Quote:
Originally Posted by BobK
One of these days, somebody is going to figure out how to build those things in this country for a reasonable cost and we'll quit having to do move jobs there. Drop a modern plant in KY. We have the staff, the transportation and a good central location.
I feel for ya Jim, but more for the guy who is watching his job leave.
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Biggest problem in your equation Bob is that labor cost often isn't the killer. The engineers I'm hiring in Shenzhen (and Guadalajara) really aren't that much cheaper than their US counterparts, and direct labor cost makes up a tiny fraction of the high tech products we build.
It's all about supply chain. 80%+ (by cost) of the components used originate in Asia. Buying them locally can remove 15% to 30% of the materials cost from our products.
And believe me - my sympathies are entirely with that guy (and the 83 others in his shoes), not myself.
__________________
1961 220b: first project car - sold.
2000 CLK 430: first modern Benz - sold.
2001 CLK 55: OMG the torque!!! - sold
1972 280SE 4.5: Baby Gustav
1991 300TE 4Matic: Gretel the Snow Bunny - sold
1978 300SD: Katz the Free Man - given away
1980 Redhead: Darling Wife
