9 ms·
We are in process moving a product line from China to Canada as result of the 25% tariff. Fact is, the product was migrating to North America anyway as prices f
by rrggrr 8y ago
We are in process moving a product line from China to Canada as result of the 25% tariff. Fact is, the product was migrating to North America anyway as prices from China increased, and product innovation has not kept pace. It difficult to fully state how the lack of foreign competition, protection, and subsidy has created inefficiencies and other problems across large sections of Chinese goods. Youtube bloggers ADVChina and serpentza are good places to start in understanding the scope of difficulty.
I have one former Chinese partner in China, now far too successful to care anymore, who described it to me this way... You have farmers and one generation down from farmers managing the largest and arguably most complex political-economic situation in the world. The expertise is simply not there at the highest provincial and central levels, where its desperately needed. The political will isn't there to rebalance.
The meltdown won't just be the supply chain. China's military will impact the nature and breadth of the decline.
- k__ 8y ago"China's military will impact the nature and breadth of the decline." care to elaborate?
- mooreds 8y agoI am not OP, but suspect he is referencing South China Sea and Taiwan actions. If the PLA is more aggressive, companies will leave more quickly, and the opposite is true. If you are in a conflict zone, exporting to other countries isn't the way to get rich; selling to the armies is.
- arminiusreturns 8y agoI would say it is more about how closely tied to IP sharing (by law AFAIK) of any company doing business in China. For example, right now I'm helping indirectly build an AI, that is being shared with a sister company in China, and I just recently learned about said IP sharing law and am now concerned that it will be used in military applications (such as autonomous boats or drones, but with lethal application)
- rapsey 8y agoIf it can be it will be and expecting otherwise when it comes to China is incredibly naive.
- paradoxparalax 8y ago"when it comes to" And when it comes to any country or even the Green Peace's Rainbow Warrior fighting Vessel or even me myself, if I get my hands in the Lex Luthor's new A.I. Humans are here for profit, or what. This is Naive: to expect is only from China...... Come on...
- arminiusreturns 8y agoThat's a really good point honestly. To pretend the USA doesn't use its massive surveillance engine for that kind of thing is silly.
- deleted 8y ago[deleted]
- paradoxparalax 8y agoSo if you are saying that the N.S.A. or The CIA are coming to kill me, tell them to stand on the line, because the Chinese Intelligence is already on tis job of eliminating me...Ok...Xi Jin Pin is sending His own personal best killers to hunt me and kill me, If you did not read all my history of comments, then you should know it already, PLUS, Russians are already Hate me too, if you read my comments, you will see I have , Hate , the Sputnik News and Other Bullshit from Nazi name Putin. I am brave guy right????? Nothing to fear when you are already Dead, right, and the chinese, the russian and the american , want you dead...So shut up and survive, right? NO , my friend, I am already dead...you are blackmailing the wrong person, cannot blackmail a Dead Person(body)...so...I am waiting for some argument from you that prove that you are smarter then that, my friend, and don't need fucking B;lackmail to make a point................. SO if someone(from beijing, moscow or washington) Have all the access to my unedited file, and they have it, my friend, believe me.... They know I am , just a old crazy Marijuana smoker who is Jobless recently and is bored and has nothing better to do then write fucking stupid and insane comments on hacker news.... Old people withou a job is the worst thing for this old people Mental health.... I should find a job as soon as possible, even if is cleaning the streets or taking care of public gardens...anything to do but stupid internet comments... well and I am for hire, and now , the most important, If is for the good of humanity, I will do it, no matter who is for, ok, i said for the good of humanity... so... I would do it even for free...but i am broke , no money even to buy my marijuana now...so... Anyway, I care more for the Good-Faith then the money... I did't go to the obligatory (law obligation) military service because they decided I was physically useless for them, and I didn't had a high-school degree, so i was intellectually useless for them too....But I didn't want to go.... Because they pay you 0 bucks and I was in age of having girlfriends and smoke pot...But also because I believe in Peace. I am a pacifist... But I fucking admire people who has fucking Balls and people who has fucking Honor, like the guys in the Navy.
- jorblumesea 8y agoAs China's military becomes closer and closer to Western standards, supply chain integration and Western business in China will dry up in response. Western companies will not want to do business with direct competition and even if they did, the US govt wouldn't let them. If doing business in China means funneling new tech to the PLA that could result in theoretical American deaths, then we don't do business in China anymore. A historical precedent would be the soviet union, where we wouldn't even let ball bearing be exported to Soviet block countries. You can already see this with the current chip wars.
- paradoxparalax 8y ago"then we don't do business in China anymore." If that is indeed the case, I think is too late, in my opinion. The historical precedent doesn't account for the fact that Russia and China are currently members of the WTO and that they have their own group named BRICS. But I applaud your initiative on thinking on the issue and the Logic of your thinking is Good, and this is the most important. A bit of information less then the needed, in this case, doesn't mean the Logic was not good. So, the understanding can be good. And something important I have to say, I think, in my opinion, that is a naive misconception to count non-nuclear non-strategical weaponry in any reasoning, those are just toys to play, to show to the other kids and make poor kids envy, they are not weapons, in the Real Game of the Globe. Count only the ICBC in your logic, and you can have a better understanding.
