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  #1  
Old 12-23-2009, 03:11 PM
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China said to be on the verge of acquiring Volvo from Ford

As well as some of Saab's technology from GM. Can't find a web story on it but it was on NPR this morning. Oh boy. How soon before China corners the world auto market?

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Old 12-23-2009, 03:19 PM
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The same sentiment was similarly applied to the growing Japanese automobile industry in the Sixties . . . they seemed to have done quite nicely.
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Old 12-23-2009, 03:24 PM
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Here's a link:

http://www.financialnewsusa.com/news/ford-expects-to-sell-volvo

Hopefully this will give the volvo brand a chance to survive.

I assume china and india will be the major supplier of consumer (cheap) cars in the coming decades. After the death of detroit, japan and korea took over; but they will not be able to compete with lower cost labor for very long either. It would make sense for japan and korea to start outsourcing their manufacturing.
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Old 12-23-2009, 05:15 PM
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And after China spends a few decades getting fat and sassy, as Detroit did around 1970 and Japan today, and starts to implode from a cost/quality perspective, who will be the new China? I vote Haiti.
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Old 12-23-2009, 05:16 PM
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Quote:
Originally Posted by Craig View Post
Here's a link:

http://www.financialnewsusa.com/news/ford-expects-to-sell-volvo

Hopefully this will give the volvo brand a chance to survive.

I assume china and india will be the major supplier of consumer (cheap) cars in the coming decades. After the death of detroit, japan and korea took over; but they will not be able to compete with lower cost labor for very long either. It would make sense for japan and korea to start outsourcing their manufacturing.
They have been outsourcing manufacturing to the US for a few years now. It seems they can make it work here, while our own home-grown companies can't or won't! Transportation costs will gradually take a bigger bite out of the price tag of new cars, while new automation makes the labor cost differences less significant. Maybe it makes sense to produce products as close to the customer as possible.
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Old 12-23-2009, 05:17 PM
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well in the end FORD will be the only car company making NON china Wallmart crap

seeing how bad the stuff from china is its not long before we see them all over the side of the road < 6000 miles 6 months THROW away -- jz
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Old 12-23-2009, 05:20 PM
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Originally Posted by raymr View Post
They have been outsourcing manufacturing to the US for a few years now. It seems they can make it work here, while our own home-grown companies can't or won't! Transportation costs will gradually take a bigger bite out of the price tag of new cars, while new automation makes the labor cost differences less significant. Maybe it makes sense to produce products as close to the customer as possible.

The cars japan so they call it MAKES in the USA 5 bolts and plug in 6 wire harness is not my idea of made ih the USA < they are even painted over in japan so they dont have to deal with the US EPA -
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Old 12-23-2009, 05:22 PM
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well in the end FORD will be the only car company making NON china Wallmart crap

seeing how bad the stuff from china is its not long before we see them all over the side of the road < 6000 miles 6 months THROW away -- jz
Ford should be gone soon too.

I remember when we said that about japan, anyone can build/operate a manufacturing plant if they buy the technology. At this point, just go where-ever the labor is the cheapest.
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Old 12-23-2009, 05:25 PM
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And after China spends a few decades getting fat and sassy, as Detroit did around 1970 and Japan today, and starts to implode from a cost/quality perspective, who will be the new China? I vote Haiti.
It will probably be Africa, some industries in china are already outsourcing work to africa. I also wouldn't be surprised to see more products from central/south america in the coming decades.
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Old 12-23-2009, 05:46 PM
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Mercedes is currently increasing hiring in their Brazil production plant, while in Germany there is going to be increased use of shorter work days and furlough days when the plant will close production.
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  #11  
Old 12-23-2009, 06:18 PM
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It will probably be Africa, some industries in china are already outsourcing work to africa. I also wouldn't be surprised to see more products from central/south america in the coming decades.
Yes, China is currantly getting a taste of their own medicine and losing a ton of jobs to outsourcing.
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Old 12-23-2009, 07:24 PM
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Yes, China is currantly getting a taste of their own medicine and losing a ton of jobs to outsourcing.
They will reach a point where they want/need to outsource low value added activities, just like the U.S.
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Old 12-23-2009, 07:44 PM
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Yep, globalization is working very fast.
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Old 12-23-2009, 07:50 PM
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Yep, globalization is working very fast.
It will continue to accelerate as more parts of the world have similar capabilities. The trick is to raise the standard of living in the developing world instead of lowering the standards in the developed world.
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Old 12-24-2009, 01:25 AM
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It will continue to accelerate as more parts of the world have similar capabilities. The trick is to raise the standard of living in the developing world instead of lowering the standards in the developed world.
Doing so would end outsourcing, no?

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