- Reaction score
- 18
- Points
- 530
I work in manufacturing, and the general feeling is that it‘s only a matter of time until the bulk of manufacturing goes to the Far East. China doesn‘t just produce junk any more - their quality is able to compete with western products. As an example, I work for a metal-stamping Company. A more "buy American" management group, you‘ve never seen - that being said, in order to compete, we are now forced to consider buying dies and components from the Far East - in essence, we‘re just delaying our demise, while helping strengthen their economy. Also, the masively lower labour rates enable the Chinese to spend extra profit dollars on research, and technology - hastening the pace in which they are overtaking the West. I recently read an article (sorry I can‘t find it now - excuse the fuzzy details) where China is also practicing "currency manipulation" which is not governed by international trade/commerce laws. The biggest buyer of American dollars in International markets is China. They then inflate the value of the US dollar. This allows them, in essence, to sell exports for 30% more (guessing the actual number), and purchase imports for 30% less, based on the de-valuation. Pretty freaky stuff. It is thought, with the labour rates, population(work force), and increased technology/quality - even countries like Mexico, the Phillipines, Indonesia, Pakistan, etc., won‘t be able to compete, long term, with China. It‘s a pretty gloomy picture in the manufacturing sector, Stateside...
