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Switch to Forum Live View Returning manufacturing
3 years ago  ::  Apr 20, 2012 - 2:05PM #1
Erey
Posts: 19,149
I know many of you are interested in this kind of thing.  About 37% of american companies with manufacting operations in China are seriously considering bringing the manufacturing back here.
www.cnbc.com/id/47097720

Reasons include it is not so cheap anymore to do business in China and there are prevailing akwardness with issues around quality, shipping, communication, etc.  Right now there is an excess of 6000 manufacuring jobs in the US that these companies can't find the skills to fill the positions.

www.cnbc.com/id/47097720
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3 years ago  ::  Apr 20, 2012 - 10:15PM #2
MMarcoe
Posts: 17,235

A good thing that those jobs are returning. As the price of fuel goes up, shipping will become even more of a nightmare.


And here America sits with the promise of more jobs and not enough trained people to fill them. That's why I call upon the "job creators" to invest their idle trillions into training programs to get America working again. They can even tie their products and services into the training if they want.


 

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3 years ago  ::  Apr 20, 2012 - 10:47PM #3
arielg
Posts: 9,116

Manufactoring jobs are not coming back.  That is an illusion.  News to appease the anger some people feel.


Audi just announced a new plant to be built in Mexico.  Why?  Wages are about 6 or 7 dollars in Mexico.    In the US they are about 34 dollars.


 How is US manufactoring   going to compete with that? 

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3 years ago  ::  Apr 21, 2012 - 12:36AM #4
MMarcoe
Posts: 17,235

Apr 20, 2012 -- 10:47PM, arielg wrote:


Manufactoring jobs are not coming back.  That is an illusion.  News to appease the anger some people feel.


Audi just announced a new plant to be built in Mexico.  Why?  Wages are about 6 or 7 dollars in Mexico.    In the US they are about 34 dollars.


 How is US manufactoring   going to compete with that? 





Easy -- we don't have the kind of instability they have in Mexico.


On top of that, we have higher productivity and efficiency here in the US. You get more out of your dollar when you hire Americans.


On top of that, 34 dollars for wages? Even if that's true, it will decline in order to keep or attract jobs. It's already happening. For example, in my old hometown of Fond du Lac, Wisconsin, they managed to keep the Mercury Marine Company (they make outboard motors) by offering much less pay to new employees. Does it suck? Yes. But people will take those jobs because they want the work.


We CAN attract and keep manufacturing here. Not all of it, but much of it.


 

1. Extremists think that thinking means agreeing with them.
2. There are three sides to every story: your side, my side, and the truth.
3. God is just a personification of reality, of pure objectivity.
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3 years ago  ::  Apr 21, 2012 - 12:54AM #5
Fodaoson
Posts: 11,162

Apr 20, 2012 -- 10:47PM, arielg wrote:


Manufactoring jobs are not coming back.  That is an illusion.  News to appease the anger some people feel.


Audi just announced a new plant to be built in Mexico.  Why?  Wages are about 6 or 7 dollars in Mexico.    In the US they are about 34 dollars.


 How is US manufactoring   going to compete with that? 





Labor is just one cost factor and when factored in  other factors more important.   

“I seldom make the mistake of arguing with people for whose opinions I have no respect.” Edward Gibbon
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3 years ago  ::  Apr 21, 2012 - 2:22AM #6
arielg
Posts: 9,116

Apr 21, 2012 -- 12:36AM, MMarcoe wrote:


Apr 20, 2012 -- 10:47PM, arielg wrote:


Manufactoring jobs are not coming back.  That is an illusion.  News to appease the anger some people feel.


Audi just announced a new plant to be built in Mexico.  Why?  Wages are about 6 or 7 dollars in Mexico.    In the US they are about 34 dollars.


 How is US manufactoring   going to compete with that? 





Easy -- we don't have the kind of instability they have in Mexico.


On top of that, we have higher productivity and efficiency here in the US. You get more out of your dollar when you hire Americans.


On top of that, 34 dollars for wages? Even if that's true, it will decline in order to keep or attract jobs. It's already happening. For example, in my old hometown of Fond du Lac, Wisconsin, they managed to keep the Mercury Marine Company (they make outboard motors) by offering much less pay to new employees. Does it suck? Yes. But people will take those jobs because they want the work.


We CAN attract and keep manufacturing here. Not all of it, but much of it.


