THE CAPE CHARLES MIRROR DECEMBER 13, 2022 AT 10:44 PM
Paul Plante says:
As does this:
THE PANTAGRAPH
“Watch now: Biden touts Rivian in electric vehicle speech”
Feb 9, 2022
NORMAL — President Joe Biden on Tuesday included Rivian Automotive in his remarks about electric vehicle manufacturing and infrastructure.
“Since 2021, companies have announced investments totaling more than $200 billion in domestic manufacturing here in America, from iconic companies like GM and Ford building out new electric vehicle production; to Tesla, our nation’s largest electric vehicle manufacturer; to innovative younger companies like Rivian, building electric trucks, or Proterra, building electric buses, which I saw at a virtual tour last year when I met with the CEO virtually.”
“And they really impressed me,” Biden said.
Rivian, based in California, converted the former Mitsubishi plant in Normal into a facility to make electric sport-utility vehicles and trucks.
Rivian is developing a plant near Atlanta as well.
************************************
24/7 Wall St.
“Rivian Falls Apart”
Story by Douglas A. McIntyre
12 December 2022
Rivian Automotive Inc. recently gave up on a promising deal with one of the world’s premier car and truck companies.
It had a partnership to make vans with Mercedes-Benz Vans.
The arrangement was only three months old.
It is an example of how badly Rivian has struggled to find direction as management gropes toward a future that likely is no longer there.
Rivian is barely in business.
Rivian has another distinction.
It lost $1.7 billion last quarter.
That loss level is usually only posted in bad quarters for the world’s largest car companies.
Rivian did it as one of the smallest.
Rivian faces several buzz saws.
The most powerful of these is the Ford F-150 Lightning.
It is the electric version of the top-selling vehicle in the United States.
This is a distinction the F-150 has held for decades.
Ford likely has at least 6 million of these on the road, giving it a massive customer base to which to market the Lightening.
Elon Musk’s Tesla will start production of the company’s Cybertruck in a year.
Tesla’s brand and spot as the world’s top electric vehicle company give it strong leverage with potential customers.
Rivian’s other challenge is that every major car company will have an electric pickup on the road within two to three years.
While each may only have a modest market share, the avalanche of models will overwhelm Rivian, if it is still around.
Wall Street already has passed its judgment.
Rivian’s stock trades near $26, down from a 52-week high of $121.64.
http://www.capecharlesmirror.com/news/o ... ent-731357
MADNESS AND INSANITY IN A TIME OF JOE BIDEN
Re: MADNESS AND INSANITY IN A TIME OF JOE BIDEN
THE CAPE CHARLES MIRROR DECEMBER 14, 2022 AT 10:30 PM
Paul Plante says:
And in the meantime, as Joe Biden starts trade wars all over the globe with his ultra-nationalistic and isolationist BUY AMERICA policy intended to shut the world out of US markets to MAKE AMERICA GREAT by BUILDING IT BACK BETTER while crippling the economy of China, which is the only possible way Joe Biden could compete with them, the Chinese are stepping up to the plate to raise the ante for Joe and make a contest out of it that the old goofball Biden can’t win, to wit:
Reuters
“Exclusive: China readying $143 bln package for its chip firms in face of U.S. curbs – sources”
By Julie Zhu
December 13, 2022
HONG KONG, Dec 13 (Reuters) – China is working on a more than 1 trillion yuan ($143 billion) support package for its semiconductor industry, three sources said, in a major step towards self sufficiency in chips and to counter U.S. moves aimed at slowing its technological advances.
Beijing plans to roll out what will be one of its biggest fiscal incentive packages over five years, mainly as subsidies and tax credits to bolster semiconductor production and research activities at home, said the sources.
It signals, as analysts have expected, a more direct approach by China in shaping the future of an industry which has become a geopolitical hot button due to soaring demand for chips and which Beijing regards as a cornerstone of its technological might.
It will also likely further raise concerns in the United States and its allies about China’s competition in the semiconductor industry, say analysts.
Some U.S. lawmakers are already worried about China’s chip production capacity build up.
The plan could be implemented as soon as the first quarter of next year, said two of the sources who declined to be named as they were not authorised to speak to media.
