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Made in China: Another Very Bad Week

Posted June 29, 2007 9:19 AM by Steve Melito

This week, Chinese products were once again in the news. In case you missed the headlines, here's a summary of some major news stories featured on the pages of the New York Times.

Food Safety

After weeks of insisting that Chinese food products are safe, regulators in China said on Tuesday that they had recently closed 180 food plants and that inspectors had uncovered more than 23,000 food safety violations.

The nationwide crackdown, which began in December, also found that many small food makers were using industrial chemicals, dyes and other illegal ingredients in making a range of food products, everything from candy to seafood.

Tire Recall

U.S. safety officials have ordered a tiny tire importer to recall as many as 450,000 tires that it bought from a Chinese manufacturer and sold to U.S. distributors.The Chinese manufacturer has denied that the tires are defective, and claims that the accusations might be fabricated.

The tires, which were sold for use on vans, sport utility vehicles and pickup trucks, have already been linked to at least two deaths in the United States, possibly because of a missing "gum strip," which could allow the tire treads to separate.

Talk About It

What are other CR4ers saying about products made in China? For starters, check out the discussion surrounding Part 1 and Part 2 of "Doing Business in China".

You may also be interested in these stories from The Y Files:

What do you think when you hear the phrase "Made in China"?

Resources:

http://www.nytimes.com/2007/06/27/world/asia/27cnd-China.html?ex=1340596800&en=634c2bccc2bebeef&ei=5088&partner=rssnyt&emc=rss

http://www.nytimes.com/2007/06/27/business/worldbusiness/27tires.html?ex=1340596800&en=0a7fa9a42cfb9da8&ei=5088&partner=rssnyt&emc=rss

http://www.nytimes.com/reuters/business/business-tires-recall.html

Steve Melito - The Y Files

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Commentator

Join Date: Jun 2007
Posts: 64
#1

Re: Made in China

06/29/2007 5:27 PM

I've been to China, they're not the conspiracy type people everyone makes them out to be. They have some extreme growing pains, and with a centralized government, they don't have the inspection capability like we do here. I've noticed huge trucks with frieght packed on them, where the spindles of the front axles literally sheered off, from lack of lubrication. It's like no one inspects anything over there ?

Police are everywhere, on every corner of the Cities, and Trains; but as long as everyone is working, no one is bothered. If you're not working, they'll find you a job, because there's no such thing as free welfare; everyone will not starve from the dignity of having a job.

Leaving Beijing, the plane crosses over a bridge, looking down on the highway traffic below; the country is literally packed with people ! I'm sure there are country areas in the south and west that may not have enough supervision, but all the Provinces I've seen are monitored very closely......even police shacks on the rail tracks every 3 miles, and if the officer isn't out on the wharf saluting when the train approaches, their will be hell to pay.

Respect is law in China, being American, the Train Station Guard ordered everyone against the wall to allow me to first board the Train for Harbin. It's a trip to visit, they're very respectful. All signs throughout Beijing and Harbin have English above the Chinese characters, telling you what store or hotel it is.

Just remember, they still have their growing pains crawling into the future of capitalism, but everything is republic just like here. China wants everybody to visit The Winter Olympics in 2008 .....I promise, it'll be so affordable, you might even want to stay !

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Active Contributor

Join Date: Jun 2007
Posts: 11
#2

Re: Made in China

06/29/2007 5:42 PM

Moose - you're on top of things. This development has an upside. The Chinese government is under pressure to crackdown on the lackadaisical quality control processes. I am optimistic that strict guidelines coupled to an iron fist will help Chinese manufacturers become more responsible.

It's a shock to us, but it's an everyday occurrence for the Chinese. Think of it this way...if their QC for exports is this lax then how lax is it for domestic manufacturing?

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Commentator

Join Date: Jun 2007
Posts: 64
#3
In reply to #2

Re: Made in China

06/29/2007 6:32 PM

One of the things I see is the people don't associate with the government and the government doesn't associate with the people; they like it like that. One reason is in China, "No Tipping Allowed !" Well, they do it but very secretly. tee hee. As you can see this sets-off a different agenda between manufacturing and delivering ? No taxes allowed in China ! Only Companies pay taxes, not the public; nowhere ! Not even in your Bank Savings or Checking Accounts ! Penalty Free !

This is the incentive that's driving our manufacturing too China ! You make a check and no deductions, no tax, no problems.....take on another job and do it again and again as long as you can live ! The Companies carry the medical insurance, so it's much cheaper there then here, plus the Republic demands all prices be kept low; they want everyone working. Doctors are on bicycles that show up to your house, if you need to go to the hospital, he'll call for an ambulance; everything is by Cell Phone.

