Re: Chinese rail car production effects on US jobs
Author: Ernest H. Robl
Date: 05-17-2017 - 11:45

Sometimes it isn't just foreign suppliers underbidding U.S. manufacturers.

I once had an off-the-record discussion with a fairly high official of a class I railroad, in which the official related the following story:

The railroad wanted to buy rail made in the U.S., but for some applications, the railroad had very specific high-tolerance requirements. The railroad approached several U.S. manufacturers of rail and basically got this response: You buy the rail that we make. We don't do custom work.

Of course, this order would have been worth many millions of dollars, as this railroad is a major consumer of rail. But, the order went to a manufacturer outside the U.S. who was willing to work with the exact metallurgical specifications of the railroad.

This official said it was not a matter of pricing. The railroad would have been willing to pay more for domestic rail made to its specifications, as this would have meant a simpler supply line.

Just one example of how some global trade issues are not always as simple as they look.

-- Ernest



Subject Written By Date/Time (PST)
  Chinese rail car production effects on US jobs Ben Dover 05-16-2017 - 22:55
  Re: Chinese rail car production effects on US jobs Max Wyss 05-17-2017 - 07:44
  Re: Chinese rail car production could cost 65,000 US jobs Ben Dover 05-17-2017 - 08:09
  Re: Chinese rail car production effects on US jobs V.V.P. 05-17-2017 - 08:16
  Re: Chinese rail car production effects on US jobs Kuragin 05-17-2017 - 08:37
  Re: Chinese rail car production effects on US jobs BOB2 05-17-2017 - 09:29
  Re: Chinese rail car production effects on US jobs Ernest H. Robl 05-17-2017 - 11:45
  Re: Chinese rail car production effects on US jobs Max Wyss 05-18-2017 - 00:15
  Re: Standard Light Railway Vehicles Al Stangenberger 05-18-2017 - 11:58
  Re: Chinese rail car production effects on US jobs mook 05-18-2017 - 08:08
  Re: Chinese rail car production effects on US jobs Ernest H. Robl 05-18-2017 - 10:29
  Re: Chinese rail car production effects on US jobs mook 05-18-2017 - 14:52


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