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Author: Subject: Made in USA and Trade Law thread

Maximum Peach



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  posted on 5/23/2017 at 02:06 PM
The filters I mentioned above were indeed made in the USA by the way.

That Harley news is a little different.

This from a different article:

The plant is known as a complete knock down facility, an assembly plant where Harley-Davidson will put together bikes using parts shipped from its U.S. factories or suppliers.

Harleys made in Thailand will support sales in China and southeastern Asia, as the manufacturer works toward its goal of growing its international business to half of annual sales by 2027.

Thailand has a 60% tax on imported bikes, a tax that would not apply to Harleys assembled for delivery inside the country’s borders.

 

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Maximum Peach



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  posted on 5/24/2017 at 09:59 PM
The Harley story is a prime example of how a tariff works and what companies will do to avoid it. What if we had a 60% tariff on cars imported from Korea? Think Kia and Hyundai would be building more plants here? You betcha.
 

Maximum Peach



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  posted on 1/11/2018 at 03:24 PM
Reviving our old thread as my interest in political and current event topics is on the upswing:

Toyota building Corolla in the US rather than Mexico! Nice!


quote:
Japanese automakers Toyota and Mazda confirmed plans Friday to build a $1.6 billion U.S. assembly plant that would create up to 4,000 jobs as part of an extensive new alliance. Toyota said it would make the Corolla sedan at the factory instead of in Mexico as previously intended.
https://www.usatoday.com/story/money/cars/2017/08/04/toyota-corolla-mazda-m exico/539179001/



The actual plant will be built in Huntsville, AL
http://www.al.com/business/index.ssf/2018/01/its_official_toyota-mazda_anno .html#incart_big-photo

4,000 jobs could turn into 16,000 as supply chain jobs come into the region. This is why manufacturing is so so so important to our economy. The job multiplier and the good wages and benefits plus the tax revenue for the local communities can't be matched by other employment sectors.

http://www.al.com/news/huntsville/index.ssf/2018/01/could_4000_toyota-mazda _jobs_t.html#incart_big-photo

 

Maximum Peach



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  posted on 1/12/2018 at 02:53 PM
My wife has been finding lots of made in the USA women's clothes on this site:

https://gozon.com/

 

Peach Pro



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  posted on 1/13/2018 at 11:47 AM
General Pencil Company

http://www.generalpencil.com/

Great article in The New York Times @ link below

Inside One of America’s Last Pencil Factories
https://www.nytimes.com/2018/01/12/magazine/inside-one-of-americas-last-pen cil-factories.html




 

Maximum Peach



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  posted on 1/13/2018 at 04:39 PM
quote:
General Pencil Company

http://www.generalpencil.com/

Great article in The New York Times @ link below

Inside One of America’s Last Pencil Factories
https://www.nytimes.com/2018/01/12/magazine/inside-one-of-americas-last-pen cil-factories.html






Very cool. Since 1889. That one worker photographed has been there 47 years!

Last I checked the Papermate mechanical pencils were USA. I have some regular pencils, will have to see if they are General.

 

Maximum Peach



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  posted on 1/13/2018 at 06:43 PM
On a sadder note, a few years ago my wife bought these magnet sets called "Create-a-Scene", it was a thing that folded open with magnet pieces kids could play with. We had a school, a house, a jungle, etc. They were big hits with the kids. They were made in USA. My wife just went to buy another one and they are made in China now.

Also, I noticed awhile ago Energizer batteries are starting to say something on the package like made in USA, Japan, Thailand, China, Singapore, etc. The actual battery will say where it is made and I've always been able to easily find ones that say made in or assembled in USA. I just saw some for the first time that said made in Poland. Duracells are the same way now, but not sure if it is as common, I've still been able to find USA ones.

 

Maximum Peach



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  posted on 1/13/2018 at 07:00 PM
More good news in the automobile manufacturing sector!

quote:
Fiat Chrysler will invest $1B in Warren Truck plant; bring Ram work back from Mexico

Eric D. Lawrence, Detroit Free Press Published 6:02 p.m. ET Jan. 11, 2018 | Updated 1:08 p.m. ET Jan. 12, 2018

Fiat Chrysler Automobiles will invest more than $1 billion to modernize the company's Warren Truck Plant in metro Detroit, adding 2,500 jobs and moving production of its Ram Heavy Duty trucks from Mexico.

The changeover is to be complete in 2020.

The company said Thursday evening that the new federal tax law made the shift possible. That legislation, signed into law in December, cut the corporate tax rate from 35% to 21%.

