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The Forum > Article Comments > China versus the US: it is serious > Comments

China versus the US: it is serious : Comments

By Chris Lewis, published 13/10/2010

Will tensions between the US and China increase, and should Australia continue to side with the US?

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For more evidence that 911 was a false flag event,see http://www.homepagedaily.com/ in the blogg section of OLO.
More evidence that Bush knew about 911 and the USA using current false terror alerts to increase military presence in Afghanistan and Pakistan. The European countries are growing tired of the lies and endless wars of imperialism.Who benefits? Not the tax payer but Global Corporate elites who have control over our Govts.
Posted by Arjay, Thursday, 14 October 2010 5:41:53 AM
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CHRIS LEWIS... as Festus said to St. Paul at Caesarea

"You are out of your mind, Paul!" he shouted. "Your great learning is driving you insane."

Keep well away from China!

It's simple.

a) They are replacing original manufacturing in Western Countries.
b) IF... we don't have innovative and ORIGINAL manufacturing and value adding... we are going broke by the minute, and no amount of 'digging stuff out of the ground' will save us in the long run.
c) "Service" based economies will only last until BIG China catches up, and we all suddenly find we cannot cope unless we speak Mandarin.

I was just given a machine by a local manufacturer who's products are increasingly being made in China. That machine does a particular job FULLY automatically thus the 'labor' content is almost zero. If you wish to buy such a machine today it will cost you $200,000 ! ! !
So....why would this company 'give' it to me ? This is symptomatic of the China situation. Even though they don't use such machines there, they can still produce stuff with direct labor at competitive prices.

I know of a product that is being sold here for $6.00 ea, made in China and delivered here for $0.50c wow.. what a markup... what a profit... 8000 units a month... not bad. But over time, more companies will go direct rather than through a local agent.

Heck...I'm doing it myself.

Anyone who thinks we need to review our closeness to the USA and snuggle up to China, does not know the Chinese or history very well.

Back to laboring Chris :)
Posted by ALGOREisRICH, Thursday, 14 October 2010 5:50:13 AM
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ALGOREisRICH

I am a bit confused by your response.

You state "Anyone who thinks we need to review our closeness to the USA and snuggle up to China, does not know the Chinese or history very well...Back to laboring Chris :)

I am actually critical of China, so am not sure if you are critical of my article or not.

My point is to argue we cannot go on this way; Western societies cannot compete with China.
Posted by Chris Lewis, Thursday, 14 October 2010 7:08:54 AM
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China is making a mockery of free trade, how can trade be free when the playing field is unfair.
USA has put up the idea of beinging back trade barriers to even the score somewhat.
All this free trade is not good for internal manufacture.
Manufacturing goes off shore for cheap manufacture costs alone.
Unfair and unfair.
The whole system wants pulling back, and barriers putting in place to protect our own.
We now have cheap Chinese cars. You can't blame people from wanting them, but it does nothing for our own.
Whith a communist govt; of China labor is going to be cheap for a long long time, By then every other country will be broke, and China will be flourishing. Unfair.
Posted by 579, Thursday, 14 October 2010 7:25:10 AM
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The other fascinating irony, of course, is that many of the "cheap" goods imported from China to the U.S. are manufactured "offshore" by American owned companies.
Posted by Poirot, Thursday, 14 October 2010 7:25:46 AM
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Chris Lewis,
"Western societies cannot compete with China"

Why?

Labor costs are not that great. In general, about 20% of costs are labor costs, so reducing labor costs by 1/2 only reduces total costs by 10%.

However I cannot imagine the Chinese government handing out large sums of money to government departments and education systems who then spend every cent on imports, as is the case in Australia.
Posted by vanna, Thursday, 14 October 2010 7:34:33 AM
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