US-China Manufacturing War: Unintended Consequences

It is war. Reshoring of jobs out of China back to the US hit a record high in 2022. The trend is expected to continue in 2023. Reshoring has delayed the coming US recession but it is keeping the Federal Reserve on a tightening path. The reconfiguration of the global supply chain may be good news for American manufacturing workers but it is bad news for stock and home prices. What are the unintended consequences of the US-China manufacturing war? A former top-ranked Wall Street global macro strategist tells it as it is. You may not agree with everything he says but he will make you reassess everything you thought you knew.

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[judithcabebe]

They can wage war with each other anytime, but do not include the countries who live peacefully. That's absurd!

[JonathanNelson]

Thank you, David and Merry Christmas!

[Ekwensuocha]

Like you said Dave, it was to good for a long time. America forgot how to work hard to be number one, that's how it almost became number two.

[jimw]

Always look forward to your weekly post...thanks

[normannabatar]

America should learn to be frugal and stop wasting valuable resource.

[christophertadeo]

It will be total chaos, I'm telling u... And it's just beginning... 😳

[russianprincess]

The division in the USA is becoming critical. Much Blessings Yuliya 💋💋💋💋

[PhilospherKing]

Thanks Mr. Woo. U confirmed lots of what I have been thinking.

[detectiveofmoneypolitics]

Economic investigator Frank G Melbourne Australia 🇦🇺 still watching this informative content cheers Frank 👌

[freedumb_.]

Made in America is known for expensive garbage that lasts until one day after warranty.

[daniellee]

Excellent analysis David. I believe that there are way too many hurdles for America to even catch up. Doesn't help with its capitalistic nature, so extreme that it will eat its young.

[kelcayetano]

A good foresight of economic situation in the economic situation in the U.S., & to other countries as well., U.S.A. now is likely in a recession, but the oil supply makes the difference, but the advancement of technology to counter recession is always in the U.S. side, hope it will not happen in a longer period of time.

[sentotalkacili]

The reshoring and re-industrialization of the USA is also supported by geo-economic action which is starting to throw off the dollar. for example, with the existence of BRICS and CBDC (Cross Border and also Central Bank) when the Dollar is weak someday, it will further catalyze domestic industrialization.

[lloydguenther]

Dedollarization, debt will impact inflation more than any other factors

[sudo]

Given that the iPhone is being sold at a 40-60% margin, Apple can easily absorb the increased cost of production of it's chips without needing to increase the price. But why would they? If we end up in a deflationary environment in the next ten years, all prices will have to re-adjust downward, and the reduced margin will show up in a more reasonable P/E on Apple stock.

[suwarto]

Ekonomi China dan Amerika memang bertolak belakang antara juara bertahan dan penantang.
Ekonomi Amerika dan China itu kan hukum ekonomi terbalik di masalah margin pondasi ekonomi, daya beli masyarakat suatu bangsa, kemampuan bayar.
Itu pertarungan idiologi antar negara

[sheralikhan]

Mr President Biden is working towards China togather China future icon and select the China as good friend China is working we given the China tears I felt from China from monk dynasty to till date China is wised and old civilisation and we can't and more emphasized I saw China is serving like servent since last in decades for the whole world ❤️❤️❤️🥰🥰💓😽.

[richardc]

Brilliant David..All I know is Huawei Xiaomi electronic goods are as good and much much cheaper than Apple which will be prohibitively expensive if Apple really reshores. Also TMSC change of heart about their US investment does not bode well for Chip Act. Even Netherlands is grumbling like crazy about not being able to sell lithographic machines as China holds some of the crucial parts in the long supply chain. As for education you touched on a raw nerve, no matter what reshoring plans US has, it's the brains that will determine success...and Chinese universities is producing more PhDs in the right future tech than any other nation....alongside India. West still prefer Woke degrees. Nice video with right balance of what's happening on the ground.

[dhyanisudharta]

Kindly remember to Prof. Dr PAULO FREIRE from Brazilia: "Education is the way to freedom ." Just make curriculum excellent .!

[garlynzafico]

Both countries will become loser at the end.