FCA also announced $2,000 bonuses that will be paid in the second quarter of this year to 60,000 hourly and salaried employees in the U.S., excluding senior leadership. Those bonuses are to be in addition to any profit sharing or performance bonuses the employees would receive this year.

More Fiat Chrysler news:

History of Warren Truck Assembly Plant

Fear of NAFTA collapse seen as factor in move of Ram production from Mexico

Trump tweets praise Fiat Chrysler's 'wise decision' to shift from Mexico to Detroit area

"These announcements reflect our ongoing commitment to our U.S. manufacturing footprint and the dedicated employees who have contributed to FCA's success," Fiat Chrysler CEO Sergio Marchionne said in a news release. "It is only proper that our employees share in the savings generated by tax reform and that we openly acknowledge the resulting improvement in the U.S. business environment by investing in our industrial footprint accordingly."

The investments will likely be one of the topics Monday when Marchionne is scheduled to speak to reporters at the North American International Auto Show in Detroit.

Natalie Farquhar of Port Huron works as a laborer at Center Line Packaging, which is part of FCA's Mopar division. The 23½-year company veteran was thrilled by the announcement.

"Wow! Wow, that’s great. That’s wonderful," Farquhar said, noting that the investment and bonuses tell her the company is doing well. She said she is hopeful the company will also start making full-time hires of the many temporary workers she knows of at numerous FCA plants.

"I'm thinking that's really good. A lot of these people who've been putting time in and working will be getting hired and getting full-time positions," Farquhar said.

Asked what she will do with her bonus, Farquhar laughed and said she might opt to help out the economy by making a down payment on a pontoon boat.

The investments announced Thursday will be in addition to plans FCA unveiled last January when it said it would spend $1 billion at Warren Truck and in Toledo to expand Jeep production.

The company plans to build the Jeep Wagoneer and Grand Wagoneer in Warren, is retooling in Toledo to produce a Jeep truck and is shifting production of the Ram 1500 to Sterling Heights. That's part of a broader plan that included shifting Jeep Cherokee production from Toledo to Belvidere, Ill.

Despite the shifting of Ram Heavy Duty production from Mexico, the Saltillo Truck Assembly Plant there will continue to operate. The company said that plant will be repurposed to build future commercial vehicles for global distribution.

The company said it has invested $10 billion in its U.S. manufacturing operations since June 2009.

Macomb County Executive Mark Hackel called the latest invesment a great announcement, saying "we’re extremely grateful for FCA and Sergio making that commitment. ... I can't wait to give him a big hug at the auto show."

Hackel noted the significance of bringing more Ram truck production to the county, which has seen substantial investment from automakers and suppliers in recent years.

"This has become somewhat of a Ram country here in Macomb County if you think about it because this is where it's being built ... and they're bringing them up from Mexico," Hackel said.

Brian Rothenberg, a spokesman for the UAW, offered cautious praise, explaining that the union had just been made aware of the announcement.

"While the news is positive, the UAW is reviewing the details," Rothenberg said, noting union officials would likely have more to say later.

The move is a boost for President Donald Trump and congressional Republicans, who argued that their tax bill would encourage investment in the U.S.

In addition, Trump scolded automakers last year for building vehicles in Mexico to little effect — auto imports from Mexico to the U.S. hit a record level last year. In talks about revising the North American Free Trade Agreement, Trump's administration has proposed a requirement that 50% of all auto parts or vehicles assembled in Mexico start in the U.S., and fears have been renewed that the trade deal is imperiled.

Thursday's announcement was the second major auto factory news in as many days. On Wednesday, Toyota and Mazda announced they would build a $1.6-billion, 4,000-worker plant in Alabama.

https://www.freep.com/story/money/cars/chrysler/2018/01/11/fiat-chrysler-in vesting-billion-dollars-warren-truck/1026517001/


 

Maximum Peach



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  posted on 1/13/2018 at 07:04 PM
Based off of casual observations I make, the Ram truck line had been made in two US plants prior to the Great Recession and the Fiat - Chrysler shotgun marriage. After that they closed the Missouri plant and moved that production to Mexico, all the 2500 and 3500 3/4 and 1 ton trucks were made there and only the 1500 1/2 ton trucks were made in the US. Now it sounds like the entire Ram line will be assembled here.

[Edited on 1/14/2018 by nebish]

 

Maximum Peach



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  posted on 1/18/2018 at 11:41 PM
NAFTA renegotiations resume with a 6th meeting in Canada next week.

