Posted on 04/11/2020 6:32:07 AM PDT by SeekAndFind
Call the moving company, Washington’s picking up the tab.
The same day Japan announced that it would spend upwards of $2.2 billion to get its corporations out of China and either back home or spread throughout southeast Asia, White House National Economic Council Director Larry Kudlow said the U.S. should “pay the moving costs” of every American company that wants out of China.
“I would say, 100 percent immediate expensing across the board for plant, equipment, intellectual property, structures, renovations... In other words, if we had 100 percent immediate expensing, we would literally — literally pay the moving costs of American companies,” Kudlow said on the FOX Business Network's America Works Together Town Hall which aired on Thursday.
The Japanese government announced that it would provide direct loans 220 billion yen ($2 billion) for companies shifting production back to Japan and 23.5 billion yen for those seeking to move production to other countries, according to details of the plan posted online.
Kudlow told one of the people in attendance, who had asked about America’s over-reliance on China, what could be done to change the commercial relationship post-pandemic.
Kudlow said that one way was to provide them with moving cost payments, though he did not get into specifics.
Most U.S. companies that manufacturer in China do not have their own greenfield assembly line. For example, Apple AAPL has long used Foxconn, a Taiwanese multinational with massive assembly plants in mainland China. Other U.S. companies simple contract Chinese firms to do the work, whether they’re making kitchen cabinets for Lowes or pots and pans for KitchenAid.
In other words, it is not a matter of putting widgets and office furniture in a pod and shipping it across the Pacific Ocean.
(Excerpt) Read more at forbes.com ...
Bingo!
RE: We wouldn’t pay more for American made goods so companies had to lower their costs or go out of business.
And why did we need to pay more in the first place? It’s because companies need to recoup their COST in the first place.
And what factors add to their cost?
If you answer federal, state and local government rules, laws, taxes and regulations, go to the head of the class.
Not calling for a massive tax payer funded plan or expansion of government, but other means to bring this back to America.
IF Trump campaigns on this he wins in a rout.
If it’s war, maybe they should support their country.
Instead of paying these “American” businesses. Maybe we should offer those incentives to ANYONE who will build that product here. Some American company here should get the first crack at those incentives.
For example, I would rather pay some local American company who never went to China to widely expand, than to bribe 3M to return to the USA. America first!
How about instead we 100% expense US companies that didn’t go global to expand here before paying some traitors to come back?
How is that fair to the US companies who DIDN’T go to China? Yes, there are still a few.
Paying their competitor to come home and build brand new infrastructure? BS.
So if we didn't pay taxes our workers would have the same wages as China?
Of course we would have the same level of services, the same environmental, health and safety standards, and hence the same standard of living.
No thanks.
Another is the ‘Distributed for’ label, I usually set these down for another choice if that is an option.
Unfortunately, I don’t think the herd will give up the option of cheap merchandise. Import tariffs are going to have to be at least equally proportional to highest side.
And when you look at the automotive like OBD2 tool and computer equipment software prices, the made in USA manufacturers can’t compete with the china stuff, which is likely ill-gotten intellectual property.
They still chased slave labor. I have zero doubt that if legally able they would use free slaves from North Korea... if they could only legally bring the products into the USA.
RE: So if we didn’t pay taxes our workers would have the same wages as China?
EXCESS TAXES, TOO HIGH PROPERTY TAXES, ONEROUS LABOR REGULATIONS (OSHA, AFFIRMATIVE ACTION, etc. etc.), EXCEEDINGLY DIFFICULT TO MEET ENVIRONMENTAL REGULATIONS <-— all of them added up together and tell me if your costs don’t get passed to the consumer.
Of course they do.
So again, do you want China's wages and standard of living?
For 20 years China has been willing to produce goods for us more cheaply than we can by accepting a lower standard of living.
You seem to want us to retain our standard of living while paying China wages.
Not happening.
>>>They still chased slave labor
Yes, in an effort to maximize shareholder value. Social responsibility as a driver of corporate behavior is often derided on this forum and firms are tagged as Social Justice Warriors.
http://www.freerepublic.com/focus/f-bloggers/3773046/posts
Trump needs to fix the country of origin labeling issue regarding beef and pork.
No more mystery meat.
How about lowering the cost somewhat by lowering taxes, making them internationally competitive, reasonable labor and environmental regulations, etc?
You think the laws and regulations in place do not create disincentives to make things here?
Even if we get out of China, there are other countries companies will go to if we don’t make it easier for companies to do business here.
Slaves is slaves. Maximizing shareholder value with slaves is morally wrong. Call it what you will.
Also this rush to China was supposedly going to make them nice, by spreading freedom by giving them prosperity. What it actually did was strengthen the Red Chinese that still revere Mao. It gave them money for weapons, large construction projects, technology to better control people and spy domestically and internationally.
It made the Chinese government the entity who had to be appeased and paid for anything a company wanted to do.
It increased the power of a brutal government. Corporate America was all too happy to dance to their tune, from Google to Apple to most manufacturers.
Dead last on the list of worries for red China, Wall Street, and the US Government is normal American people. Yeah, we get a platitude here and there about cheap goods. But most people are resigned to the fate of crap goods.
Any product you go to buy now is generally the cheapest made low quality garbage imaginable. This is true whether you speak of electronics, furniture, tools, camping equipment, clothing, shoes, western boots... you name it.
They chased the cheap labor there,but the other side of the coin is the fact the democrats taxed the hell out of them for years it left little or no options.
I think it would be money well spent but under strict contract rules.
Agree. And yes, I did mean that literally. If 3M could come to an agreement, and was able to ship masks, does anyone have the slightest doubt they would build a factory in North Korea and pay people a ceremonial .50 cents a day?
Those Minnesota squareheads would do it in a heartbeat.
if we are going to pay that money to have the supply chain sourced here, then why are those China based companies given preference?
If some American wants to build a factory to make N95 masks, why should they have to face the competition of a 3M being subsidized to come back? ANYONE should be able to access ANY incentives given to these companies to move their factories out of China.
We need to end this idea of some pigs being more equal than others.
I wanna open a N95 mask factory, or a drug making factory.
I have to pay all the cost...alone.
My competitor who decided to go to China, is going to get paid by Uncle Sugar to come back and build a brand new factory.
Yes, do tell me more about competition and the free market.
That sounds good but it comes at a cost.
As a people we haven't been willing to pay that cost. We want Social Security, Medicare, courts, roads, our military, safe food and drugs, safe workplaces, etc. etc.
Lots of those things that places with low taxes and lax regulations don't have.
The assumption in your question is that we can maintain our lifestyle and just pay less for it. I don't think we can.
LOL!
That's great! Can you imagine THAT issue being debated in Congress?
Trump is the only guy who could pull it off without looking like a racist.
All of have for the most part has been caused by the democrats rulings how did the get so much freezer money you ask.
Competition and the free market are by those who have the money to start a business and it’s not cheap.
Who can compete with Amazon?.
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