We are in the launch phase of global decarbonisation. Very shortly we will hear of climate change emergencies and restrictions on CO2 which will continue to limit our travel.
The pandemic caused a global shutdown and we broke the global supply chain. 18mths on I can tell you it’s still fucked for the simple reason we have no planes flying shit everywhere anymore.
Now, you can front run most of this shit like I did in 2020. Even now it’s very easy to front run but the issue is most businesses don’t/can’t/won’t because most can’t comprehend that until we get the planes back in the air we are screwed. Therefore the end result is shortages.
This brings us to the Great Reset under the program of decarbonisation.
Bringing back industry to local economies isn’t easy. They went offshore because of cheap labour. To get them back you would therefore need…….yes…..cheap labour. Forget tax cuts and other BS, nothing beats cheap labour.
Look at all the prices around you. Mofos have it all backwards though as it is your wages deflating in order to make you cheap enough to bring industry back locally to provide jobs. Productivity is being crippled to soak up inventory and drive supply lines right down and prices up!
You have money and spent 2020 and 2021 buying shit, soaking up available supply. Nearly 2yrs later and supply is still crippled and we have begun to run out of things and as a result, prices go up and our wages are under downward pressure due to productivity loss.
Notice you can buy a mobile phone, laptop, TVs etc anything high value is available but your low
Value bulky goods are out of stock. This will get considerably worse.
This isn’t tim foil hat stuff either, Ive said it for over a year that wage deflation was coming, I just didn’t know the vehicle they would use to drive it. But I do now and it’s a decarbonisation program.
Well nothing is ever easy in life, or business, or anything. But bringing things back to local economies can and will happen. The world ain't gonna end. I swear, the least amount of adversity brings out the nellies on here.
I worked in one of the first semiconductor fabs ever created in the USA. I was there as it was being phased out, but I was able to meet guys who actually created the first transistors for production. It was a marvel to behold. And it was done in a rural area of upstate NY. With local people and engineers.
Fast forward to 2019 when I was in one of Samsung's fabs outside of Seoul. More advanced, much higher technology, but same old same old. Samsung took over the market on memory chips because of low cost production. But they have begun moving all of that to Vietnam because of Korean taxes. So moving a fab to another country is no big deal.
Once the Democrats are gone from power, wafer fab production, probably the most advanced manufacturing process in the world, will come back to the USA. And cheap labor won't matter one iota. A typical 300 mm fab uses about one person per 400 square meter space. Labor means nothing.
