This Chinese Company Moved Production to South Carolina to Save Money
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| “No one could have imagined five years ago that China would look at the cost structure in South Carolina and say it’s more profitable to locate in South Carolina than in China,” says Auggie Tantillo, a South Carolina native who heads the National Council of Textile Organizations. For years, South Carolina’s business leaders were at loggerheads with China. Roger Milliken, the former chief executive of textile giant Milliken & Co., bankrolled unsuccessful efforts to block China’s entry into the World Trade Organization because he believed Chinese competition would undermine U.S. firms. Former Sen. Jim DeMint, who won office as a free trader, says that many people in his home state believed they were losing their jobs because of low-cost Chinese competition. But now Chinese investment in the state, although now at modest levels, is starting to build. Chinese investors are buying golf courses near Myrtle Beach, and setting up yarn, plastic and chemical companies elsewhere. In one of the biggest investments, Chinese-owned Volvo Car Corp. last year said it would invest $500 million to build a new vehicle plant near Charleston. So far, Chinese firms have invested about $300 million in South Carolina and employ about 1,000, according to Rhodium Group, a New York research group. That’s a small fraction of the approximately 130,000 South Carolina workers who now work for foreign-owned firms in the state, mainly from Germany, France and elsewhere in Europe. South Carolina’s success in snagging foreign investment is the subject of a Wall Street Journal front-page story. Still, the state had a number of pluses: laid-off manufacturing workers looking for jobs, low wages, the modern Port of Charleston, good roads and a state government willing to give tax breaks and other benefits to foreign firms. “As soon as we sign a company, we custom-build a training program for them,” said the state’s commerce secretary, Robert “Bobby” Hitt. Even Mr. Ling, though, said he was surprised when Keer Group of Hangzhou, China, said in 2009 that it wanted to build a cotton-yarn firm in South Carolina. “I thought, if the Americans couldn’t figure out how to make money in the textile business (in South Carolina), how could the Chinese do it?” said Mr. Ling, who was born in China but has become a U.S. citizen. But Keer executives said they realized that the gap in wages between China and the U.S. was narrowing, plus South Carolina had cheaper land, energy and raw cotton than China. Keer opened its first plant in South Carolina last year and now employs about 180 people, said Lilian Chang, a sales executive at the South Carolina plant. Over time, it wants to add four more factories and build up its workforce to 500. “What we lack (in South Carolina) is professional technicians” to run the company’s automated spinning machinery, Ms. Chang said. One reason the U.S. textile industry had such big layoffs, economists say, is that the industry became so automated that it needed far fewer workers to run computerized assembly lines. http://blogs.wsj.com/economics/2016/02/17/this-chinese-company-moved-production-to-south-carolina-to-save-money/?mod=WSJBlog |
Still, the state had a number of pluses: laid-off manufacturing workers looking for jobs, low wages, the modern Port of Charleston, good roads and a state government willing to give tax breaks and other benefits to foreign firms. “ кофти е да си ф третия свят. |
кофти е да си ф третия свят.  така е - затова китайците бягат в САЩ, веднага щом им се отвори възможност. |
така е - затова китайците бягат в САЩ, веднага щом им се отвори възможност. Рки, пак нищо не си разбрал. Китайците не бягат в САЩ, те идват да УПРАВЛЯВАТ в САЩ.  |
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