 




I guess that is why Audi decided to go to  Mexico instead of the US. They must love the instability.

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3 years ago  ::  Apr 21, 2012 - 3:09AM #7
Fodaoson
Posts: 11,162

Apr 21, 2012 -- 2:22AM, arielg wrote:


Apr 21, 2012 -- 12:36AM, MMarcoe wrote:


Apr 20, 2012 -- 10:47PM, arielg wrote:


Manufactoring jobs are not coming back.  That is an illusion.  News to appease the anger some people feel.


Audi just announced a new plant to be built in Mexico.  Why?  Wages are about 6 or 7 dollars in Mexico.    In the US they are about 34 dollars.


 How is US manufactoring   going to compete with that? 





Easy -- we don't have the kind of instability they have in Mexico.


On top of that, we have higher productivity and efficiency here in the US. You get more out of your dollar when you hire Americans.


On top of that, 34 dollars for wages? Even if that's true, it will decline in order to keep or attract jobs. It's already happening. For example, in my old hometown of Fond du Lac, Wisconsin, they managed to keep the Mercury Marine Company (they make outboard motors) by offering much less pay to new employees. Does it suck? Yes. But people will take those jobs because they want the work.


We CAN attract and keep manufacturing here. Not all of it, but much of it.


 




I guess that is why Audi decided to go to  Mexico instead of the US. They must love the instability.





Audi is a German Company, a part of Volkswagen, VW sh been making VW in Mexico for decades.  The new plant will make SUVs for the North American Markets.   They also acquired a Mexican Motorcycle Maker.   This Thread is about American Manufacturers returning production to the US.   Audi (VW) is moving production closer to its markets, an impetus for Companies returning to the US is closer to the market place 

“I seldom make the mistake of arguing with people for whose opinions I have no respect.” Edward Gibbon
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3 years ago  ::  Apr 21, 2012 - 8:07AM #8
Ironhold
Posts: 11,587

Anyone else here remember the flap about Boeing trying to enter South Carolina?



For those who don't recall, Boeing realized that orders for their new 787 were greater than what their facilities in Washington could reasonably handle. They made the decision to open up a second factory, and ultimately chose South Carolina as the site: not only is it close to several major air hubs (like Atlanta and NYC), a number of auto manufacturers have facilities in the state and so there's a ready pool of skilled factory workers.


Cue the labor unions accusing Boeing of wanting to shaft organized labor by moving all manufacturing to Hickville, with one union rep literally declaring that there's no reason why anyone should ever want to move to SC.


And the National Labor Relations Board agreeing without really even bothering to look at Boeing's side of the issue.


With jive like that going on, I can understand why so few companies are willing to establish factories here.

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3 years ago  ::  Apr 21, 2012 - 10:57AM #9
Bodean
Posts: 9,703

Apr 20, 2012 -- 10:15PM, MMarcoe wrote:


A good thing that those jobs are returning. As the price of fuel goes up, shipping will become even more of a nightmare.


And here America sits with the promise of more jobs and not enough trained people to fill them. That's why I call upon the "job creators" to invest their idle trillions into training programs to get America working again. They can even tie their products and services into the training if they want.


 





I think the bigger problem is getting Americans to train for the jobs.  They simply don't want to put out the slightest effort to support themselves.  They want everything "given to them" ... though fiat regulations put in place by Government ... like ....


Healthcare


Retirement


Set wages and other perks


FREE Training ...paid for by someone else.


Excessive time off with pay


Why put out the effort, when you can exists quite nicely for free off the Government, and work for cash that you don't file wiht the IRS to support your luxuries.

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3 years ago  ::  Apr 21, 2012 - 11:09AM #10
davelaw40
Posts: 19,669

Apr 21, 2012 -- 12:36AM, MMarcoe wrote:



Easy -- we don't have the kind of instability they have in Mexico.


On top of that, we have higher productivity and efficiency here in the US. You get more out of your dollar when you hire Americans.


On top of that, 34 dollars for wages? Even if that's true, it will decline in order to keep or attract jobs. It's already happening. For example, in my old hometown of Fond du Lac, Wisconsin, they managed to keep the Mercury Marine Company (they make outboard motors) by offering much less pay to new employees. Does it suck? Yes. But people will take those jobs because they want the work.


We CAN attract and keep manufacturing here. Not all of it, but much of it.


 




But that sounds like an equal protection violation

Non Quis, Sed Quid
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