The majority of the financial assistance would be used to subsidise the purchases of domestic semiconductor equipment by Chinese firms, mainly semiconductor fabrication plants, or fabs, they said.
The fiscal support plan comes after the U.S. Commerce Department passed in October a sweeping set of regulations, which could bar research labs and commercial data centres’ access to advanced AI chips, among other curbs.
The United States has also been lobbying some of its partners, including Japan and the Netherlands, to tighten exports to China of equipment used to make semiconductors.
And U.S. President Joe Biden in August signed a landmark bill to provide $52.7 billion in grants for U.S. semiconductor production and research as well as tax credit for chip plants estimated to be worth $24 billion.
With the incentive package, Beijing aims to step up support for Chinese chip firms to build, expand or modernise domestic facilities for fabrication, assembly, packaging, and research and development, the sources said.
Beijing’s latest plan also includes preferential tax policies for the country’s semiconductor industry, they said.
Achieving self-reliance in technology featured prominently in President Xi Jinping’s full work report at the Communist Party Congress in October.
The term ‘technology’ was referred to 40 times, up from 17 times in the report from the 2017 congress.
Xi’s call for China to “win the battle” in core technologies could signal an overhaul in Beijing’s approach to advancing its tech industry, with more state-led spending and intervention to counter U.S. pressures, analysts have said.
end quotes
Joe Biden, a belligerent, bellicose JINGO, wants war with the rest of the world to show everybody just how much of a REAL HONEST-TO-GOSH TOUGH GUY he really is, so the Chinese are going to give him a good test, and we will likely be the losers for it.
http://www.capecharlesmirror.com/news/o ... ent-731357
Paul Plante says:
And in the meantime, as Joe Biden starts trade wars all over the globe with his ultra-nationalistic and isolationist BUY AMERICA policy intended to shut the world out of US markets to MAKE AMERICA GREAT by BUILDING IT BACK BETTER while crippling the economy of China, which is the only possible way Joe Biden could compete with them, the Chinese are stepping up to the plate to raise the ante for Joe and make a contest out of it that the old goofball Biden can’t win, to wit:
Reuters
“Exclusive: China readying $143 bln package for its chip firms in face of U.S. curbs – sources”
By Julie Zhu
December 13, 2022
HONG KONG, Dec 13 (Reuters) – China is working on a more than 1 trillion yuan ($143 billion) support package for its semiconductor industry, three sources said, in a major step towards self sufficiency in chips and to counter U.S. moves aimed at slowing its technological advances.
Beijing plans to roll out what will be one of its biggest fiscal incentive packages over five years, mainly as subsidies and tax credits to bolster semiconductor production and research activities at home, said the sources.
It signals, as analysts have expected, a more direct approach by China in shaping the future of an industry which has become a geopolitical hot button due to soaring demand for chips and which Beijing regards as a cornerstone of its technological might.
It will also likely further raise concerns in the United States and its allies about China’s competition in the semiconductor industry, say analysts.
Some U.S. lawmakers are already worried about China’s chip production capacity build up.
The plan could be implemented as soon as the first quarter of next year, said two of the sources who declined to be named as they were not authorised to speak to media.
The majority of the financial assistance would be used to subsidise the purchases of domestic semiconductor equipment by Chinese firms, mainly semiconductor fabrication plants, or fabs, they said.
The fiscal support plan comes after the U.S. Commerce Department passed in October a sweeping set of regulations, which could bar research labs and commercial data centres’ access to advanced AI chips, among other curbs.
The United States has also been lobbying some of its partners, including Japan and the Netherlands, to tighten exports to China of equipment used to make semiconductors.
And U.S. President Joe Biden in August signed a landmark bill to provide $52.7 billion in grants for U.S. semiconductor production and research as well as tax credit for chip plants estimated to be worth $24 billion.
With the incentive package, Beijing aims to step up support for Chinese chip firms to build, expand or modernise domestic facilities for fabrication, assembly, packaging, and research and development, the sources said.
Beijing’s latest plan also includes preferential tax policies for the country’s semiconductor industry, they said.
Achieving self-reliance in technology featured prominently in President Xi Jinping’s full work report at the Communist Party Congress in October.
The term ‘technology’ was referred to 40 times, up from 17 times in the report from the 2017 congress.
