Reshoring/Offshoring
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  1. #1
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    Default Reshoring/Offshoring

    I follow international trade news and topics, but I wanted to ask a question to people who actually work in machining. What products, if any, are becoming eligible to compete with imports on a cost basis? I read on a quality control blog about how they can produce more shoes, for example, per labor hour, in the US than overseas.

    Comparison of Asian Countries for Production of Garments & Shoes - QualityInspection.org

    "China

    Labor productivity is still very low. In the shoe industry, for example, the average is 0.5 pair per labor hour, compared with more than 2 pairs in North America. This difference is NOT primarily due to automation, but to smart industrial engineering."


    Is there some machined part, or even non-metal part if you're familiar, that because of technology, wages, etc., is eligible to compete with imports?

    On the flip side of that, is there something which is quickly going offshore? What factors do you tend to see in production of some good that make it attractive to go offshore? I don't mean in general (in case someone says "wages"), but rather for specific products, such as the one above mentioning shoes. So maybe capacitors, for example.

    Sorry if this is a really broad and hard-to-gauge question. I'm not well-versed in this stuff.

    Thanks

  2. #2
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    Default

    competeing with imports is now completely impossible with the metal tarriffs. We build our products in the USA and in Europe as well as Austrailia. There is no difference in cost when I produce in europe and the USA at least there was none till the tarrif now it is much more costly. Producing in Australia is cheaper than europe and the united states. The only way around this problem is to produce in mexico, I have gotten quotes and it is much cheaper than the US and Europe.


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