Commentary: The Manufacturing World's China
Conflict Commentator
Barbara Hackman Franklin, former U.S. secretary
of commerce and president of Barbara Franklin Enterprises,
takes a look at a growing problem in America`s manufacturing
sector that`s not happening in America.
BARBARA HACKMAN FRANKLIN, COMMENTARY: A political issue about
China is quietly brewing on Capitol Hill. Small and medium-sized
manufacturers are sounding the alarm, they are losing business
to lower cost Chinese competitors. The rub is that some of
this competition is coming from the Chinese branches or partners
of large U.S. companies. It`s true that a number of large
American manufactures are beefing up their operations in China.
They want to build a base, and gain the advantages of lower-cost
manufacturing. Th! is shifting of production facilities to
lower-cost areas is part of the fabric of globalization. It`s
something larger companies can do with relative ease. But
small and medium-size companies simply don`t have the resources
to shift production so easily. They are feeling the pinch
and China is an easy scapegoat. These firms point to other
examples of unfair competition: the burgeoning trade deficit;
and China is dragging its feet on its WTO commitments. Politically,
it`s the small- and medium-sized players against the Goliaths:
China and the multinationals. But small companies are this
economy`s biggest job creators, and they have political clout.
My bet is they will find an attentive ear as elections approach.
Presidential candidates and Congress will have to take a fresh
look at the costs, regulation, litigation, and health care
if we want to keep more manufacturing here at home. I`m Barbara
Hackman Franklin.
Nightly Business Report transcripts are available
on-line post broadcast. The program is transcribed by FDCH.
Updates may be posted at a later date. The views of our guests
and commentators are their own and do not necessarily represent
the views of Community Television Foundation of South Florida,
Inc., Nightly Business Report, or WPBT. Information presented
on Nightly Business Report is not and should not be considered
as investment advice. © 2002 Community Television Foundation
of South Florida, Inc.
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