- jorblumesea 8y agoRussia is a paper tiger long past its prime, China is on the rise but needs US technology and innovation (currently).
- baybal2 8y ago> China is on the rise but needs US technology and innovation (currently). China never needed, nor used it. USA is not innovating, nor creating new technology, that's a myth, unless you call somebody creating a 1000th clone of Facebook a "technology." USA sat on the back of engineering and programming sweatshops in the third world for 3 decades already. It requires one to have a special level of insecurity, to go so far hellbent on claiming their creativity as to print it in bold letters that "we surely did not buy this off the shelf from OEM in China." The rich elites in USA are the ones with the strongest "pain:" no Chinese parent in his nightmare will imagine spending 100K+ on dumb "creativity" or "leadership" classes for his child, but in the West... you know the story.
- rrggrr 8y agoA disorderly rebalancing of their economy, which increasingly looks likely, will require the military to repress dissent domestically (at great expense). It will also require that same military to assist the state in repatriating and collecting on financial assets and debt that have been sent abroad. I'm still summarizing, but you likely get the point.
- schuke 8y agoNot just farmers, but farmers who were stripped of the most basic moral and literal education during the worst destruction of culture and morality mankind has ever seen, at lease by some measures.
- pishpash 8y agoFirst of all, most Chinese farmers, like all farmers the world over, never had an education during most of history, and most were still decent, moral human beings. Second of all, poor people do shit rich people don't have to do in order to survive. It was not until wealth inequality increased and traditional social safety nets deteriorated that morality declined. Could a better education have ameliorated this? Certainly, but not in the way you say and not directly, but it would have created earlier conditions for political change and for the protection of individual rights, things that are still happening, but at a slower pace. This generation is still vastly better educated than the last.
- eli_gottlieb 8y agoI think he's referring to the Great Leap Forward and the Cultural Revolution, in which Mao conducted genocide-level mass purges of ideological deviants such as whichever teachers the Red Guard decided they didn't like.
- schuke 8y agoThere are two reasons the OP's partner has a good point. First the Chinese Communists are institutionally against the traditionally more educated class that used to run the government, because their ideology label them as inferior and reactionary. Second is the Cultural Revolution which destroyed any opportunity for the worker and farmer/peasant class to get any decent education. Even for Xi himself there was little formal education:widely believed to be either primary school or middle school. His public speeches are sometimes laughably pompous and verbose. Compare him with Jiang Zemin and Zhu Rongji, who were respectively the party general sectary and prime minister in the 90s and early 2000s: Jiang spoke English effortlessly and Zhu had a habit of quoting English media. These two spent their formative years in the brief republic built upon Dr Sun Yat-sen's democratic ideas. Yes the next gen are going to be better. But it's very hard to imagine why those really good ones would give a fuck about the party bureaucracy and not emigrate like so many Russians do.
- baybal2 8y agoMy previous employer tried the same in 2015 with both BC and Washington with Oregon. We scrapped the plan after 6 month of the pilot plant keeping failing. Finding cadres was really tough even for the simplest things. Finding a guy who can program a particular brand of chipshooters took 2.5 months. We found a single guy in all BC/Washington/Oregon area, and he demanded 100k+ for something that I can teach a highschooler to do. In Shenzhen, I'm 100% sure that I will get few solid applicants on day one for just any machinery brand. Simple assembly line workers. 50k+ undergrad students were horrid workers, with terrible discipline. 70k+ masters students, just a bit better. People with years of work experience and 80k+ expectations finally did that, but they were still spending more time wiring simple electric bikes than Chinese highschoolers do. At that stage, we decided to stop.
- kokokokoko 8y agoCan I inquire how you recruited and what your minimum requirements were? It seems like you said something a highschool students could do but then you discuss masters degrees. I've personally found that a lot of employers still hire like it's 2009 during the great recession. Sometimes these days you have to be more creative. Like hire an additional manager at $80k and then hire workers at $40k and have that manager be more hands on. When an economy is expanding, it is statistically impossible to fill all positions with experienced workers because there are now more jobs than there were before but the same amount of experienced workers. The opposite is true during recession when the economy shrinks. In that case there are a surplus of experienced workers because the amount of jobs have reduced. Please don't take that as criticism, I just wanted to shed some insight into hiring based upon the rate of growth in an economy.
- baybal2 8y agoYes, we surely tried the usual "worker demographic," but got people who can't distinguish volts from amperes and miswiring simplest assemblies even with the most detailed assembly instructions possible... Electronics assembly requires at least a high school level knowledge of things like physics for a person to just to have an idea what, and what for he is doing, and what each component does. It does not work as a "fully mechanistic process" where assemblers are treated as brainless robots. It requires cognitive skills, despite of high class "creative" people hating to admit that.