8/11/2023

Western manufacturing that left Russia or China are suffering

 Western manufacturing that left Russia or China are suffering or will be suffering the consequences in time to come. Those voids that they left will be taken over by domestic companies waiting on the sidelines, giving them opportunities to take over plant and machineries, all ready made for them.

The Chip War against China is leaving unlimited opportunities for Chinese companies to fill the void. It is not a dead end for China, as it has all the experience, expertise and availability of skilled workers to fill the void. Samsung and Foxconn are going to find the shift to India a misplaced decision and a colossal mistake, and returning to China is not going to be without problems either. Apple's iPhone manufacturing in China has now signed on Luxshare Precision Industry as one of it's iPhone production supporting player, taking a piece of the cake left behind by Foxconn.

Moreover, the USA had warned Samsung against taking up the void left by the Chinese sanctions against Micron's Nand memory chip supplies in China, so Samsung is now left in the lurch, even with its intended return to China. Chinese companies like Yangtze Memory Technologies Corp (YMTC) are taking over the void left by Micron, not even needing Samsung to fill the Micron void. As China's priority is now centred on building up its semiconductor facilities, more of such domestic companies are rising in ranks to take on the task of filling the void left by foreign manufacturers leaving China. It could be construed as a blessing in disguise, thanks to the USA. The push against China is going to result in a Tsunami for the USA and the West. As they say, what does not kill China will make it even stronger.

As I said before, who wins and who loses in the Chip war is still not a foregone conclusion. For sure, Chinese equipment makers are not the only ones suffering the sanctions. And we have yet to see what kind of effect those restrictions imposed by China on rare earth elements will do to those foreign chip makers. Any retaliation by the USA will see a similar tit for tat from China. 

Anonymous

2 comments:

  1. Good morning Mr RB and All

    Yes can see so many OEM enterprises taking over the supply of the manufacturing parts as left by the Main Manufacturing Companies.

    Want to divorce and remarry again?

    South Koreans daftees are now worse off caught with their balls on their wooden horses listening to their White Americunts who will in the future played them out just like they played out the Netherland, oops Seventh Month coming.

    The Dutch are now kicking their arses to trust the Americunts.

    UAssA had no allies only their self interests to maintain their World's Number One Supremacy.


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  2. Did those companies that left Russia regret knowing that the Russian economy is in fact doing better than the EU? The collapse of Russia did not play out. The collapse of EU industrialisation is meanwhile playing out, not to talk about the coming winter and how the Europeans are going to face it.



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