Xi’s call for China to “win the battle” in core technologies could signal an overhaul in Beijing’s approach to advancing its tech industry, with more state-led spending and intervention to counter U.S. pressures, analysts have said.
end quotes
Joe Biden, a belligerent, bellicose JINGO, wants war with the rest of the world to show everybody just how much of a REAL HONEST-TO-GOSH TOUGH GUY he really is, so the Chinese are going to give him a good test, and we will likely be the losers for it.
http://www.capecharlesmirror.com/news/o ... ent-731357
Re: MADNESS AND INSANITY IN A TIME OF JOE BIDEN
THE CAPE CHARLES MIRROR DECEMBER 15, 2022 AT 10:01 PM
Paul Plante says:
In the meantime, people elsewhere in the world who resent this shallow-thinking, short-sighted, knee-jerking autocrat Joe Biden messing with their business plans are standing up and challenging the old fool in public by pointing out just how stupid his CHIP BAN policy really is, which is vintage Joe Biden, to wit:
Reuters
“Dutch chip equipment maker ASML’s CEO questions U.S. export rules on China – newspaper”
December 13, 2022
AMSTERDAM, Dec 13 (Reuters) – The chief executive of ASML Holding NV, the Dutch semiconductor equipment maker, on Tuesday questioned whether a U.S. push to get the Netherlands to adopt new rules restricting exports to China make sense.
“Maybe they think we should come across the table, but ASML has already sacrificed,” CEO Peter Wennink said in an interview with newspaper NRC Handelsblad.
He said that following U.S. pressure, the Dutch government has already restricted ASML from exporting its most advanced lithography machines to China since 2019, something he said has benefited U.S. companies selling alternative technology.
end quotes
With Joe Biden’s ultra-nationalistic and isolationist BUILD BACK BETTER program, it is AMERICA FIRST and screw the rest of the world, which takes us back to that story of the beginnings of a revolt against the stupidity of Joe Biden, to wit:
The Biden administration issued new export rules for U.S. companies in October aimed at cutting off China’s ability to manufacture advanced semiconductor chips in a bid to slow its military and technological advances.
Washington is urging the Netherlands, Japan and other unspecified countries with companies that make cutting edge manufacturing equipment to adopt similar rules.
The Dutch trade minister has confirmed talks are ongoing.
Wennink said it seemed contradictory that U.S. chip manufacturers are able to sell their most advanced chips to Chinese customers, while ASML is only able to sell older chipmaking equipment.
“American chip manufacturers have no problem with China as a customer,” he said.
Meanwhile, “it is common knowledge that chip technology for purely military applications is usually 10, 15 years old.”
“(Yet) the technology used to make such chips can still be sold to China,” he added.
end quotes
And more on that story on China ramping up its capacity to produce those older chips to capture the market away from Joe Biden is yet to come, so stay tuned and don’t touch that dial!
http://www.capecharlesmirror.com/news/o ... ent-731357
Paul Plante says:
In the meantime, people elsewhere in the world who resent this shallow-thinking, short-sighted, knee-jerking autocrat Joe Biden messing with their business plans are standing up and challenging the old fool in public by pointing out just how stupid his CHIP BAN policy really is, which is vintage Joe Biden, to wit:
Reuters
“Dutch chip equipment maker ASML’s CEO questions U.S. export rules on China – newspaper”
December 13, 2022
AMSTERDAM, Dec 13 (Reuters) – The chief executive of ASML Holding NV, the Dutch semiconductor equipment maker, on Tuesday questioned whether a U.S. push to get the Netherlands to adopt new rules restricting exports to China make sense.
“Maybe they think we should come across the table, but ASML has already sacrificed,” CEO Peter Wennink said in an interview with newspaper NRC Handelsblad.
He said that following U.S. pressure, the Dutch government has already restricted ASML from exporting its most advanced lithography machines to China since 2019, something he said has benefited U.S. companies selling alternative technology.
end quotes
With Joe Biden’s ultra-nationalistic and isolationist BUILD BACK BETTER program, it is AMERICA FIRST and screw the rest of the world, which takes us back to that story of the beginnings of a revolt against the stupidity of Joe Biden, to wit:
The Biden administration issued new export rules for U.S. companies in October aimed at cutting off China’s ability to manufacture advanced semiconductor chips in a bid to slow its military and technological advances.
