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    The US Manufacturing Industry Is Expanding Its Southern Investment Trend.

    2011/12/29 8:50:00 3

    According to media reports, the US manufacturing industry expanded its southern investment. trend Obvious. General Motors invested $2 billion in the northern Michigan state on the basis of $5 billion 100 million in investment and built a new factory in southern Texas. Ford invested $1 billion 100 million to set up a new factory in Missouri to strengthen commercial vehicle production. Plus Chrysler, the three largest U.S. auto companies will create 20 thousand new jobs. The US manufacturing "go south" began in 1990. After the financial crisis, the major auto companies and the American automobile Union (UAW) reached an agreement on the sharp reduction of workers' wages. The labor costs in the South were significantly reduced and the trend of "going south" accelerated.


    Foreign car companies in the United States have also joined the "southward movement". In November this year, TOYOTA Mississippi New factory worker The hourly wage is only $15, which is significantly lower than GM's $80 hourly wage. TOYOTA plans to double the number of workers in 2012 to further strengthen the production of the main car "corolla". Boston consulting firm predicts that with the rapid rise of labor costs in China and considering the difference in production efficiency, the production cost in the southern US will be lower than that in China before and after 2015.


    At the same time, the depreciation of the US dollar also strengthened the export competitiveness of the United States, and the new trend of manufacturing industry returning from abroad to China. In addition to the auto industry, Boeing, which originally did not have factories in the south, began to set up a new factory in South Carolina. General Electric is building new factories in Kentucky. In early 2012, the production of large water heaters will be transferred from China to China. The OTIS elevator will be withdrawn from Mexico, and Ford motor will also shift parts of China's parts production and European vehicle production to China. The Boston consulting firm estimates that the manufacturing return to the southeast will create 200-300 new jobs for the United States, so that the current non-agricultural sector's unemployment rate (8.6%) will be reduced by 1.9% at most.

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