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Must read: The Manufacturing Coalition

Ventrista

#27201

Must read: The Manufacturing Coalition | 11 February, 2004

Forgive me for opening a can o' worms but is anybody familliar with this organization? A little alarmist in nature, but I have to admit to the devastation I've seen!

"The China Challenge: China is destroying the American manufacturing sector industry by industry, job by job, and in the process, we�re running up a trade deficit of $400 billion annually, further imperiling our future. What can we do about the loss of high-paying and tax positive manufacturing jobs? What can done about China�s predatory trade policies? How can we protect the employment of millions of Americans who still hold manufacturing jobs? What should we expect from the Federal government, and how do we go about getting it? From defense procurement to consumer goods, America is under attack, and U.S. manufacturers must band together to protect the heart of the American economy."

Link here: http://www.manufacturingcoalition.com/index.html

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#27202

Must read: The Manufacturing Coalition | 11 February, 2004

Thanks a lot for the info. This is what I have been waiting for. Thanks again Patrick

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Jaycustr1

#27204

Right behind you... sign me up! | 11 February, 2004

Yes, we've needed a grass roots organization for a long time and this looks like a good one. I agree 100%

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peterson

#27205

Must read: The Manufacturing Coalition | 11 February, 2004

As someone who has worked for a contract manufacturer in China, I can tell you that regaining manufacturing jobs in the US will be a difficult task. Difficult, but not impossible. Many companies are discovering that manufacturing has only ONE advantage in China, cost. Each year, hundreds of thousands of engineering grads in China take entry-level jobs. The actual machine operators and other factory workers are paid even less. So, naturally, a product can be built for less...at least initially. There are many, many disadvantages, however. Here are just a few: LOGISTICS. It's a royal pain doing shipping/receiving/customs paperwork. The Chinese government and Customs in particular, routinely delay shipments for no apparent reason. Bribery of government officials is EXPECTED! CULTURE: Make no doubt about it, there are significant cultural differences. Management is circa 1600. It's an antiquated, emperor-like hierarchy that no Westerner can understand. QUALITY/PROCESS CONTROL: It's not just the time difference (which is significant) Making real-time manufacturing changes is tricky. Getting Chinese management to admit to a "mistake" is almost impossible. Couple these things with the real health concerns that companies have when sending people to China. SARS, rampant TB, and other diseases place employees at great risk. Most SEZ's are in remote areas far from medical help.

Clearly, China is not competing fairly in the world markets. The government has resisted multi-lateral requests for currency stabilization. Tax breaks offered to foreign firms disappear after 5 years. When all the beans are counted, the actual manufacturing costs are almost identical to Mexico! Will manufacturing ever return to late 1990's levels? Absolutely not. But, expect to see a good amount return as EMS/CM's and OEM's realize China is not the panacea everyone thought it would be.

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#27208

Must read: The Manufacturing Coalition | 11 February, 2004

Aw... you've gone and woken me from my slumbers again. But I'll take the bait anyway. Seems to me that it is the big brand name American and European corporations that are "destroying the American manufacturing industry"... oh yes, them and all the consumers that want new toys cheaper and smaller. When I tried to replace my crappy European branded US made telephone a couple of years ago I couldn't find a single phone that was made in the US, but then I also couldn't find a Chinese branded Chinese made phone either. If anything the big US Electronics corporations are exploiting the Chinese to keep their shareholders happy - this is always the way, look in your history books... and quit whining. I'm just about stupid enough to keep my real name on this.

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peterson

#27218

Must read: The Manufacturing Coalition | 11 February, 2004

Of course it is the American and Euros choosing to manufacture there. You are missing the point. We in the manufacturing sector can cry all we want...the numbers will never come back, ever. My point was: the bottom-line (cost savings) isn't nearly what OEM's thought it would be. Each year, whatever flu virus that hits the world originates in China. Some day (as has been evidenced already) a real nasty one will wipe out a bunch of people (foreigners included). It's all about logistics. When it becomes too difficult to do business there, some will return to N. America. The rest will roost in India...or Vietnam...or Africa...

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#27219

Must read: The Manufacturing Coalition | 11 February, 2004

Hi,

We are all getting the similar thought. I heard other story like the oversea gorverment (China, Brazil, Vietnam...) are taxing $$$$$ for incoming finish products up to the sky per Items. From Automotives to Electronics and others. That forcing many other Manufacturing open up their Manufacturing in that country to do assembly and that is how they create jobs for their citizens. So, My thought was Why Doesn't the US Gorverment doing the same way to bring back the bussiness into the US (tax the hell out of them) and that one of the way to help reduces the unemployment line. Sorry and forgive me if what I said or wrote that you are disagree or taking serious meaning other ways.

Hope Its will getting better every day for everyone of us.

