Formerly About Applied Materials Message Board

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Politics : Formerly About Applied Materials

AMAT 223.95

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Nov 21 9:30 AM EST

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To: roly who wrote (9489)	10/24/1997 4:23:00 PM
From: Big Bucks	Read Replies (1) of 70976

Roly, I think that if cheap foreign chips do start to underprice the American manufacturing costs that the government will slap on additional tariffs to maintain relatively equal value. The American chip manufacturing market is so huge that it couldn't survive in the face of chips that cost 1/2 as much to produce that would flood the market. My analysis is that lower foreign chip costs will take over the Asian marketplace,which is potentially the biggest in the world, whereas the Europeans and Americans will place tariffs against the unfair competition. The life blood of the American chip market will be new, innovative, specialty chips that won't be produced overseas. My opinion only, Regards, BB

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