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> A controversial idea being floated in Washington would allocate as much as $25 billion to companies that make essential goods to move production home, ensurin
by Donald 6y ago
> A controversial idea being floated in Washington would allocate as much as $25 billion to companies that make essential goods to move production home, ensuring that even products far down the supply chain were sourced domestically, according to two administration officials.
The U.S. goods trade deficit with China was $419.2 billion in 2018. $25 billion is nothing.
- richliss 6y agoIt's not equivalent - that $25 billion is going to part cover the DIFFERENCE in cost of the goods created in China vs. the US. Every dollar that is spent in the US and not China is removed from China so consider that if something is 10% more expensive to make in the US and that $25 billion covers the difference then the Chinese economy has lost 100% of that money and the US economy has gained it all at a 10% premium. The west needs to seriously consider doing far more of this and spreading production around to countries like Vietnam, Laos, Cambodia etc.
- teknologist 6y agoInterestingly, Apple plans to assemble the new "AirPods Studio" in Vietnam: https://www.macrumors.com/2020/05/19/apple-over-ear-headphones-vietnam https://www.macrumors.com/2020/05/19/apple-over-ear-headphon...