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    2010: The US Reinvigorate Manufacturing.

    2010/10/27 9:56:00 71

    American Manufacturing Industry

      

    August 11th, President of the United States

    Obama

    The signing of the bill authorizes the exemption from the import duties of the 800 annexes, including parts of the United States.

    Textile and clothing

    Used by enterprises in the production of finished products.

    Man-made fiber

    Products.

    The United States does not produce such exemption attachments, so it does not compete with domestic enterprises. However, the import of these accessories can enhance the competitiveness of domestic companies in the United States.


    This legislation extends the tariff reduction measures which expired in January 1, 2010 for one year.

    The abolition of tariffs will take effect from August 11th. Tax-free measures will be traced back to the beginning of the year for products that had been approved earlier but not yet extended tariff concessions.

    The legislation of tax exemption annexes is generally considered uncontroversial. However, due to the disagreement over the issue of funds and the special requests made by members of Congress, this legislation has not passed the usual congressional hearings and debates. Therefore, the passage of legislation has been postponed.


    The legislation includes some artificial acrylic and viscose staple fibers and filaments, which have been granted tariff free access to the US market in recent years.

    This legislation provides support for us textile and garment manufacturers.


    It can be said that the bill signed by Obama surprised many people.

    In fact, as early as July, the bill was passed in the house and Senate, but it did not attract much attention at that time.


    The reason why it is surprising is that in the past 30 years since the industrialization of the United States, the manufacturing industry in the United States has been shrinking, and the manufacturing industry has been pferred to the developing countries, including China, one after another.

    It is reported that similar to the 90s TV series "Beijing people in New York" small factories, now no longer exist.

    The reason is very simple, that is, the American salary is too high, which is quite a few times that of Chinese wages.

    It is believed that the trend of "industry hollowing out" in the United States is irreversible as economic globalization.

    The manufacturing industry in the United States has reduced 6 million jobs in the past 10 years.


    Earlier in 2010, Obama revealed in his state of the Union address the purpose of revitalizing the manufacturing sector in the United States.


    At 10 a.m. Beijing time on January 28, 2010, Obama delivered his first state of the Union address at the joint meeting of the house and Senate.

    In his speech, Obama said that the United States needs to increase exports, and the new goal is to double in the next 5 years.

    The president, who is facing a job examination, is confident that this growth will create 2 million jobs for the United States.


    This declaration, when Obama visited Japan in 2009, said that the US wants to revive exports as a new economic growth point when domestic demand is weak.


    He Weiwen, deputy director of the Institute of open economy of China University of foreign trade, analyzed yesterday that the United States is reinvigorate its exports and may compete against China in the fields of spare parts, general machinery and equipment, and electronic equipment.

    He Weiwen served as the economic and Commercial Counselor of China's Consulate General in San Francisco and New York.


    Small businesses that have made significant contributions to the creation of new jobs have become Obama's first concern.

    Obama said the catastrophic effects of the crisis are continuing, and 1/10 of Americans still have no jobs.

    Many businesses are closed, housing prices are falling, and small towns and villages are being hit harder.

    For those who are already poor, life has become more difficult.


    This time, Obama showed greater determination. "In order to help achieve this goal, we will implement a national export initiative and reform export controls to help farmers and small businesses increase exports."

    However, he did not publish more details.


    Does the US plan to increase exports mean that Obama wants to see the dollar weaken? Will it bring pressure on the RMB exchange rate? In recent years, top executives in Europe and America have appealed for renminbi appreciation almost every occasion on various occasions.


    Vice Minister of Commerce, Zijin Mountain recently said that the pressure on RMB appreciation has been increasing internationally, and the renminbi is facing stronger appreciation expectations.

    He Weiwen believes that although the depreciation of the US dollar is beneficial to exports, it does not mean that it will weaken the US dollar. "The interest of the US dollar is too much."