Thom Hartmann had a segment on his show today with a representative from Global Trade Watch on where things stand.

https://www.youtube.com/watch?v=_v6nA3--MDc&feature=youtu.be



[Edited on 1/19/2018 by nebish]

 

Maximum Peach



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  posted on 1/23/2018 at 10:08 PM
Whirlpool made formal complaints for years against Samsung and LG on kitchen and laundry appliances.

This past fall the International Trade Commission ruled in their favor on the laundry appliances:

quote:
The case, brought by U.S. appliance giant Whirlpool Corp (WHR.N), sought “global safeguard” restrictions to stop South Korean rivals Samsung Electronics Co Ltd (005930.KS) and LG Electronics Inc (066570.KS) from flooding the U.S. market with cheaper washers.

The commission, voting 4-0 in favor of a finding that the large number of imports was hurting domestic manufacturers, will recommend remedies by Dec. 4 to President Donald Trump, who is expected to make a final decision by early next year.
https://www.reuters.com/article/us-usa-trade-whirlpool/panel-finds-u-s-wash ing-machine-makers-hurt-by-lg-samsung-imports-idUSKBN1CA1W4



Some history and illustration of what companies will do to avoid tariffs being levied on their goods:

quote:
But Whirlpool contended the companies have made washers in lower-cost countries, using cheaper labor and parts to undercut their big American competitor. When Whirlpool complained that the companies were doing this with machines made in Korea and Mexico, the U.S. Commerce Department investigated and agreed. It said new imports from those countries would face extra fees.

The companies then shifted production to China. They said they did so for legitimate business reasons. But Whirlpool and, subsequently, the Commerce Department said they did so at least partly to avoid the penalties from the case involving Mexico and Korea. New penalties were assigned.

Yet that still didn't stop the companies, which shifted production again, this time to Vietnam and Thailand, Whirlpool and Ohio lawmakers including U.S. Sen. Sherrod Brown and Rob Portman said. Brown accused the companies of playing a version of the arcade game Whack-a-Mole, in which the target burrows underground and reemerges someplace else each time it is hit.

Whirlpool and the senators said the only solution left was to penalize the companies, and provide Whirlpool and its workers relief, by assessing a broad set of penalties not tied to a specific country.

Samsung accused of shell game that harms Ohio workers

Samsung accused of shell game that harms Ohio workers

Ordered to pay trade-law penalties on China-made washing machines, Samsung might be moving production to other countries instead.

Monday's decision is the culmination of that request, which started with an investigation and wound up with Trump agreeing with the recommendations of Trade Ambassador Robert Lighthizer, who said the domestic industry deserves protection in light of a surge of imports that started in 2012. The trade representative and his agency made that recommendation last fall but it was not clear if Trump would ultimately agree.
http://www.cleveland.com/nation/index.ssf/2018/01/in_major_victory_for_whir lpool.html



See, these companies don't want to just concede and pay the tariff because then that makes them less competitive with domestic producers. They want, and in some cases, need that price advantage in their favor to garner market share and sales which hurts the domestic producers. So the foreign producers will do what they can to avoid the penalties and the higher costs.

The remedies recommended by ITC where a quota up to 1.2 million units imported with a tariff ranging from 0-20% and 50% on anything beyond 1.2 million.

Whirlpool did not feel this went far enough and neither did Ohio Senators Rob Portman or Sherrod Brown, both urged for a 50% tariff on all imported units.

The Trump Administration went with the ITC recommendation rather than a flat 50% tariff on all units.

quote:
The three years of trade restrictions on washing machines and parts will be set via a so-called tariff-rate quota, which allows imports of a certain number of fully assembled machines under a 20 percent tariff. Imports beyond the quota will be subject to a much higher 50 percent tariff the first year. The remedy stops short of Whirlpool’s petition for a flat 50 percent tariff on imported machines made by rivals Samsung and LG.
https://www.politico.com/story/2018/01/22/trump-imports-trade-303859



The point may be moot in the near future. Both LG and Samsung are in the final stages of building production facilities in South Carolina and Tennessee. If only we could've got this trade penalty sooner maybe Samsung and LG would've located production here first before bouncing around to all the low labor countries. But that is part of the gig, they needed that low labor to build up their margins and profits and get the brand recognition strong enough with supporting sales to make such an investment in the US, and at what cost? Surely US manufacturers lost sales and jobs in that time span while the likes of Samsung and LG took away sales and enjoyed larger margins and competitive advantages.

