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Flexport CEO on how to fix the US supply chain crisis

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Re: Flexport CEO on how to fix the US supply chain crisis

#11
post #4

It feels like everyone is trying real hard to come up with solutions that just continue the status quo of having all of our goods produced in China. Just 20-25 years ago we were still making a lot of things in the US. But the American worker, and economy, was sold out to cheap, high-polluting, IP-stealing, yes-lets-ship-it-2000-miles-instead-of-making-it-in-the-US Chinese labor and manufacturing at the benefit of the…

>across the aisle people prefer made in the USA.

They may say this, but when push comes to shove, people simply don't buy a lot of consumer goods that are made here.

Re: Flexport CEO on how to fix the US supply chain crisis

#12

I'm not sure I agree with the conclusions in this thread. >It seems that everyone now agrees that the bottleneck is yard space at the container terminals. The terminals are simply overflowing with containers, which means they no longer have space to take in new containers either from ships or land. It’s a true traffic jam This seems like definitely not the real bottleneck. You have to ask yourself, "why is there no s…

> Why don't you have enough trucks?

This is addressed later in the thread. Normally, many trucks haul containers to their destination, unload the container, then return it empty to the port, pull it off the trailer, and haul away another loaded container. But the port is too full to accept empty containers, and zoning laws mean truck companies have already maxed out their own container holding areas. This leaves enormous numbers of truck trailers sitting idle, waiting for somewhere to put the empties they're holding before they can pick up more goods to haul.

Re: Flexport CEO on how to fix the US supply chain crisis

#13
post #11
post #4

It feels like everyone is trying real hard to come up with solutions that just continue the status quo of having all of our goods produced in China. Just 20-25 years ago we were still making a lot of things in the US. But the American worker, and economy, was sold out to cheap, high-polluting, IP-stealing, yes-lets-ship-it-2000-miles-instead-of-making-it-in-the-US Chinese labor and manufacturing at the benefit of the…

>across the aisle people prefer made in the USA. They may say this, but when push comes to shove, people simply don't buy a lot of consumer goods that are made here.

That’s because right now, it’s significantly more expensive. But given more equal pricing, most people would of course buy USA-made goods.

Right now the system is destroyed so of course made in the USA is going to be significantly more expensive until the system can be resurrected.

But I assure you a supply chain disruption will be significantly more costly to society and not just financially.

Re: Flexport CEO on how to fix the US supply chain crisis

#14
post #4

It feels like everyone is trying real hard to come up with solutions that just continue the status quo of having all of our goods produced in China. Just 20-25 years ago we were still making a lot of things in the US. But the American worker, and economy, was sold out to cheap, high-polluting, IP-stealing, yes-lets-ship-it-2000-miles-instead-of-making-it-in-the-US Chinese labor and manufacturing at the benefit of the…

> Why is this not a major talking point?

because we live in a globalised world. your phone would cost 10x what it costs now if you moved production to the US. that would mean lots of people without phones, so a much smaller economy. no one wants that.

> Americans have been polled

ah, polls :)

> across the aisle people prefer made in the USA

as a European, i have always associated American made with low quality, cheaply made, bad taste and expensive. American products are to be avoided at all times. this has been the case for decades and decades, before the move to China. at least now even American companies realised this and moved production to far superior Chinese manufacturers.

Re: Flexport CEO on how to fix the US supply chain crisis

#15

I'm not sure I agree with the conclusions in this thread. >It seems that everyone now agrees that the bottleneck is yard space at the container terminals. The terminals are simply overflowing with containers, which means they no longer have space to take in new containers either from ships or land. It’s a true traffic jam This seems like definitely not the real bottleneck. You have to ask yourself, "why is there no s…

> Why don't you have enough trucks? This is addressed later in the thread. Normally, many trucks haul containers to their destination, unload the container, then return it empty to the port, pull it off the trailer, and haul away another loaded container. But the port is too full to accept empty containers, and zoning laws mean truck companies have already maxed out their own container holding areas. This leaves enor…

I agree with you, some emergency zoning changes need to happen, but my inclination is still to think that'll end up being a short term bottleneck and it'll move further down the supply chain when/if that happens. Needs to be an all hands on deck (no pun intended) approach.