Washington is urging the Netherlands, Japan and other unspecified countries with companies that make cutting edge manufacturing equipment to adopt similar rules.
The Dutch trade minister has confirmed talks are ongoing.
Wennink said it seemed contradictory that U.S. chip manufacturers are able to sell their most advanced chips to Chinese customers, while ASML is only able to sell older chipmaking equipment.
“American chip manufacturers have no problem with China as a customer,” he said.
Meanwhile, “it is common knowledge that chip technology for purely military applications is usually 10, 15 years old.”
“(Yet) the technology used to make such chips can still be sold to China,” he added.
end quotes
And more on that story on China ramping up its capacity to produce those older chips to capture the market away from Joe Biden is yet to come, so stay tuned and don’t touch that dial!
http://www.capecharlesmirror.com/news/o ... ent-731357
Re: MADNESS AND INSANITY IN A TIME OF JOE BIDEN
THE CAPE CHARLES MIRROR DECEMBER 15, 2022 AT 10:01 PM
Paul Plante says:
In the meantime, people elsewhere in the world who resent this shallow-thinking, short-sighted, knee-jerking autocrat Joe Biden messing with their business plans are standing up and challenging the old fool in public by pointing out just how stupid his CHIP BAN policy really is, which is vintage Joe Biden, to wit:
Reuters
“Dutch chip equipment maker ASML’s CEO questions U.S. export rules on China – newspaper”
December 13, 2022
AMSTERDAM, Dec 13 (Reuters) – The chief executive of ASML Holding NV, the Dutch semiconductor equipment maker, on Tuesday questioned whether a U.S. push to get the Netherlands to adopt new rules restricting exports to China make sense.
“Maybe they think we should come across the table, but ASML has already sacrificed,” CEO Peter Wennink said in an interview with newspaper NRC Handelsblad.
He said that following U.S. pressure, the Dutch government has already restricted ASML from exporting its most advanced lithography machines to China since 2019, something he said has benefited U.S. companies selling alternative technology.
end quotes
With Joe Biden’s ultra-nationalistic and isolationist BUILD BACK BETTER program, it is AMERICA FIRST and screw the rest of the world, which takes us back to that story of the beginnings of a revolt against the stupidity of Joe Biden, to wit:
The Biden administration issued new export rules for U.S. companies in October aimed at cutting off China’s ability to manufacture advanced semiconductor chips in a bid to slow its military and technological advances.
Washington is urging the Netherlands, Japan and other unspecified countries with companies that make cutting edge manufacturing equipment to adopt similar rules.
The Dutch trade minister has confirmed talks are ongoing.
Wennink said it seemed contradictory that U.S. chip manufacturers are able to sell their most advanced chips to Chinese customers, while ASML is only able to sell older chipmaking equipment.
“American chip manufacturers have no problem with China as a customer,” he said.
Meanwhile, “it is common knowledge that chip technology for purely military applications is usually 10, 15 years old.”
“(Yet) the technology used to make such chips can still be sold to China,” he added.
end quotes
And more on that story on China ramping up its capacity to produce those older chips to capture the market away from Joe Biden is yet to come, so stay tuned and don’t touch that dial!
http://www.capecharlesmirror.com/news/o ... ent-731357
Paul Plante says:
In the meantime, people elsewhere in the world who resent this shallow-thinking, short-sighted, knee-jerking autocrat Joe Biden messing with their business plans are standing up and challenging the old fool in public by pointing out just how stupid his CHIP BAN policy really is, which is vintage Joe Biden, to wit:
Reuters
“Dutch chip equipment maker ASML’s CEO questions U.S. export rules on China – newspaper”
December 13, 2022
AMSTERDAM, Dec 13 (Reuters) – The chief executive of ASML Holding NV, the Dutch semiconductor equipment maker, on Tuesday questioned whether a U.S. push to get the Netherlands to adopt new rules restricting exports to China make sense.
“Maybe they think we should come across the table, but ASML has already sacrificed,” CEO Peter Wennink said in an interview with newspaper NRC Handelsblad.
