discuss Electronics manufacturing

[Oshawott]

Trumps reciprocal tariff has resulted in a high tariff for Chinese products (mainly electronics) and others having lower tariffs. In order to maximise the profit, electronic companies will be shifting their manufacturing base to the non-Chinese companies.

Two scenarios may arise:

1. Companies will shift their base to non-Chinese countries
2. US will ask the domestic consumers to pay higher cost for American products.

Which do you think will happen?

 

[ActionAce]

Because of the high tariff, it is possible for some companies to shift their manufacturing base to other countries with lower tariffs like India or Vietnam. That is how they can maintain the competitiveness.

 

[Shawn]

If domestic consumers have to pay higher costs, they're going to have to pay us better at work. That means raising min wage and treating employees better. Or just the rich will benefit, there will be poorer and that poor percentage will vote them out of office the next go around.

I think this situation is going to cause a rift in how people vote the next time if he isn't careful about it.

We'll see. I know I'm in a non-spending mood and that's not good for our economy.

 

[Yama]

Moving manufacturing away from China takes a long time. American and European companies did not go to China just because of their cheap labor, according to Tim Cook they manufacture in China because of the expertise. I can't see manufacturing moving back to the US but I believe American will choose counties like India for its manufacturing needs.

 

[Oshawott]

Its also about raw material.


Many electronics shifted to raw material not because of the non availability of raw material in US but because the raw material extraction is a polluting and energy - resource - intensive process and many Western companies wanted to shift the pollution from West to the East.

Raising the price of consumer goods without raising the minimum wage will reduce consumer spending resulting in inflation. Point well taken!

 

[hebafouad941]

always chinses wins in technology

 

[mokhtar]

Trumps reciprocal tariff has resulted in a high tariff for Chinese products (mainly electronics) and others having lower tariffs. In order to maximise the profit, electronic companies will be shifting their manufacturing base to the non-Chinese companies.

Transferring industries to non-Chinese companies. What are the new companies and will they solve the problem? We need to prevent the rise in the prices of electronics because they have become indispensable in our lives

 

[Ja sa bong]

No one is going to come out the winner in this Trade war which have been going on for a while now. If an end isn't put to all this, it's the average masses who are going to keep suffering the most.

 

[lens]

This development will favor some countries like Malaysia and Mexico because the shift of electronics manufacturing to non Chinese companies would be a great benefit for them and this will help to mitigate the high prices due to tariff issues.