Re: Flexport CEO on how to fix the US supply chain crisis

#16
post #14
post #4

It feels like everyone is trying real hard to come up with solutions that just continue the status quo of having all of our goods produced in China. Just 20-25 years ago we were still making a lot of things in the US. But the American worker, and economy, was sold out to cheap, high-polluting, IP-stealing, yes-lets-ship-it-2000-miles-instead-of-making-it-in-the-US Chinese labor and manufacturing at the benefit of the…

> Why is this not a major talking point? because we live in a globalised world. your phone would cost 10x what it costs now if you moved production to the US. that would mean lots of people without phones, so a much smaller economy. no one wants that. > Americans have been polled ah, polls :) > across the aisle people prefer made in the USA as a European, i have always associated American made with low quality, cheap…

[deleted]

Re: Flexport CEO on how to fix the US supply chain crisis

#17

There's some good stuff in here, but also some bad ideas. The bad ones: - Bring the military and National Guard container chassis to relieve the ports. That works, unless there's a situation where the military or National Guard need them , in which case it could be catastrophic. - Force railroads to haul to this one particular new site. First, I kind of bristle at the word "force". That's not how it works in a free c…

Theres an AFB outside of LA with proper rail siding. He identified it & facilities in thread.

Railroad are a regulated monopoly. DOT/FRA can mandate service & regulate rates (either for freight or using their track) to prevent one carrier from making movement impossible. If DOT/FRA do it right they'd economically incentivise the short haul.

Re: Flexport CEO on how to fix the US supply chain crisis

#18
post #14
post #4

It feels like everyone is trying real hard to come up with solutions that just continue the status quo of having all of our goods produced in China. Just 20-25 years ago we were still making a lot of things in the US. But the American worker, and economy, was sold out to cheap, high-polluting, IP-stealing, yes-lets-ship-it-2000-miles-instead-of-making-it-in-the-US Chinese labor and manufacturing at the benefit of the…

> Why is this not a major talking point? because we live in a globalised world. your phone would cost 10x what it costs now if you moved production to the US. that would mean lots of people without phones, so a much smaller economy. no one wants that. > Americans have been polled ah, polls :) > across the aisle people prefer made in the USA as a European, i have always associated American made with low quality, cheap…

> as a European, i have always associated American made with low quality, cheaply made, bad taste and expensive. American products are to be avoided at all times.

What informs that viewpoint? It’s really foreign to any perception I’ve ever heard from anyone or experienced myself.

Re: Flexport CEO on how to fix the US supply chain crisis

#19
post #14
post #4

It feels like everyone is trying real hard to come up with solutions that just continue the status quo of having all of our goods produced in China. Just 20-25 years ago we were still making a lot of things in the US. But the American worker, and economy, was sold out to cheap, high-polluting, IP-stealing, yes-lets-ship-it-2000-miles-instead-of-making-it-in-the-US Chinese labor and manufacturing at the benefit of the…

> Why is this not a major talking point? because we live in a globalised world. your phone would cost 10x what it costs now if you moved production to the US. that would mean lots of people without phones, so a much smaller economy. no one wants that. > Americans have been polled ah, polls :) > across the aisle people prefer made in the USA as a European, i have always associated American made with low quality, cheap…

Be careful of European Exceptionalism that reverberates same uninformed thinking American Exceptionalism was known for. Usually, full of prejudice, glib pride and delirious nationalism.

Re: Flexport CEO on how to fix the US supply chain crisis

#20
post #14

Earlier quoted context omitted.

> Why is this not a major talking point? because we live in a globalised world. your phone would cost 10x what it costs now if you moved production to the US. that would mean lots of people without phones, so a much smaller economy. no one wants that. > Americans have been polled ah, polls :) > across the aisle people prefer made in the USA as a European, i have always associated American made with low quality, cheap…

Be careful of European Exceptionalism that reverberates same uninformed thinking American Exceptionalism was known for. Usually, full of prejudice, glib pride and delirious nationalism.

i am very careful. i prefer any other nations products. japan, china, almost any country in europe, lots in south america. but the US has constantly disappointed. and not only recently, but throughout the decades.
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