He said that following U.S. pressure, the Dutch government has already restricted ASML from exporting its most advanced lithography machines to China since 2019, something he said has benefited U.S. companies selling alternative technology.
end quotes
With Joe Biden’s ultra-nationalistic and isolationist BUILD BACK BETTER program, it is AMERICA FIRST and screw the rest of the world, which takes us back to that story of the beginnings of a revolt against the stupidity of Joe Biden, to wit:
The Biden administration issued new export rules for U.S. companies in October aimed at cutting off China’s ability to manufacture advanced semiconductor chips in a bid to slow its military and technological advances.
Washington is urging the Netherlands, Japan and other unspecified countries with companies that make cutting edge manufacturing equipment to adopt similar rules.
The Dutch trade minister has confirmed talks are ongoing.
Wennink said it seemed contradictory that U.S. chip manufacturers are able to sell their most advanced chips to Chinese customers, while ASML is only able to sell older chipmaking equipment.
“American chip manufacturers have no problem with China as a customer,” he said.
Meanwhile, “it is common knowledge that chip technology for purely military applications is usually 10, 15 years old.”
“(Yet) the technology used to make such chips can still be sold to China,” he added.
end quotes
And more on that story on China ramping up its capacity to produce those older chips to capture the market away from Joe Biden is yet to come, so stay tuned and don’t touch that dial!
http://www.capecharlesmirror.com/news/o ... ent-731357
Re: MADNESS AND INSANITY IN A TIME OF JOE BIDEN
THE CAPE CHARLES MIRROR DECEMBER 17, 2022 AT 11:19 PM
Paul Plante says:
And as Joe does a real bang-up job of alienating not only his multitude of enemies, but his “friends,” as well, who are now seeing Joe as he really is, a clear and present danger to global peace, harmony and stability, we have yet more pushback and the beginnings of a trade war with Europe, to wit:
“Italy urges EU to give strong and strategic response to U.S. IRA”
Reuters
December 17, 2022
ROME, Dec 17 (Reuters) – Italy’s economy minister on Saturday urged the European Union to give a strong and strategic response to the U.S. Inflation Reduction Act (IRA), which he said was posing threats to the national economy.
“Some Italian companies are considering moving production to the U.S. following the IRA scheme, it would be a disaster,” Economy Minister Giancarlo Giorgetti said at an event in Rome.
The EU fears that the $430 billion IRA scheme, with its generous tax breaks for domestic production of energy sector components, may lure away EU businesses and disadvantage European companies, from car manufacturers to makers of green technology.
http://www.capecharlesmirror.com/news/o ... ent-731357
Paul Plante says:
And as Joe does a real bang-up job of alienating not only his multitude of enemies, but his “friends,” as well, who are now seeing Joe as he really is, a clear and present danger to global peace, harmony and stability, we have yet more pushback and the beginnings of a trade war with Europe, to wit:
“Italy urges EU to give strong and strategic response to U.S. IRA”
Reuters
December 17, 2022
ROME, Dec 17 (Reuters) – Italy’s economy minister on Saturday urged the European Union to give a strong and strategic response to the U.S. Inflation Reduction Act (IRA), which he said was posing threats to the national economy.
“Some Italian companies are considering moving production to the U.S. following the IRA scheme, it would be a disaster,” Economy Minister Giancarlo Giorgetti said at an event in Rome.
The EU fears that the $430 billion IRA scheme, with its generous tax breaks for domestic production of energy sector components, may lure away EU businesses and disadvantage European companies, from car manufacturers to makers of green technology.
http://www.capecharlesmirror.com/news/o ... ent-731357
Re: MADNESS AND INSANITY IN A TIME OF JOE BIDEN
THE CAPE CHARLES MIRROR DECEMBER 17, 2022 AT 11:19 PM
Paul Plante says:
And as Joe does a real bang-up job of alienating not only his multitude of enemies, but his “friends,” as well, who are now seeing Joe as he really is, a clear and present danger to global peace, harmony and stability, we have yet more pushback and the beginnings of a trade war with Europe, to wit:
“Italy urges EU to give strong and strategic response to U.S. IRA”
Reuters
December 17, 2022
ROME, Dec 17 (Reuters) – Italy’s economy minister on Saturday urged the European Union to give a strong and strategic response to the U.S. Inflation Reduction Act (IRA), which he said was posing threats to the national economy.
