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Posted: 6/18/2007 12:47:08 PM EDT
Americans want cheap goods. There is no arguing that. You can't as a business owner make cheap shit and pay people a lot of money to make it.


Why don't we outsource everything to Mexico instead of India and China?

Why don't we build factories in Mexico instead of buying shit from China? I know we have some stuff down there, but I mean really start investing cash there.

Why don't we just spend the billions that we send to China, making Mexico the biggest trading partner we have?

What that would do is, make those illegals who are really looking for jobs to stay at home and work.

It also would not fill the cofers of a communist government with a large standing army, who's armed with nuclear weapons.


How could this not be a win/win?
Link Posted: 6/18/2007 12:50:13 PM EDT
[#1]
We already manufacture a ton of stuff in Mexico. I spend two or three weeks in Mexico each month doing factory efficiency and quality improvement work.

ETA: But you have the right idea. Illegal immigration is largely an economic issue. As long as there is a lack of decent jobs in Mexico, labor will go where the jobs are. All the punitive laws in the world cannot overule the law of supply and demand.
Link Posted: 6/18/2007 12:52:17 PM EDT
[#2]

Quoted:
We already manufacture a ton of stuff in Mexico. I spend two or three weeks in Mexico each month doing factory efficiency and quality improvement work.


Well we aren't doing enough.

If we were, China wouldn't be our biggest trading partner.

Investment in Mexico has to be a better alternative than to China.
Link Posted: 6/18/2007 12:55:57 PM EDT
[#3]
I can only guess that it has something to do with the Mexican gov't.  The Chinese gov't has clearly done more things in recent years to attract businesses to set up shop in the large numbers that they have.
Link Posted: 6/18/2007 12:56:36 PM EDT
[#4]

Quoted:

Quoted:
We already manufacture a ton of stuff in Mexico. I spend two or three weeks in Mexico each month doing factory efficiency and quality improvement work.


Well we aren't doing enough.

If we were, China wouldn't be our biggest trading partner.

Investment in Mexico has to be a better alternative than to China.


Canada is our largest trading partner, not China. China is number two, Mexico is number three. Considering Mexico has one tenth the population of China, they don't do too badly.
Link Posted: 6/18/2007 1:00:33 PM EDT
[#5]
Because as cheap as it is to produce in Mexico, its still cheaper to have it done in China.  The Mexicans take the jobs that the Americans don't want, and the Chinese take the jobs the Mexicans don't want.
Link Posted: 6/18/2007 1:02:40 PM EDT
[#6]
I would imagine if Mexico would/could start manufacturing the types of goods we get from china, they would probably provide it at an even cheaper price than China does now. There wouldn't be any need for shipping docks and freighter boats to get the goods here, just truck drivers to deliver goods. That would cut out a huge middleman.
Link Posted: 6/18/2007 1:03:25 PM EDT
[#7]

Quoted:

Canada is our largest trading partner, not China. China is number two, Mexico is number three. Considering Mexico has one tenth the population of China, they don't do too badly.


So do you think we buy most of our "cheap" goods from Canada or China? Go to WalMart and see what you think.

Where would that money be better spent?

In China or Mexico?

Couldn't we raise the population of Mexico quite a bit if a lot of the illegals went home and got  jobs?

The great thing about the plan is it doesn't even cost anything...... We get results for spending money we are already spending.
Link Posted: 6/18/2007 1:03:39 PM EDT
[#8]

Quoted:
Because as cheap as it is to produce in Mexico, its still cheaper to have it done in China.  The Mexicans take the jobs that the Americans don't want, and the Chinese take the jobs the Mexicans don't want.


Actually, it is partly due to the horrible infrastructure in Mexico. It is cheaper to ship a container from China then a railcar from Guadalajara. Almost all of the industrial cities in China are on the coast, or on major rivers. Mexico, not so much.
Link Posted: 6/18/2007 1:05:04 PM EDT
[#9]

Quoted:

Quoted:
Because as cheap as it is to produce in Mexico, its still cheaper to have it done in China.  The Mexicans take the jobs that the Americans don't want, and the Chinese take the jobs the Mexicans don't want.


Actually, it is partly due to the horrible infrastructure in Mexico. It is cheaper to ship a container from China then a railcar from Guadalajara. Almost all of the industrial cities in China are on the coast, or on major rivers. Mexico, not so much.


That is why investment in Mexico would make sense.......
Link Posted: 6/18/2007 3:16:24 PM EDT
[#10]

Quoted:
Because as cheap as it is to produce in Mexico, its still cheaper to have it done in China.  The Mexicans take the jobs that the Americans don't want, and the Chinese take the jobs the Mexicans don't want.


+1
Link Posted: 6/18/2007 3:19:30 PM EDT
[#11]
Damn, I thought this was about setting up a picket along the Rio Grande with M82A1s.
Link Posted: 6/18/2007 3:25:13 PM EDT
[#12]

Quoted:
Damn, I thought this was about setting up a picket along the Rio Grande with M82A1s.


If it was it would be 10 pages long by now.

