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You have just asked why we can't "just move manufacturing out of China:" There are no individual chemical plants, there are huge chemical complexes owned by ma

You have just asked why we can't "just move manufacturing out of China:" There are no individual chemical plants, there are huge chemical complexes owned by many companies with own well guarded know hows. There may be 2-4 suppliers in a row producing some intermediary product used in making of only 1 output. Just to make the semiconductor grade hyperpure propanol you need ultrapure catalysts, ultrapure sulphuric acid, ultrapure water, and ultrapure input hydrocarbon stock. Ah, forgot, you also needs an ultrapure tare manufacturer, because bottles you ship ultrapure materials are single use. You need decades just to replicate this. Now you need to move 100+ of such material chains. > If it's just for historical and/or economical reason Simple answer, yes! Taiwan has quietly swallowed near an entirety of the wider precision manufacturing industry. It been consistently swallowing very capital intensive industries producing exportable niche products one after another simply because nobody else been taking such hard, and risky ventures. Yes, their profitability is not high, but their "moat" is gigantic. Taiwan been an industrial titan for 20+ years, and the US only finds out about it now.

JoachimS 4y ago
Excellent explanation.
wtetzner 4y ago
> You need decades just to replicate this. Now you need to move 100+ of such material chains. Better get started right away then. "The best time to plant a tree is 20 years ago. The next best time is today."
- weregiraffe 4y ago
  >"The best time to plant a tree is 20 years ago. The next best time is today." "The best time to stop quoting stale platitudes is 20 years ago. The next best time is today."
mlyle 4y ago
> You need decades just to replicate this. Now you need to move 100+ of such material chains. I think decades is a stretch. Keep in mind most of these chains sprung up in the last 3 decades organically in Taiwan and China (and many of them are still elsewhere-- e.g. BASF is still a titan.) If it's a national priority, you can get some production going a lot faster than this.
- baybal2 4y ago
  > If it's a national priority, you can get some production going a lot faster than this. Defeating CoVID was too a national priority. Did they manage to build a single new mask manufacturing line? No, but they actually tried really hard. Dozens of companies were recruited for the effort, and they just gave up after realising that they can't even get a single part in the blowing machine to be made in the US.
  - mlyle 4y ago
    > Defeating CoVID was too a national priority. Did they manage to build a single new mask manufacturing line? I don't think this is a fair representation of what happened. US capacity existed and some additional came online, but then largely failed because of overseas product still coming in below their cost. Semiconductors after a shooting war with China would be a different picture: an imminent return to normalcy wouldn't be in everyone's economic calculations. https://www.nytimes.com/2022/03/05/business/dealbook/american-mask-makers.html https://www.nytimes.com/2022/03/05/business/dealbook/america... > that they can't even get a single part in the blowing machine to be made in the US. Not even a single part? Now you're in hyperbole-land.
    - baybal2 4y ago

JoachimS 4y ago

Excellent explanation.

wtetzner 4y ago

> You need decades just to replicate this. Now you need to move 100+ of such material chains. Better get started right away then. "The best time to plant a tree is 20 years ago. The next best time is today."

weregiraffe 4y ago
>"The best time to plant a tree is 20 years ago. The next best time is today." "The best time to stop quoting stale platitudes is 20 years ago. The next best time is today."

mlyle 4y ago

> You need decades just to replicate this. Now you need to move 100+ of such material chains. I think decades is a stretch. Keep in mind most of these chains sprung up in the last 3 decades organically in Taiwan and China (and many of them are still elsewhere-- e.g. BASF is still a titan.) If it's a national priority, you can get some production going a lot faster than this.

baybal2 4y ago
> If it's a national priority, you can get some production going a lot faster than this. Defeating CoVID was too a national priority. Did they manage to build a single new mask manufacturing line? No, but they actually tried really hard. Dozens of companies were recruited for the effort, and they just gave up after realising that they can't even get a single part in the blowing machine to be made in the US.
- mlyle 4y ago
  > Defeating CoVID was too a national priority. Did they manage to build a single new mask manufacturing line? I don't think this is a fair representation of what happened. US capacity existed and some additional came online, but then largely failed because of overseas product still coming in below their cost. Semiconductors after a shooting war with China would be a different picture: an imminent return to normalcy wouldn't be in everyone's economic calculations. https://www.nytimes.com/2022/03/05/business/dealbook/american-mask-makers.html https://www.nytimes.com/2022/03/05/business/dealbook/america... > that they can't even get a single part in the blowing machine to be made in the US. Not even a single part? Now you're in hyperbole-land.
  - baybal2 4y ago