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To: SeaViewer who wrote (22076)	11/19/2004 8:11:17 PM
From: mishedlo	Read Replies (1) \| Respond to of 110194

Actually a lot of Japanese manufactures have moved to China in the last few years. A lot of Japanese are now working in China. The problem for China is the rising price in raw material and oil. Most manufactures in China have very low margin, around 4% net. The rising price in raw material and oil has been eating into their profits. OK - I can accept that Tell me this with jobs FLOODING to China, who can afford to buy the products they produce? I repeat my claim that a US consumer led recession is the only way out. The longer it is fought, the deeper it will go. Mish

To: SeaViewer who wrote (22076)	11/19/2004 10:38:42 PM
From: RealMuLan	Respond to of 110194

>>Most manufactures in China have very low margin, around 4% net. The rising price in raw material and oil has been eating into their profits.<< Some does not even make 4% profit. Plenty of Chinese manufacturers in the latest Guangzhou Export Commodity Fair have indicated that they already cut to the bone and have to increase the price somewhat. Some of them, in order not to scare away the buyer, add some new but cheaper features on the product like toys to justify the price increase.