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How can governments ensure all companies get equal access to China?
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Simon:
basically if a country is way cheaper than you how do you discourage your citizens buying things made in the cheaper country?
coppice:

--- Quote from: SiliconWizard on April 18, 2020, 06:12:30 pm ---
--- Quote from: Simon on April 18, 2020, 05:51:40 pm ---I am no financial expert but I understand that china keep their currency intentionally devalued to favor exports. As a country that is largely self sufficient it can do that and make trade with it cheaper. How do you "fight" that?

--- End quote ---

That is right. Currencies play a big role. It's not a simple matter though, as the balance of trade influences the currencies exchange rates, and conversely.

But any country that can freely "play" with the value of its currency is advantaged as far as the BOT is concerned. Countries in the euro zone have it tougher for that reason (even though it can bring other benefits).

--- End quote ---
It should be obvious that the Euro was implemented by people who wanted to end the EU. This was obvious from the time the idea was first presented as a short term goal. Interestingly, the first phase of the EU breaking up came from one of the country sane enough to keep its own currency. Far in the future the Euro might have been a good idea. However, implementing it long before the European economies had harmonised sufficiently was clearly intended to bring about the stresses we have seen since 2008, and destabilise the EU.
coppice:

--- Quote from: Simon on April 18, 2020, 07:43:22 pm ---basically if a country is way cheaper than you how do you discourage your citizens buying things made in the cheaper country?

--- End quote ---
Do you have a clear idea why you would want to? Do you think is a short term band aid, or a proper long term fix? As countries trade more currency anomalies usually sort themselves out in one of two ways. Either rampant inflation adjusts the currency, or more formal processes do. China has seen years of steady inflation gradually bringing local conditions more in line with western ones, as the wealth of its middle class has grown. You have to be something like the US, and hold the reserve currency, to maintain long term manipulation.
floobydust:

--- Quote from: Simon on April 18, 2020, 07:43:22 pm ---basically if a country is way cheaper than you how do you discourage your citizens buying things made in the cheaper country?

--- End quote ---

The "race to the bottom" for product price and the "race to the top" for maximum profit is not working.
Intangible costs are not factored into products and manufacturing. This is the huge problem the world faces.

Devaluing your currency, providing subsidies, sacrificing the environment, worker's health and pension benefits, safety etc. - having a lower standard of living keeps labour costs lower.
Dumping products to kill off competition, espionage to kill off entire industries, theft of IP - it's business, it's war.

People will buy the lowest price, and the feedback loop whereby local businesses and industry and jobs die off as a consequence, is too long for governments to realize they should have acted.
MK14:

--- Quote from: treez on April 18, 2020, 03:31:14 pm ---In Germany, I don’t mind betting that  the German government intervenes to ensure fairness , and ensures that all German companies share their Chinese  “wonder” contacts….equally, the German government probably also has a dept set up to ensure  any  “bad” Chinese companies get highlighted to all German companies (if there is such thing as a bad Chinese supplier)

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Do you have any actual evidence/links to back this "theory" up ?

My understanding is, that Germans tend to be well educated, very hard working, well organised and as a result, tend to be more successful at things (such as engineering), than some other countries.

If you feel so bad about things, why don't you move to Germany or China ?
Then work in (or start up a business that does) SMPS, and LEDS/Street-lights. Your "friend" might join you as well.

Or in the possible business vacuum, that the virus may be (sadly) creating for you. Start up a nice business in the UK. From your previous threads (and this one), I'm sure true justice will occur.
I.e. If you are as business savvy as you think, you will succeed, but if not, you may fail.
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