Chinese to buy Travel Trailer company

I actually prefer the Chinese spend their money buying stuff rather than buying government paper.

Investing in the TT manufacturer means money inflow. If the manufacturer is successful, then the Chinese will take some profits home. If it is not successful, then the invested money is gone, over here, I might add.

We have to redeem government paper.

Way back during the time the Japanese were buying up major American real estate icons, I didn't care. While a lot of people did, I figured 1) some Americans would be making a boat load of money, 2) the Japanese couldn't take the RE home with them.

If they wanted to cash out, they'd have to sell the asset. If the asset had appreciated then the country was doing good. If the price were deflated, the the new buyers (maybe Americans) would be getting a great deal.

As we all have opinions about China and jobs and the economy we should take a minute and try to understand the cycle we are tied to in this "global economy".

Right now the average wage in China is very very low....but it is on the rise. Meanwhile in the US pay scales are in fact falling. When the US pay scale falls and meets the rising China pay scales at a point that is equal...(China-US approximately equal pay) then the Chinese goods will begin to rise in price with rising pay in China. At that point China will look to the U.S. to build factories.
This cycle has already happened in Japan. Remember when it seemed everything was made in Japan? Then as the Japanese pay scales rose to levels higher that the U.S. pay scales, companies like Toyota and Honda began building factories in the USA. Why?? Not because the loved America but because it was cheaper in the US and the finished goods did not have to be sent over here on boats!....It is all simple basic economics....this should be taught in grade schools....wake up America and smell the money....in the end it is all about money....national pride has nothing to do with it!

The only thing that delayed Japan's establishment of factories in the USA was the "union-problem" here in America. The Japanese knew that they would fail if the UAW got its hooks into their labor force. History showed the folks at Toyota and Honda that they too would go bankrupt just like General Motors if the unions corrupted their work force. Once they were sure that they could stop the UAW from tampering with their labor force it was full speed ahead.
The Honda/Toyota experiment proved that labor and management could work together to make quality motor vehicles. The work force at Toyota USA and Honda USA do not want or need a union!

By buying one company, I don't care who, they have a foot in the door as seen in the past has been mentioned. And we support them when we by there China made products. Its a shame on us, and its to bad.

newman fulltimer wrote:
now lets hear all the comments on how much of any trailer is chinnese product

"chinnese" ??

~

The rising oil and fuel prices were kicking in as the great equalizer as the cost of shipping was forcing more than a few manufacturers to rethink and start to build factories in North America. At 132 dollars a barrel china new it was in trouble and convened meetings on how to deal with it as predictions for export were very sobering for them. At 160 dollars it would have been catastrophic for their economy as well as a few others. At least for the short term that problem has gone away and of course we are all enjoying cheap fuel. I'm guessing that the majority of people would select cheap fuel over jobs in North America.

In and of itself, Chinese interests buying a small RV company are pretty insignificant and instead you need to look at the overall big picture of what China is doing.

We' been exporting jobs to China for years now. We in North America are our own worst enemies. We always gripe about the high cost of living and the cost of all sorts of goods but nobody hesitates to buy the lower cost foreign good on the store shelves, whether it's ladies clothing, household appliances, tools, and just about anything else you can think of. If you talk to an economist, they will tell you it's simply the new world economic order and that people here just don't want all those low paying, unskilled and labor intensive jobs. I'm not so sure about that. Our standard of living has gradually been eroding away right before our eyes and nobody seems to notice and the governments let it happen. To be fair though, it's not just China either, there's the rest of Asia and elsewhere around the world.

With all those jobs we've been sending away, they need raw resources to fuel their economy and we have no problem selling to them because the politicians say the income from it is good for us. Worse yet, is that they can come and buy an entire oilfield like in the Alberta Oil sands to have 100% control of it. Oil sand ownership And does anyone care what the impact of their consumption of this on the environment especially when you include extraction and consumption of coal, iron ore, lumber, etc? The overall global impact from this on the environment is staggering. Our BC provincial gov. has now given the green light for exporting LNG overseas which concerns me.

I think the US and Canadian governments need to wake up and take a stand otherwise our way of life as we know it today will continue to be eroded and the Chinese tentacles will continue to grow around the world. Personally, I don't hold much hope for future generations unless drastic changes are made to protect jobs, the economy, the environment and raw resources. This whole topic is very complex and this isn't exactly the right forum and there isn't enough space for it here. Each and every one of should be concerned.

Wonder what tires they will use...

trail-explorer wrote:

donn0128 wrote:
Who the heck is Riverside?

A company based in Peru, Indiana - apparently a small manufacturer, this according to the article in the link posted above.

I have been inside a couple of their trailers. Appears the build quality (or lack thereof) is on par with the rest on the manufacturers. They look like a FEMA trailer.

donn0128 wrote:
Who the heck is Riverside?

A company based in Peru, Indiana - apparently a small manufacturer, this according to the article in the link posted above.

China will not let foreign companies do anything on their soil unless they partner with a Chinese company, with the Chinese interest owning 51% of the venture.

However, I'm not really worried about them buying that TT company. If it were Thor, Lance, Forest River, or Winnebago, it would be different, but it will be interesting to see what becomes of this company.