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Reply to "China is trolling US Capitalism on TikTok"
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[quote=Anonymous]I am living for all this drama on my FYP! It was such an entertaining weekend. I've said it over and over: no American manufacturing can compete with China. Chinese manufacturers make our products for pennies to ensure we have maximum profitability. Our intermediary works to keep costs low for us. I don't think Americans truly understand the savings of manufacturing in China or other countries. My small company has 4 products: Product A: produced by China for $0.71 ea Product B: produced by China for $0.93 ea Product C: produced by China for $1.92 ea Product D: Produced by China for $3.45 ea If we do 1000 units of each product, our costs are: A: $710 B: $930 C: $1920 D: $3450 Total: $7010 Even with paying a 104% tariff, it's still cheaper for us than when we manufactured in the US. Here are the prices we sell these products for: A: $19.95 -> $19.24 ea profit x 1000 units sold = $19,240 total profit B: $29.95 -> $29.02 ea profit x 1000 units sold = $29,020 total profit C: $39.95 -> $38.03 ea profit x 1000 units sold = $38,030 total profit D: $49.95 -> $46.50 ea profit x 1000 units sold = $46,500 total profit When we had an American manufacturer, our costs were so much higher and our profit was so much less. [/quote]
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