Real solutions that don't have some kind of commando fantasy don't have much support unfortunately.
Link Posted: 6/18/2007 3:30:42 PM EDT
[#13]

Quoted:


Real solutions that don't have some kind of commando fantasy don't have much support unfortunately.



Now if this was about Isreal(sic) being threatened................





T
Link Posted: 6/18/2007 3:34:28 PM EDT
[#14]
IIRC we buy 80% of mexico's imports

to increase that number you need more

investment there, IIRC American's can't

do that without having a mexican "partner"
Link Posted: 6/18/2007 3:38:05 PM EDT
[#15]

Quoted:

Quoted:

Canada is our largest trading partner, not China. China is number two, Mexico is number three. Considering Mexico has one tenth the population of China, they don't do too badly.


So do you think we buy most of our "cheap" goods from Canada or China? Go to WalMart and see what you think.

Where would that money be better spent?

In China or Mexico?

Couldn't we raise the population of Mexico quite a bit if a lot of the illegals went home and got  jobs?

The great thing about the plan is it doesn't even cost anything...... We get results for spending money we are already spending.


If the illegals went home and got jobs, it would go from 120 million to 130-150 million...

Still small compared to the Chinese...

Also, the Chinese produce more for less - the whole point of outsourcing is to spend as little on production as possible...

The end result: China gets about 5 cents on the dollar to make shit for us, and the majority of the profit stays here in the USA....
Link Posted: 6/18/2007 3:57:04 PM EDT
[#16]

Quoted:

The end result: China gets about 5 cents on the dollar to make shit for us, and the majority of the profit stays here in the USA....


Really so China has one of the fastest if not the fastest growing economies because they don't make any money on the goods they sell us?

I hate to tell you but in the manufactor/ distributor supply model, the profits are always heavily favored to the distributor side. Just because 10% of $2 is more money than 10% of a $1

If it costs 50 cents to make a widget and the Chinese company sells it for $1 they did pretty good.

Add 10 cents for freight and you got a cost of $1.10 each. Retail at $2.20 and you see how that happens.

All it takes is a small amount of our buying capacity to hire most of the workers that come here. Keep them in Mexico and part of the problem is solved.
Link Posted: 6/18/2007 4:05:58 PM EDT
[#17]

Quoted:

If the illegals went home and got jobs, it would go from 120 million to 130-150 million...

Still small compared to the Chinese...



Wouldn't that solve the problem?


That part escaped me at first......
Link Posted: 6/18/2007 4:42:30 PM EDT
[#18]
As an interesting side note I read that the IT tech support jobs are starting to go to Mexico instead of India because of the increasingly strong Rupee vs. the $US.
Link Posted: 6/18/2007 5:01:53 PM EDT
[#19]
Minimum wage in Mexico is 20 times what it is in China.. and it is .20cents an hour in China..
Link Posted: 6/18/2007 5:18:37 PM EDT
[#20]

Quoted:
Minimum wage in Mexico is 20 times what it is in China.. and it is .20cents an hour in China..


So minimum wage in Mexico is $4/hr.

I doubt it is $4/day....if there even is a minimum
Link Posted: 6/18/2007 5:22:05 PM EDT
[#21]
The Chinese only do the jobs lazy Mexicans won't do.  You see, Mexico has no intent on growing economically.  Those that are rich want to stay rich.  Wealth is relative.
Link Posted: 6/18/2007 5:23:23 PM EDT
[#22]
They want more $ so they can raise there 8-10 kids that they have.
Link Posted: 6/18/2007 5:23:45 PM EDT
[#23]

Quoted:

Quoted:
Minimum wage in Mexico is 20 times what it is in China.. and it is .20cents an hour in China..


So minimum wage in Mexico is $4/hr.

I doubt it is $4/day....if there even is a minimum
my bad 4 dollars a day and 24 dollars a month in china
Link Posted: 6/18/2007 5:27:37 PM EDT
[#24]
I'd say one of the reasons is the utter corruption and lawlessness in Mexico.  Wealthy businessmen and their families are routinely kidnapped for ransom.  A good amount of any investment there will simply be stolen, expropriated, or seized when it suites the governments needs.

Semper Fi
Link Posted: 6/18/2007 5:32:11 PM EDT
[#25]
i dont need that many tacos.
Link Posted: 6/18/2007 7:09:39 PM EDT
[#26]
Factories are being closed in Mexico and moved to China.  Mexican labor is expensive and their infrastructure is worse than China's.
Link Posted: 6/18/2007 7:14:13 PM EDT
[#27]

Quoted:
SOME Factories are being closed in Mexico and moved to China.  Mexican labor is expensive and their infrastructure is worse than China's.


I corrected your first sentence.

The company I work for opened a very large new operation in Juarez last fall, and we are already doubling it. We are about to open another new one in Monterrey. These go with the huge operation in Guadalajara that is being almost doubled in size and a recent expansion of the one in Aguascalientes.

Manufacturing in Mexico is still viable, as is manufacturing in the US. It just depends on what you are making.
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