rickair7777

Yes, probably cheaper for Japanese to build aircraft in the deep South.

For anybody who didn't know, cost of living is insane in Japan, so salaries for good workers are correspondingly high. Our southern boys can live comfortably on $35K and still do a good job...that could mighty enticing to a Japanese company (philosophically and culturally they would hate the idea, but there's a lot of money on the table).

It's not really a union thing down there...it's more about an underutilized and eager pool of potential workers (just like any other offshoring destination). The local governments just sweetened the pot with right-to-work to make it more palatable for large companies to invest in large capital-intensive facilities without having to worry about their business plans being upset by union demands in the near-term.

xjtguy

As mentioned, Toyota has been building trucks in the U.S.A. for years. Other Japanese makes have as well. Honda, Nissan, etc.

When is the last time you heard of Toyota/Nissan turning out inferior/unreliable products? Especially those made in the U.S.

bozobigtop

I don't care where you build it as long as you don't have to explain to people why your finish product is poor.

JustAMushroom

Try to think for a second before you speak (or type). Don't just regurgitate crap you've heard others say. Germany is way more expensive and by some measurements less productive than the US. France and England too. Yet German most products and companies are successful. The airbus too.

Many factors go into this decision, including the legal environment, and skilled work force supply. And for now the US is competitive in those arenas.

And unions built this country and its middle class. Why you paint them all with a broad brush is beyond me. I'm no Kool Aid drinker but in the in 1970 CEO to average employee pay was 40:1. Today is 200:1. Isn't that more of an issue? Crappy run companies?

Bozo

I'm sorry but isn't Airbus building in MOB?

jbt1407

The fact is that the assembly of an automobile is 15% or less of the jobs required to put that car in the showroom. The domestics employ more of us even when they assemble the car in Mexico or Canada. Why? The real question is where are all these functions performed? Engineering, styling, product planning, powertrain validation, testing, accounting, marketing, support, legal, purchasing, etc... We loose out when ever someone decides to buy an automobile assembled by the visitors. It amuses me that you think that this minor assembly somehow benefits the local population when compared to American companies such as Ford or GMC. Keep in mind those profits from import cars go overseas where they are taxed to benifit a foreign population. Cessna and Boing are all outsourcing products because it is cheaper. However, I hope my original statement is incorrect. I would love to see Americans job creation, but I just don't think it will happen with the MRJ.

JustaMushroom, insult me all you want but I would like to keep this conversation civil. I agree with you to an extent; Labor unions did help build America. On the other hand, American labor is not what it used to be, especially when the majority of the American public feel entitled to everything. This has and will lead to outsourcing in an attempt to find cheaper and more efficient labor.

xjtguy

So along those lines, would you prefer that those jobs, as small as they may be, aren't EVEN in the U.S.?

By losing out, again, should ALL those vehicle be produced overseas and imported? As well as all the people that work in the production plants laid off and looking for different jobs?

Not really a valid argument. Sure, those manufactures employ people for all the reasons you listed above. Yet STILL produce vehicles in Mexico and import them to the U.S.

True, and I can understand that. As opposed to the money going to the corrupt CEO's and wasted/squandered? Forcing the U.S. car makers into BK in the process. And in turn, screwing over the American worker while the CEO's, VP's, CFO's get their bonuses and stock options for doing "such a good job of navigating the company back to profitability".

Paid2fly

I believe I read somewhere, that in the U.S. it's closer to 400:1 these days...

The Dominican

The US is one of the most business friendly places in the world right now (it was before but more so now) another huge advantage is many skilled technical workers on the job market right now. If a company is considering a factory to produce plastic goods, sure, then China or any of the countries in SE Asia will be the logical choice, but for a highly technical production line the US has the skilled labor, and very business friendly environment (a lot of it by policies implemented in the current administration) non withstanding that Mitsubishi has a long history of production in the US.

trip

I wouldn't as far to give this admin credit, if anything they will stand in the way in support of their unions leaders if the MRJ goes to a non-union shop.(it's where their money comes from, see the latest in Michigan) just like they did when Boeing brought some work to S.C.
Certain areas in the U.S. are business friendly, Mitsubishi is bogged down with work for many manufactures, they need to start another line and will do it where it makes the most sense.