mike_galloway

Priaptor1 said:

mike_galloway said:

When china hold a huge proportion of US debt it's a stupid man that provokes the dragon especially when the US need mountains of new debt continually. 

The bond markets are the real king here and will determine the outcome of this farce.

"huge".  Hysterical.  Another uninformed UI.  China holds 750 billion of our total of 29 trillion in debt. That comes to 2.6% of the total American Debt.  While it is not insignificant, it is hardly "HUGE" and while in the short term IF they chose to dump our debt, it could cause some dislocation, it would hardly make a difference in the long term. 

For those, like Galloway, how spew the left propaganda, only 25% of our debt is held by foreign government with Japan, being the largest debt holder of 1.1 trillion. 

The scare tactics of the propagandists like Galloway are severely overblown. 

America has much bigger problems regarding our debt than China dumping it.  Our much bigger problem are those like the Galloway types who support spending money and supporting China like a drunken sailor

libertyandfree said:

 Like I have repeatedly stated on this site and others, . Apple would not be harmed by these tariffs.  It’s amazing how people still do not understand how Trump operates and what his intentions are even after him being president for 4+ years.   Many view him as incompetent or corrupt and greedy but he is just following his America First policies and truly is trying to put America in a better position.  Those suffering from TDS will never see this. 

whump

When china hold a huge proportion of US debt it's a stupid man that provokes the dragon especially when the US need mountains of new debt continually. 

The bond markets are the real king here and will determine the outcome of this farce.

ecarlseen said:

Wow. I spent a lot of time in International logistics and about 12 years in supply chain management for companies that were moving production from Asia to North America (mostly Mexico, but some US), and you did a very good job covering the labor portion of it.

There's more to it: any consumer electronics contain tons of tiny parts (resistors and capacitors, wiring, etc.) that cost virtually nothing, as in a hundredth of a penny or so. Costs don't get added up the supply chain, they get multiplied, so having the price of these parts move significantly from virtually nothing can have a very significant impact. Producing them domestically or even in Mexico adds a lot of cost.

US customs is a complete joke. Parts can fly right through or be arbitrarily held for months. I think people can figure out the details, but this adds a lot of cost.

US regulation swings between inattentive / useless, and capricious / arbitrary. We all know about companies abusing this, but you don't hear as much about regulators deciding suddenly one day they're going to interpret a rule differently and make an example out of somebody: usually a smaller business that can't fight back. And a company somebody spent years or decades building is just gone because a bureaucrat had a whim.

I could go on and on, but it's a tough problem. Thinking they could move the supply chain back to the US in three years is hilarious. 15 years would be reasonable.

The article is spot on.

As an electronics designer I have been in manufacturing since the 1980s - but only small companies where at least you do get to see the entire operation.

Working with the Taiwanese and Chinese is a revelation to that of people in our own country (UK)

The exceptionally poor work ethic here (and maybe the USA) is why manufacturing will never come back without a major change in education and expectation. 

It will take more than a generation to achieve.