    For Obama's position, he should pay close attention to the US subsidies for export agricultural products and possible trade remedy measures in order to prevent its abuse of the WTO rules.

    The impact of the US Revival on exports to China is He Weiwen's view that it will mainly be reflected in the competition for China in the fields of spare parts, general machinery and equipment, and electronic equipment.


    "The plan is also a manifestation of America's desire to reinvigorate the manufacturing industry."

    He Weiwen said that in recent years, the proportion of the real economy in its GDP has become smaller and smaller, and the US is in urgent need of changing the way of economic growth.

    However, the revitalization of manufacturing industry is not enough by the domestic market, so we need to vigorously expand overseas markets.


    In the most high-end technology, the American manufacturing industry has certain advantages, such as aviation, electronic information and new materials, but the export volume is not large.

    The larger export volume is concentrated in the middle end manufacturing industries, such as machinery and equipment, but the competition in this part of the international market is fierce.

    In the low-end labor-intensive industries, the United States has basically withdrawn.


    The specific measures taken by the US bill to promote manufacturing industry are to reduce or suspend some tariffs of American enterprises when importing raw materials, so as to reduce production costs, restore competitiveness and create more jobs in the US manufacturing industry, and ultimately achieve the goal of "double export of US exports within five years".

    Americans have two main reasons: first, to change the current situation of "Americans borrowing Chinese debt to consume Chinese products"; and the two is to reverse the trend of "jobs flowing to China".


    Some friends in China decided that buying American Treasury bonds to buy American goods for Chinese people was a disadvantage for Chinese people, and Obama's view was just the opposite.

    Now, China has not yet reached a consensus, and the United States has taken the lead in changing the status quo.


    Since the recession, the United States has increased 8 million jobs and expanded the entire unemployment force to 15 million.

    The unemployment rate in July is as high as 9.5%, which will affect the mid-term election of the ruling party in the United States.

    Therefore, the labor force in the United States will certainly support the new bill.


    But workers are happy that bosses may not be happy. Forcing multinational companies to expand domestic employment by administrative means not only violates the trend of economic globalization, but also violates the instinct of capital expansion.

    The US business community is certainly not satisfied.

    Labour votes are more and employers are more energetic.


    Besides, the subjective will of the United States is one thing, and the result of political game is probably another matter.

    Moreover, this policy ultimately strikes whether China, known as the "world factory", or India, known as the "world office", is hard to say.

    For post industrialized America, it is easier to recapture software outsourcing jobs than to recapture manufacturing jobs.

    To which side should we develop, we need to be patient.


    What we need to reflect is ourselves.

    As early as 30 years ago, in the post industrial society of the United States, we should vigorously promote the manufacturing industry through legislation. As a industrialized country, what is the reason why we ignore the industry?


    In the early 1990s, in the policy consultation circles in Shenzhen and Shanghai, many of them had the main trend of adapting to the trend, leaving the ordinary manufacturing industry to the adjacent areas, leaving only the high value-added industries with the highest added value, and vigorously developing the service industry.

    Shenzhen people call this the "two pioneering work". Some people in Shanghai also advocated "hollowing out the industry". But then the mayor Xu Kuangdi himself stopped it, and then slowed down greatly.

    Nevertheless, the scale of manufacturing industry in Post Industrialization star city is still considerable. For example, the factory in Beijing has been completely out of town. The capital Steel Corp is also moving to the Cao Fei store in Tangshan, Hebei before the "08 Olympic Games".

    Therefore, the US manufacturing promotion act will surely cause greater ideological fluctuation in the five star cities of China, namely, Shanghai, Beijing, Shenzhen, Guangzhou and Tianjin, than in other parts of the country.


    In fact, "manufacturing" and "environmental pollution" are not necessarily equal.


    Don't forget that the United States is still the most developed country in the world.

    It is obvious that industrialization has entered the industrialization process. If the United States needs to make further progress, how can we not even climb the pole of industrialization?

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