Comments on: Will “Made in America” sell in China?

By: desktopgg

desktopgg — Sat, 31 Dec 2011 18:39:03 +0000

I came across this column while I was reading his column on middle class. I think he’s made some very insightful comments with China and brands. Brands is like fashion. You can’t really tell why you want it. In China it is so very deeply rooted that everything must be ranked. Credits to the pioneers who entered China market. As David put it, true China has tariff leverage. When pioneers started joint ventures 20 years ago, auto was tariffed at 150%. China as country and joint ventures as business, they both gained significant profits. Shall we say this is a win-win? who are the losers? Those who didn’t like China’s rules, although they love to have a slice of the big pie. For profit companies – the only reason for their incorporation is FOR PROFIT. You tariffed me 150%? I had to joint venture with you? with 0.5 million annual car sales and HUGE profit margins – hell YES, just pick me! We have problems to solve here in US. Blaming a delveoping country for our own problem? So American.

By: SUPERLUCK

SUPERLUCK — Sat, 05 Nov 2011 14:59:34 +0000

Chevrolet should produce All its “HOT Rods” in China and Sell it to All ASEAN countries…This would bring down the cost n thus the Selling Price…At least…The Selling Price in USA=The Selling Price in China and Asia…

By: robb1

robb1 — Fri, 04 Nov 2011 23:42:53 +0000

The fact that Chinese Citizens have to pay 100% premium from the domestic USA price is a demonstration that China is imposing direct or indirect barriers to US sales of goods and services in his territory. We are so far from a real free trade, looks like a lot needs to be done to favor export of US made products.

By: blackblue

blackblue — Fri, 04 Nov 2011 22:54:18 +0000

What does the US want? You’ve already had everything guys, wake up.

By: jambrytay

jambrytay — Fri, 04 Nov 2011 18:23:50 +0000

txgadfly

I don’t agree the answer is clearly ‘no’.

I did some consulting work a few years ago with a global engineering and construction company. That company employs tons of engineers, draftsmen, project managers, and other highly paid workers to design and build the airports, roads, bridges, dams and other pricey infrastructure projects that a lot of emerging economies like China are now buying. Twenty years ago, this company had very few such projects in emerging countries and a lot fewer employees.

By: txgadfly

txgadfly — Fri, 04 Nov 2011 15:36:55 +0000

The answer is clearly “no”.

If you believe in the “weapons of mass destruction” in Iraq, if you believe atheistic socialists make common cause with religious fundamentalists, if you believe in the tooth fairy, then you would believe that China would ever give another country or culture an even break. Just spend a little time and look at 3,000 years of Chinese history. Ask their neighbors, the Vietnamese, Mongolians, Koreans, Japanese, Tibetans. We are no different to them.

What foolishness! The best we can do is make China the new backer of Israel and get us off that hook while avoiding this new tooth fairy too.

At least the foolish European heritage Americans are well on the way to becoming a minority here, which ought to give everyone a better chance of prospering. China is no one’s friend and never has been. Ever.

By: jambrytay

jambrytay — Fri, 04 Nov 2011 14:34:33 +0000

The article says, ‘Americans, meanwhile, should accept that large-scale manufacturing will never return to the United States. Labor costs are rising in emerging market countries but remain exponentially lower.’

A couple of important points:

1. Manufacturing output in the US is huge. Depending on whose data you believe, the US is the world’s #1 or #2 manufacturer in terms of annual output.

2. Labor costs in the US are higher than most countries, but US manufacturing productivity is also higher than most countries.

By: djt04

djt04 — Fri, 04 Nov 2011 14:19:24 +0000

As long as the Chinese continue do what Mr. Rohde states regarding currency manipulation, tariffs and deliberate technology acquisition the American worker will always be at a structural economic disadvantage. Living wages in America can’t compete unless we race to the bottom and become like many other developing nations of a two-tiered income populace. Of course, our government could do something but simply lacks the will to do it since impacts those fund it. And that’s not a partisan statement, simply a fact of our representatives being paid for by the corporations/special interests that fund their never ending electioneering.

By: Bob9999

Bob9999 — Fri, 04 Nov 2011 13:30:06 +0000

“Does the rise of a middle class in China and other emerging market countries necessarily mean the American middle class must shrink?”

The answer is no. When that question is asked, “yes” answers invariably come from pessimistic, zero-sum-game thinking that is contradicted by the historical record.

By: jaham

jaham — Fri, 04 Nov 2011 12:40:51 +0000

@Pete Murphy…no one wants to buy your book, quit with the shameless self-promotion.