are not.
Well you are the one who proposed what you thought the US should do, I’m Australian and asking why you would do something that would cut the US off and isolate yourselves economically, causing you massive harm. For example we would immediately reciprocate any tariffs you placed on commodities like finished metal ores etc from australia with tariffs on your agricultural and industrial exports. We would stop buying caterpillar and buy komatsu earthmoving machinery, you would buy inputs at a significantly higher price so you couldn’t competitively make refined metal products, we would buy out of season produce from europe rather than the US. And that would happen all over the world, we would all trade with each other except the US and you’d pay more for everything you needed. US companies would immediately move all manufacturing for export markets out of the US (think caterpillar, john deere, boeing, intel etc) to avoid retaliatory tariffs and only produce some domestic products where they could charge much higher prices without foreign imported competition.

So why would you do such a thing? How would your economy be better off without exports?
 
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cliffordcooley

Posts: 13,003   +6,323
Well you are the one who proposed what you thought the US should do, I’m Australian
Well since you don't live here. That explains why you don't understand.

As far as cutting ourselves off. We have the knowledge and potential to work for ourselves. It is unfair for corporations to deny us the opportunity to do so. All because they find it more prosperous having underpaid countries work for them. Making import/export options to them more difficult is the only way to bring opportunities back in country.

This is the US and for decades our shelves have been empty of product made from our own country. I don't mind our shelves holding products from other countries. But when we don't have our own products. It is time to cut back.
 

Austinturner

Posts: 296   +355
Well since you don't live here. That explains why you don't understand.

As far as cutting ourselves off. We have the knowledge and potential to work for ourselves. It is unfair for corporations to deny us the opportunity to do so. All because they find it more prosperous having underpaid countries work for them. Making import/export options to them more difficult is the only way to bring opportunities back in country.

This is the US and for decades our shelves have been empty of product made from our own country. I don't mind our shelves holding products from other countries. But when we don't have our own products. It is time to cut back.
I mean we all live and trade in the global economy, I don’t understand your feelings but I understand how economies work. In 2019 the US imported about $3.1T worth of products and services and exported about $2.5T giving you a narrow trade deficit.

I was wondering if you had considered the reciprocal nature of tariffs and that your 100% tariff on imports would immediately be reciprocated and kill the US export industry, drive offshore all manufacturing done in the US for export, remove foreign markets for commodities including agricultural, metals and energy and ensure that local manufacturing companies would have complete pricing power and would no longer have to compete with foreign producers, leading to terminal declines in productivity and innovation.
 

cliffordcooley

Posts: 13,003   +6,323
I mean we all live and trade in the global economy, I don’t understand your feelings but I understand how economies work. In 2019 the US imported about $3.1T worth of products and services and exported about $2.5T giving you a narrow trade deficit.
6T deficit in 10 years is not a small margin. A country the size of ours. We can live the same lifestyle without trade. Tell me do you travel 400 miles every time you need something from the store? Or do you save money by getting it closer to home. Trading everything is completely inefficient.

You keep asking about exports. I don't give a **** about exports. Those positions can shift to making products we are importing. See what I did there? We would not be losing anything. We would however be gaining self-sufficiency.

We live in a time where everyone is screaming diversity. That is as long as you don't talk about stripping China of their over-rated exports to diversify your own job market. This conversation is over. I have nothing more to say.
 

Austinturner

Posts: 296   +355
6T deficit in 10 years is not a small margin. A country the size of ours. We can live the same lifestyle without trade. Tell me do you travel 400 miles every time you need something from the store? Or do you save money by getting it closer to home. Trading everything is completely inefficient.

You keep asking about exports. I don't give a **** about exports. Those positions can shift to making products we are importing. See what I did there? We would not be losing anything. We would however be gaining self-sufficiency.

We live in a time where everyone is screaming diversity. That is as long as you don't talk about stripping China of their over-rated exports to diversify your own job market. This conversation is over. I have nothing more to say.
I absolutely buy vegetables from 400miles away rather than growing them in my garden and I spend the time working in tech instead.
Ok, well you trade the jobs making boeing 787 dreamliners and Intel processors and get them to start making clothes and shoes if you like :)
 

Athlonite

Posts: 262   +93
Does any of this make you wonder why China released Covid-19.
IF you think it was accidental then you're a fool
the CCP does not give a **** about its people so why would the give a **** about the rest of the world
they want total control at any cost
 

Angga B

Posts: 153   +130
Nothing is easy. Moving your production and supply chain offshore to China in the first place was not easy and even painful to your own body. But you did it anyway.
 

Dimitrios

Posts: 918   +719
America tried to rise above China and put our foot down a few years back................. Perfect "timing" of the virus came from China now they have their foot back down like the last 30-40 years.

I wish we made our own technology 100% in house but it just won't happen.
 

Watzupken

Posts: 342   +320
They can come to Pakistan cheapest labour if they want Samsung also coming and other manufacturers also.
I feel while cost is the main factor, there may be other crucial factors for them to consider a location. It is not a matter of seeing a lower cost location and everyone charges towards it. If some big corporates are already setting shop there, chances is that there may be competition for locals with the right expertise. So I feel that is the reason why manufacturers tend to drag their feet when they are trying to find a new location to set up shop.
 

TempleOrion

Posts: 75   +45
Most 'Merkins are economically illiterate. They want to go back to protectionism and the Great Depression? I'd be all for it, if it only affected them, but unfortunately it'd impact the ROW too; but actually, not as much as the previously, as US control of the World economy and its political capital has been so diminished, especially during the farcical Trump era.

Might be worth it to get away from US hegemony. The World needs to rely less on crappy Microsoft, Facebook & Apple and do its own thing. If America withdraws from global trade, it'd be a great chance to wean ourselves off their greedy monopolies once and for all...