Making America Great Again (Really)

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How The US Plans To Replace China As The World's Largest Manufacturer

The United States, the world's second largest manufacturer with a 2017 industrial output reaching a record of approximately $2.2 trillion, will reportedly apply Industry 4.0 technologies to replace China as the world's largest manufacturer. This is what leading research firm Industry 4.0 Market Research reveals in its new report.

The report forecasts that the US Industry 4.0 market will grow at a CAGR of 12.9% during 2016-2023, in hopes of dominating the manufacturing race against China once again. China displaced the United States as the largest manufacturing country in 2010.

In the US, every dollar earned in manufacturing reportedly contributes $1.4 to the economy and for every manufacturing job created, approximately 2 jobs are created in other fields. Therefore, the US considers growth of the manufacturing sector a major success for the economy and is ready to invest considerable budgets to achieve it. It is understood that any efforts to reinvent US manufacturing by leveraging Industry 4.0 technologies to create smart factories will have a substantial impact on US economic growth.

Restoring manufacturing jobs to the United States struggling Rust Belt communities and corporate tax cuts were two of President Donald Trump's biggest campaign promises. It is expected that Trump's administration will follow Obama's Industry 4.0 policy (2011): the formation of the Advanced Manufacturing Partnership (AMP), a national effort bringing together industry and the federal government to invest in Industry 4.0 technologies.

The Industry 4.0 transformation holds immense potential. Smart factories allow individual customer requirements to be met, so that even one-off items can be manufactured profitably. In Industry 4.0, dynamic business and engineering processes enable last-minute changes to production and deliver the ability to respond flexibly to disruptions and failures on behalf of suppliers. With more efficient and optimized production in manufacturing, the entire sector is likely to thrive and rise again as a frontrunner of the US economy.

NOTE: The US 'Industrial Output' mentioned in the article doesn't take into account mining (oil and gas extraction) nor construction from what I can tell, which would actually bring the 2017 GDP output figure to around $3.65 trillion which is consistent with the CIA World Factbook.

 

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Bloomberg: Why China Can't Make Semiconductors

^^ It doesn't hurt that virtually all of R&D and sizeable majority of the front-end fabrication is and has always been done in the United States, or that semiconductors are among the most complex technological devices that have ever been produced. It's difficult enough to mirror the manufacturing techniques, nevermind the actual products. They're having a hell of a time attempting to steal trade secrets and reverse engineer. The US holds 51% market share followed by South Korea (17%), Japan (12%), European Union (8%) and Taiwan (7%). The United States intends to keep it that way.

https://www.bloomberg.com/amp/news/...a-backed-bid-for-chipmaker-over-security-risk

President Donald Trump blocked a Chinese-backed investor from buying Lattice Semiconductor Corp., casting a cloud over Chinese deals seeking U.S. security clearance and spurring a call for fairness from Beijing.

It was just the fourth time in a quarter century that a U.S. president has ordered a foreign takeover of an American firm stopped on national-security concerns. Trump acted on the recommendation of a multi-agency panel, the White House and the Treasury Department said Wednesday. The spurned buyer, Canyon Bridge Capital Partners LLC, is a private-equity firm backed by a Chinese state-owned asset manager.

The Trump administration has maintained a tough stance against Chinese takeovers of American businesses even as it seeks China’s help to resolve the North Korean nuclear crisis. Other deals under review include MoneyGram International Inc.’s proposed sale to Ant Financial, the financial-services company controlled by Chinese billionaire Jack Ma. The government is also examining an agreement by Chinese conglomerate HNA Group Co. to buy a stake in SkyBridge Capital LLC.

https://www.reuters.com/article/us-...rras-sale-to-chinese-state-fund-idUSKCN1G703H

U.S. semiconductor testing company Xcerra Corp (XCRA.O) said on Thursday a U.S. national security panel had blocked its $580-million sale to a Chinese state-backed semiconductor investment fund, the latest such deal to be thwarted.

The acquisition of Xcerra by Hubei Xinyan was seen as a key test of the ability of Chinese firms to acquire U.S. technology assets, because the company does not make chips itself, but provides testing equipment used in making semiconductors.

The deal’s demise comes as the Committee on Foreign Investment in the United States (CFIUS) has become increasingly skeptical of Chinese acquisitions of U.S. companies following the inauguration of U.S. President Donald Trump a year ago.

https://www.bloomberg.com/amp/news/...age-with-broadcom-block-u-s-tech-not-for-sale

With his swift rejection of Broadcom Ltd.’s hostile takeover of Qualcomm Inc., President Donald Trump sent a clear signal to overseas investors: Any deal that could give China an edge in critical technology will be swatted down in the name of national security.

Although Broadcom is based in Singapore, China loomed large over the U.S. government’s fears about a foreign takeover of chipmaker Qualcomm. That’s because Qualcomm is locked in a head-to-head race with China’s Huawei Technologies Co. over which company will dominate the development of next-generation wireless technology.

"This decision hangs a huge ‘not-for-sale’ sign on just about every American semiconductor firm," said Scott Kennedy, who studies China’s economic policy at the Center for Strategic & International Studies in Washington. "A Chinese entity doesn’t need to be anywhere near a transaction now in semiconductors for the deal to be nixed."

 

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About as quickly as can be explained in a mere 7 1/2 minutes, at least foundationally.