China is only experimenting with Unions at the Walmart Hub, but other then this, the markets are keeping everyone running all through the nights, and Sundays too ! It's a trip; Beijing never goes to sleep ! Steel welders are lighting up the sky 2 o'clock in the morning - "try to get a Union to do that?" Don't get me wrong, the people of China wants taxes so they can build highways as beautiful as ours, but the infrastructure is booming so high, they're scared it'll explode with criminal offenses.

It takes two hours to drive from south Beijing to the west-side for Dong hotel, on the Beltway, which is 10 lanes wide ! Tunnels run underneath it so people can cross the beltway....don't worry, guards are down there too ! I found it amazing that you can run through a red light, but if there's an accident, it's your fault. Driver beware !

Employers take the whole company to a restaurant for lunch, including beer ! It's cheaper to eat at a restaurant, because it's like a huge buffet table, that rotates around with all the food you can eat, for 2 dollars a person. DO NOT TIP THE WAITERS, IT'S AGAINST THE LAW ! Everyone in the Company is treated like family, this is communal living, even medical expenses. Families that have children; no problem; in the community, the child lives with other children at a different Apartment building (schooling - 24hours a day) throughout the week, and on weekends they reunite with their family.

It's the cheapest flight, with the most to offer just to see how they live, and then you'll see how mistakes can fly through the quality control department without being checked: "I'm sure this pisses the government off !"

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Power-User

Join Date: Jan 2007
Location: Los Angeles, CA
Posts: 381
Good Answers: 1
#4

Re: Made in China

06/29/2007 7:07 PM

Ever wonder how their Healthcare compares with the Good Ol US of A ?

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Guru

Join Date: Nov 2006
Location: KnoxTN
Posts: 1485
Good Answers: 6
#5

Re: Made in China

06/30/2007 6:36 PM

"What do you think when you hear the phrase "Made in China"?"

It reminds me the thirties when almost every thing on the counters of the five and dime aka "Woolworths" bore the inscription, "Made in Japan!"

The Japanese were also buying all the scrap iron that could be scrounged up for shipment to Japan.

Beginning on December 11, 1941 the started sending it all back to the USA!

Do you see any similarity here?

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Commentator

Join Date: Jun 2007
Posts: 64
#6
In reply to #5

Re: Made in China

06/30/2007 7:29 PM

China loves the U.S. markets ! America is a Super Store ! They really want our cars too, especially the Lincoln Continentals. We black ball all of our auto sales too & from China, and really, I don't see why ? I don't know about it now, but in 2002 they did. I hear General Motors is in Shanghei and they love-em ! You'll see, GM will come out of the rut their in with China workers.

When you shop in China, they aim to please, even if they have to give you extras and discounts. You walk in a store and a sales lady walks with you around the shelves, you pick out what you like, pay her right there; she bags it and off you go right out the door. No cash registers - hand held calculators - no change - only paper. And no tipping ! tee hee.

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Guru

Join Date: Feb 2006
Location: Piney Flats, Tennessee
Posts: 1740
Good Answers: 23
#7

Re: Made in China

07/07/2007 11:56 AM

What is too comment on? This is unbridled and unregulated capitalism!

This is the world without unions and constraints that force people to respect others and just be descent to one another. This is a world where fear rules. Fear for your job if you speak up and say "This is wrong". Fear that someone else will make a profit before you. Fear that you might have to actually work instead of taking the shortcuts to wealth.

Look at South America also American Businesses are ordering people killed there when they attempt to organize so they can demand better working conditions and better pay. Comtaminated food? Our own food processors have recalls and we now have to cook meat at higher temps. I doubt many of you every had a medium rare steak or burger. They use to actually inspect meats in the USA but that was before Bovine Growth Horomones. Look at the research on the BGH that shows female fish downstream from cattle feed lots start into egg production before they are fully grown. Male fish have smaller sex organs.

Give control to control freaks and they will control you!

Is this the world they told you would come if you followed the Corporate Line?

No, then maybe your premise for beliving the Corporate Line was wrong, go figure!

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If you never do anything you never have problems.
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Active Contributor

Join Date: Jun 2007
Posts: 11
#8

Re: Made in China

07/09/2007 9:19 AM

The point is that not every China has not matured to where it can support the mandated health and quality requirements. To highlight this further maturation is not just relegated to the quality process, but also to the environment. Chinese government has not considered the environmental impact of the 10.7% growth that it targets for 2007. As such, China is the host to the most polluted cities in the world. http://www.chinadaily.com.cn/english/doc/2004-07/15/content_348397.htm.

Economic growth on steroids may lead to a systemic breakdown if not tempered.

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Active Contributor

Join Date: Apr 2007
Posts: 24
#9

Re: Made in China: Another Very Bad Week

07/12/2007 9:12 PM

It may be cheaper nowadays not to buy Made in China, although there is less and less choice.

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