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108
China’s rising industrial strength leaves EU fretting about its manufacturing future (www.irishtimes.com)
submitted 1 day ago by schizoidman@lemmy.zip to c/europe@feddit.org
38 comments fedilink hide all child comments
 

https://archive.is/c5tDr

“We’re talking about losing significant parts of the automotive sector and its supply chains, pressure on machine tools, chemicals, the wind industry in Europe that could be wiped out in the next couple of years. I think there’s just more and more concern about the fact that in all of these sectors, China is moving into a dominant or even monopolistic position,” says Andrew Small, director of the Asia programme at the European Council of Foreign Relations (ECFR) in Berlin.

Some in Brussels thought Trump’s return to the White House could help to facilitate a reset in the EU-China relationship. But while Europe’s reliance on the US for security meant that the EU had to roll over when Trump threatened tariffs, China refused to bend, and its tough strategy has so far been successful.

“I think what became clear from the Chinese end was that the view would rather be that Europe is in a weaker position as a result of the situation in the transatlantic ties, and Europe needs to be the one to give things up. That’s what we’ve seen pretty much since then,” says Small.

China’s dominant position in some manufacturing sectors offers leverage of its own, as the Dutch government discovered last September when it seized control of Nexperia, a Chinese-owned chip manufacturer. Beijing retaliated by blocking exports of Nexperia chips

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[–] plyth@feddit.org 2 points 20 hours ago (1 children)

Or high wages unfairly shifted jobs away from Germany previously.

And Denmark is shifting jobs away from Denmark by having some of the highest wages in EU.

That's how it should be. Innovate and create new jobs so that weaker economies can catch up by doing the old jobs. Otherwise the EU becomes a tool to exploit the weak countries.

There was less pressure to innovate which is becoming a problem now.

All countries can pay the same percentage on next years budget if that is what is decided.

Technically correct but I didn't specify next year's budget. The EU will decide differently when the income declines.

[–] Buffalox@lemmy.world 2 points 20 hours ago (1 children)

That’s how it should be. Innovate and create new jobs

Nonono you can't just explain it away with more platitudes. How do you define that the wages were to low after the job reform?
If they are to ow, why don't the unions fight to make them higher?

Technically correct but I didn’t specify next year’s budget. The EU will decide differently when the income declines.

That simply doesn't make any sense, are you saying other countries pay more on a budget already decided? Because what you wrote before was wrong, but this is crazy!

[–] plyth@feddit.org 0 points 20 hours ago (1 children)

How do you define that the wages were to low after the job reform?

For starters:

Some scientists see the wage depression in Germany fostered by the Agenda 2010 as one of the causes of the European debt crisis.

https://en.wikipedia.org/wiki/Agenda_2010 https://en.wikipedia.org/wiki/Causes_of_the_euro_area_crisis

The problem is that resource allocation became wrong. The German workers lost income while money had to be payed for unemployed people in other countries. Overall the EU lost.

It was only good for German company owners. Funny enough, most shareholders are not German.

why don’t the unions fight to make them higher?

https://de.wikipedia.org/wiki/VW-Korruptionsaff%C3%A4re (only German)

https://en.wikipedia.org/wiki/Peter_Hartz was a key figure in the reform and the skandal.

are you saying other countries pay more on a budget already decided?

No. The EU would simply take a credit or cut the budget.

But a new budget has to be decided the next year and the military budget cannot be cut.

[–] Buffalox@lemmy.world 3 points 17 hours ago* (last edited 17 hours ago) (1 children)

Link #1 doesn't support your claim:

However, most EU nations had increases in labour costs greater than Germany's.[33] Those nations that allowed "wages to grow faster than productivity" lost competitiveness.

So the problem was not Germany, but that other countries INCREASED their wages above what was sustainable, Germany is in no way to blame for that.

In Your german link the only appearance of wage when translated to english is VolksWagen. I also checked salary, and that only appears as part of how a fine was calculated.
I see nothing at all relating to your claim. Also I read German fine, but I read English faster, but feel free to post German sources.

Regarding the Harz guy, I have no idea why you find him relevant, apart from being part of the corruption at VW so what?

No. The EU would simply take a credit or cut the budget.

Now you are contradicting yourself from your previous comments.

Are you an AI in beta? Or what the fuck is your argument? So far you have shown NOTHING!
I'm considering simply blocking you, because you make absolutely no sense?!?!

I can throw you links too without explanation:
Here:
https://en.wikipedia.org/wiki/The_Little_Mermaid

https://www.andersenstories.com/language.php?andersen=037&l=en&r=da (includes original text in Danish)

https://en.wikipedia.org/wiki/Thorvald_Stauning

The last link in particular is very informative.

[–] plyth@feddit.org 1 points 17 hours ago

So the problem was not Germany, but that other countries INCREASED their wages

You are technically correct but another part of the article shows that the share of wages declined in Germany.

Regarding the Harz guy, I have no idea why you find him relevant

The unions are heavily influenced and don't necessarily do what is best for the workers. Thus no strikes.

Now you are contradicting yourself from your previous comments.

There is no contradiction. I am talking about different years.