Originally Posted by Turf Dawg
What seems strange to me is it seems a lot of foreign companies send their stuff to the US to be assembled like Japanese cars and lawn equipment, heck even the Germans Stihl are assembled here. But it seems like the US companies are sending all of our work to China and Mexico. Heck, even the "good ol American" Briggs closed a plant in the US and sent it to China. What makes me sick is that all these USA companies made all their money off of our fathers and grandfathers labor then booted us out and sent the labor to China, and oh yea, they want to have a price increase even though they are getting it assembled for just almost slave labor, so they can give themselves another bonus.
The sad part of this "free trade agreement" is that labor costs have very little to do with the price of the Chinese imports. We run a small plastics molding company that was doing very well before the advent of Chinese imports.
My wife is a good accountant and crunched many numbers to see how we could compete. Her first deduction was that if we used a zero labor cost in our business that the Chinese were still underpricing us by almost 50%.
Whoa, how can that be? If our employees would be willing to work for $0.00 per hour we still could not match their prices. It may be free trade but it is not FAIR trade. The Chinese government will not permit their currency to be traded on the world market and thus can dictate the exchange rate with their trading partners. It is all just a money laundering scheme that our government is either afraid to or unwilling to correct..........I can still mow lawns for our retirement (no disrespect directed to anyone).....and I do.