Sell it here, build it here!

 

Maximum Peach



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  posted on 1/23/2018 at 10:35 PM
There were also trade penalties to be levied against imported solar panels based off of ITC findings.

There are solar panels made in the USA, but unlike large appliances sold here, or some other product or raw material, most of that is imported. The lionshare of production and what is sold in the US is made in East Asia. This is going to be an incredibly difficult area for the US to be competitive, even with the tariff.

Companies who produce in the US:

quote:
What are the Top Companies Making Solar Panels in the U.S.?

Though the large majority of solar manufacturers import their equipment from southeast asia (even in the case of leading American solar companies like SunPower), there is a short list of American solar companies that actually make their solar panels here in the United States.

Here is the breakdown of U.S. solar companies:

Itek Energy
Heliene
Solaria
Mission Solar
SunSpark
SolarWorld Americas
Suniva
Seraphim
Solartech

Missing from the above list are Tesla and Panasonic who each began manufacturing U.S. solar panels in late 2017. The two companies are now producing Tesla’s new solar roof product and low profile solar panels at its large manufacturing plant in Buffalo, known as the Gigafactory.


quote:
The Top 10 List of Solar Panel Manufacturers (Global)

A big part of calculating solar panel quality is understanding the metrics and factors that determine it such as module efficiency and performance. Check out this solar panel analysis to better understand significant characteristics that will impact your solar panel performance. Also notable is the fact that not every company that made this list has a significant share of the US residential solar power market.
Table: Top Solar Panel Manufacturers in 2018 – Global ranking by shipment volume

2017 - Rank -Company Headquarters
1 -JinkoSolar -China
2 - Trina Solar -China
3 - Canadian Solar -Canada
4 -JA Solar -China
5 -Hanwha Q CELLS - South Korea
6 -GCL-SI -Hong Kong
7 -LONGi Solar - China
8 -Risen Energy - China
9 -Shunfeng -China
10 -Yingli Green - China


Most of the US jobs in the solar segment are in sales and installation rather than manufacturing. And the two companies who petitioned for the import penalties are not US companies, they just assemble in the US and compete with imported panels.

If the prices for solar panels increases, will it hurt installation jobs and will this be a net job loser? There are those who say it will. It depends, does the consumer want solar panels or not? If the answer is yes, they will continue to buy them because in the long-run they will still save on electric bills, it just means that recoup time may be longer now. But the recoup will still occur, if it is purely a financial decision. Then there is the ethical side, which I'm sure many progressives believe in the appeal of renewable and green energy sources - if that is one's belief, to an extent, the price of the product is only a hurdle and the reason to go solar makes it all worth it big picture.

But the real problem is that the consumer hasn't had to bear the full cost of the solar panel purchase and install because of tax breaks that were created to incentivize them. So they have been insulated from the actual cost and now that the US tries to make the playing field level, the fear is the consumer will protest more? There should've been no subsidy for solar in the first place.

In this case I actually do not think the tariff will have much positive impact on the domestic solar panel industry some hope and I don't think it will have much of a negative impact on the sales and install jobs some fear. I tend to think the trajectory is going that direction for more solar and isn't likely to slow much. But if you have your choice, why not buy panels assembled in the USA?

quote:

Trump imposes 30 percent tariff on solar panel imports

The new tariff falls to 25 percent after a year, and then 20 percent and 15 percent each year after, before phasing out entirely. The first 2.5 gigawatts of imports each year are exempt.

Solar panels already are subject to significant tariffs when imported from China and Taiwan.

Suniva and SolarWorld Americas requested tariffs of 50 percent on imported panels last year, saying their operations were decimated by cheap imports. The International Trade Commission endorsed tariffs of up to 35 percent after it ruled that domestic manufacturers suffered "serious injury" from the imports, a finding required to impose tariffs under Section 201 of the Trade Act of 1974.

Most of the rest of the solar industry, including installers and companies that make related technology, oppose the tariffs, saying they would threaten tens of thousands of jobs.

http://thehill.com/policy/energy-environment/370171-trump-imposes-30-tariff s-on-solar-panel-imports


 

Maximum Peach



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  posted on 1/23/2018 at 10:42 PM
Day 1 of NAFTA renegotiate part 6 started today
https://www.reuters.com/article/us-trade-nafta/nafta-negotiators-open-key-r ound-of-talks-amid-upbeat-signs-idUSKBN1FC242

 
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