Vinny.

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#27220

Must read: The Manufacturing Coalition | 12 February, 2004

It's the pressure that American CEO's are under to increase profits and please greedy shareholders and analysts that drives them to this result. Companies like Dell racing HP and Gateway to see who can make PC's for free. Companies like Motorola racing Ericcson and Nokia to be able to supply free phones because they think consumers won't spend anything for them anymore. A total joke. Of course the consumers feed off that and all of a sudden we won't spend over $200 on a computer that used to and should cost $2,000 or we will insist on free phones that should be priced at $500 each. All of this at the expense of our technology and job market. Isn't it sad when you hear how our leaders can't figure out why the economy is picking up steam yet no jobs are being created? Duh!

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#27231

Must read: The Manufacturing Coalition | 12 February, 2004

The reality is mfg jobs worldwide are going down down down. In fact Asia lost way more mfg jobs - in terms of numbers, not percentage - than NA and Euro. The fact of the matter is less and less people are needed to make more and more products. Pretty soon we'll have totally automated factories, machines making machines and gizmos - The Terminator is coming!!! Change careers and make sure your kids don't go mfg.

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#27234

Must read: The Manufacturing Coalition | 12 February, 2004

Vinny,

I agree 100%, raising the import taxes could resolve the $521 billion deficit the country has and make local manufacturing more attractive for investors. (But this is probably not sophisticated enough to implement)

Patrick

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#27235

Must read: The Manufacturing Coalition | 12 February, 2004

Just a thought:

I think that we could motivate our US manufacturing force to unprecedented levels of throughput, efficiency, and quality if it was acceptable to motivate employees with bamboo canes. On a serious note; how can we (U.S.), ever be competitive with a country(s) that pay their manufacturing laborers 1/10 less of what a U.S. worker would make in a week. My numbers may be exaggerated, or maybe not. From what I hear that's about what it is.

Something has to give here soon... It seems to me that the reason for all of this is GREED. Corporation heads, shareholders, and CEO's turning a buck at any cost.

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joe

#27237

Must read: The Manufacturing Coalition | 12 February, 2004

For those of you that do not know it, our little Republic here is based on Capitalism. Corporations have a right to make a profit. Moreover, a corporation has a responsibility to internal and external stakeholders. Employees are internal and shareholders are external. Like it or not, the primary stakeholder is the shareholder. They supply the economic resource to the corporation to continue business. Many of us live in "employ at will" states. there is no contract other than the fact that you as an employee will rent for a price your expertise to the corporation. that relationship can be terminated at any time. One can debate the wisdom of globalization until the cows come home. When all is said and done, more will be said than done.

Corporations exist to make profit. That is our way of life and always has been.

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Dean

#27244

Must read: The Manufacturing Coalition | 12 February, 2004

I used to work for a multi-billion, multi-national Contract Manufacturer. I quoted manufacturing (RFQ) for my US site. My counter parts in Beijing were comparison quoting for 1/10 to 1/15 below my quotes. I can't tell you how many builds we did only to eventually secumb to Off-shore price pressures.

We will eventually run out of 3rd world nation (cheap labor) to satisfy a positive net earnings for share holders. China utilizes prison labor force and child labor to satisfy the consumer demand. How do we compete (as a nation) of laws and human decency? Should we have greater consumer awareness? Consumerism will eventually saturate the world. Living standards will rise and the cost of labor will rise. But, by this time, the "working poor" will be known as the "unemployed poor".

Don't expect much help from the current presidential administration. My present company has seen these trends and has begun aligning our capability with technologies that will not move off-shore (easily). Medical, military, national security. We will never again build cellular infrastructer, computer modems and cd players.

I live in a state with the highest unemployment in the union. Politicians will not address these issues because it is an election year. Political Action Committees and special interists rule the legislatures.

Complex issue. No one answer. But, it begins with each of us. Buy wisely. Vote wisely.

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Jaycustr1

#27286

Must read: The Manufacturing Coalition | 16 February, 2004

I am thoroughly amazed at the defeatist attitude of most of the reply posts. Ah well, let's let them have it without a fight.

Do you realize that there is no next best technology any more? What you mean by not so easily exported technology will not apply after we have abandoned ship on manufacturing! Even sacred cow defense contracts were being exported in part by the previous administration. God help America if you give up all our manufacturing without a fight. Manufacturing creates wealth while the service sector merely spreads it around, this is fight for who we are and who are to become. Have you seen Samsungs profits postings lately? (They are approaching a trillion dollars) So, give up and good luck with your multi-level marketing business in your next career... Thanks for alerting me to this organization.

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#27296

Must read: The Manufacturing Coalition | 17 February, 2004

I think your words are paraphrasing a "last stand" speech by another famous Custer. Let's hope the result is not the same.

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