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People say that the Carbon Tax will have little impact on Australian Jobs, Castalloy are moving their business to China where the Labor costs AND now Environmental costs are significantly lower.

So not only can a firm save labour costs by manufacturing in China they can also skip the Carbon Tax as well. Clearly the result is better profits for the owners, not such a good result those for the 212 familes whose employment was based there, nor the other knock on job holders in the community.

Thanks for that Gillard...

Keep spinning, Sojo, you do it well.

Harley-Davidson will not be sourcing from Chinese factories, but have decided to focus on their American and Japanese manufacturing operations (which they have also cut back on) in an attempt to, as they have stated, cope with the global financial crisis.

They are not moving jobs offshore, to counter the Carbon Tax, as you have stated.

Environmental costs were a big factor in this decision Q ....

No spin on that !!



Great timing for the decision too !!!

Quichey wrote:cope with the global financial crisis.

That is the biggest cop out line ever used....

Always easy to blame something instead of yourself.....

Quichey wrote:Keep spinning, Sojo, you do it well.
Harley-Davidson will not be sourcing from Chinese factories, but have decided to focus on their American and Japanese manufacturing operations (which they have also cut back on) in an attempt to, as they have stated, cope with the global financial crisis.
They are not moving jobs offshore, to counter the Carbon Tax, as you have stated.

Then again, Harley-Davidsons have never worked - even the Angels who frequently ride them admit that.
(And admit in private that the "Jap shit" they despise publicly is often better.)

There are specialists you take your new Harley to if you can't rebuild it yourself..
So you have to wonder about HD's decision making...

southee wrote:Environmental costs were a big factor in this decision Q ....

No spin on that !!



Great timing for the decision too !!!

They won't even be paying the Carbon Tax. And nowhere have they stated anything about 'Environmental Costs', those are Sojo's words.

SJABC wrote:

Quichey wrote:cope with the global financial crisis.

That is the biggest cop out line ever used....

Always easy to blame something instead of yourself.....

It is and has been a very convenient cop-out for many companies in recent times.

This is really starting to hurt, Mitsubishi, Cast Alloy, Bianco Structural Steel to name but a few.

1.Australian Dollar.
2.Price of living in Australia
3.Carbon Tax
4.Economic strife in US and Europe.

All are factors that our maunfacturers have to deal with.

Worried that if we become what the US have, which relies so heavily on an internal services economy we too will become just one big Ponzi Economy.

Need to weigh up net benefit to manufacturing businesses vs Government revenue, big time.

I think items 1 and 4 are the bis issues at the moment.

Aussie dollar back to 72 cents would make an enormous difference.

once_were_warriors wrote:This is really starting to hurt, Mitsubishi, Cast Alloy, Bianco Structural Steel to name but a few.
1.Australian Dollar.
2.Price of living in Australia
3.Carbon Tax
4.Economic strife in US and Europe.

All are factors that our maunfacturers have to deal with.
Worried that if we become what the US have, which relies so heavily on an internal services economy we too will become just one big Ponzi Economy.
Need to weigh up net benefit to manufacturing businesses vs Government revenue, big time.
I think items 1 and 4 are the bis issues at the moment.
Aussie dollar back to 72 cents would make an enormous difference.

I agree, and the US style Ponzi effect is a reason to not start building up our debt now.
I'm keen for us to stay in surplus because our capacity to pay debt off may suffer in future.
Then it may then just keep growing until it reaches the state in the US and EU!

Quichey wrote:

southee wrote:Environmental costs were a big factor in this decision Q ....

No spin on that !!



Great timing for the decision too !!!

They won't even be paying the Carbon Tax. And nowhere have they stated anything about 'Environmental Costs', those are Sojo's words.

They may not paid it directly but surely the cost of manufacturing will go up as a result of the carbon tax?

All this negativity about the Australian economy is hard to understand.

Here are some facts. It's a long article, totally factual, with lots of graphs and things, but it puts everything into perspective.

If you don't read it, that's fine, but you won't be informed.

If you do read it, you won't talk about the Australia doing it tough.

http://blogs.crikey.com.au/pollytics/

Just about the best explanation of where we are that I've seen.

Oh, sincere good wishes to all on the Politics Forum.

redandblack wrote:All this negativity about the Australian economy is hard to understand.

Here are some facts. It's a long article, totally factual, with lots of graphs and things, but it puts everything into perspective.

If you don't read it, that's fine, but you won't be informed.

If you do read it, you won't talk about the Australia doing it tough.

http://blogs.crikey.com.au/pollytics/

Just about the best explanation of where we are that I've seen.

Oh, sincere good wishes to all on the Politics Forum.

A crikey article .... Must be factual !!!

Any journalist with the name possum does not really scream credibility .... Does it ?

R&B keep living in the bubble and ask those cast alloy workers why are they so negative ?

Castalloy most certainley would have had to pay the Carbon tax, albeit through their electricity bill as it increases their costs of manufacture significantly.

The remark re Chinese Factories was taken from 5AA news this morning!

To keep Castalloy going they have to face these higher costs, like it or lump it environmental costs are now a looming issue for the remaining Australian manufacturing plants.

Southee,

Wasn't it you that criticised me for commenting on an article I hadn't read

Someone also stated that I have a go at the journalist rather than the argument.

Apart from that, yes, it's totally factual and 'Possum' is a well-known political analyst.

I'm interested in your comments about what he proves.

Sojourner wrote:Castalloy most certainley would have had to pay the Carbon tax, albeit through their electricity bill as it increases their costs of manufacture significantly.

The remark re Chinese Factories was taken from 5AA news this morning!

To keep Castalloy going they have to face these higher costs, like it or lump it environmental costs are now a looming issue for the remaining Australian manufacturing plants.

To be fair, it really is all about the value of the aussie dollar at the moment for manufacturers coupled with the economic downturn in Europe and US.

Carbon tax, depending on the industry will have an impact on direct costs but as a factor on what your product costs in US dollars it will be quite small in comparison.

Same with cost of living , for those punters with a mortgage , the cost of utilities going up by 20% is hard to budget, but compared to the impact of interest rates on the budget, again it is small in comparison.

What did that article have to do with anything in this thread?

OWW's point 2 earlier about the price of living in Australia.

We're also talking about competitiveness.

Besides, it's a top article.

Any comments about it, BP?

redandblack wrote:OWW's point 2 earlier about the price of living in Australia.

We're also talking about competitiveness.

Besides, it's a top article.

Any comments about it, BP?

That article is based over the last 20 odd years

This thread was started, rightly or wrongly, regarding the effect of legislation that has only been announced within the last year.

Only comment I have on the article is "You don't have to tell me that, I've been to Canada and Europe".

Precisely.

As for its relevance, I look forward to you being as zealous on other posters' offerings, BP. Definite Mod potential

Who is possum then ? You say he or she or it is a creditable journalist ... Is that their real name ?

Graphs , articles etc... Is the usual spin people in management usually do to use their smoke and mirrors method of everything is fine in the world !!!

I shall say again .. Go speak to the workers at castalloy R&B and tell them to cheer up as everything is fine according to your graphs !!

I speak to the people on the street and there is not much positive energy out there mate !!!