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The New DU. Reply #5: Sorry But That's Not Accurate
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ProfessorGAC
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Fri Oct-03-03 11:10 AM
Response to Reply #3 |
| 5. Sorry But That's Not Accurate |
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It's NOT cheaper to make CPI products in China. The problem is with the exportation costs and shipping costs to get already low margin commodities back to the U.S.
Almost ALL (more than 95%) of the investiture by the CPI is for the burgeoning markets in east asia. The demand for modern products in China is growing exponentially, and the CPI can't afford the costs of transporting $0.12 per pound products on boats all the way to China.
My information (trade mags) is that at least 98% of all product made in China will be sold in China and Southeast Asia. You can check recent issues of Chemical Marketing Reporter for confirmation.
The Professor
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