“Some Italian companies are considering moving production to the U.S. following the IRA scheme, it would be a disaster,” Economy Minister Giancarlo Giorgetti said at an event in Rome.
The EU fears that the $430 billion IRA scheme, with its generous tax breaks for domestic production of energy sector components, may lure away EU businesses and disadvantage European companies, from car manufacturers to makers of green technology.
http://www.capecharlesmirror.com/news/o ... ent-731357
Paul Plante says:
And as Joe does a real bang-up job of alienating not only his multitude of enemies, but his “friends,” as well, who are now seeing Joe as he really is, a clear and present danger to global peace, harmony and stability, we have yet more pushback and the beginnings of a trade war with Europe, to wit:
“Italy urges EU to give strong and strategic response to U.S. IRA”
Reuters
December 17, 2022
ROME, Dec 17 (Reuters) – Italy’s economy minister on Saturday urged the European Union to give a strong and strategic response to the U.S. Inflation Reduction Act (IRA), which he said was posing threats to the national economy.
“Some Italian companies are considering moving production to the U.S. following the IRA scheme, it would be a disaster,” Economy Minister Giancarlo Giorgetti said at an event in Rome.
The EU fears that the $430 billion IRA scheme, with its generous tax breaks for domestic production of energy sector components, may lure away EU businesses and disadvantage European companies, from car manufacturers to makers of green technology.
http://www.capecharlesmirror.com/news/o ... ent-731357
Re: MADNESS AND INSANITY IN A TIME OF JOE BIDEN
THE CAPE CHARLES MIRROR DECEMBER 21, 2022 AT 6:52 PM
Paul Plante says:
Reuters
“U.S. feeling impact of China COVID changes, can ‘power through it’ -Treasury’s Adeyemo says”
By Andrea Shalal and Trevor Hunnicutt
December 20, 2022
WASHINGTON, Dec 20 (Reuters) – The U.S. economy is “already being impacted” by China’s latest COVID developments and energy shortages in Europe, Deputy Treasury Secretary Wally Adeyemo said on Tuesday, but it is in better shape than in the past to withstand such pressures.
Adeyemo, in a phone interview with Reuters, said he was feeling confident about the state of the U.S. economy after his trip to Europe last week, given continued momentum in job creation and economic growth, easing inflation and huge investments that would help reduce supply chain shortages in coming years.
“We’re already being impacted by those headwinds … but we’re more able to withstand that and power through it because of the policy choices we’ve made,” he said.
President Joe Biden enters the new year atop a mixed-picture economy that investors and CEOs warn could wither under global pressure and domestic price spikes, while facing a slim Republican majority in the U.S. House of Representatives likely to block major economic proposals.
He said he “definitely” hoped to join Vice President Kamala Harris on a visit to Africa next year, but gave no details.
*****************************************
We’re already being impacted by those headwinds but we’re more able to withstand that and power through it because of the policy choices Joe Biden and his pack of “BORROW REAL BIG AND SPEND LAVISHLY ON YOUR FRIENDS” Democrats have made?
Do tell, Wally, do tell:
“GlobalFoundries laying off about 220 at Fab 8 in Malta – Company is expecting revenue to drop in 2023, leading to cost cutting measures”
Larry Rulison, Albany, New York Times Union
Dec. 20, 2022
MALTA — GlobalFoundries is laying off roughly 220 employees at its Fab 8 campus at the Luther Forest Technology Campus.
The terminations are part of its ongoing company-wide cost-cutting program.
GlobalFoundries, which employs 14,000 people worldwide, announced earlier this year that it would be laying off about 800 people as it seeks to reduce annual spending by $200 million.
Although the company had just revealed record revenue and profit for the third quarter of 2022, the company is expecting key customers will be reducing its chip orders in the next six months as consumer spending on things like smartphones has suffered during record inflation.
There is also a risk of recession in 2023.
Since chip factories can cost between $5 billion and $15 billion to build and equip with manufacturing equipment, chipmakers can easily start losing money if their factories are not at full capacity.
The GlobalFoundries layoffs are awkward not only because they are being done around the holidays, but because GlobalFoundries and other chipmakers have been campaigning for the past year for Congress to pass the $52 billion CHIPS Act that provides the industry with billions of dollars in subsidies to expand their manufacturing operations in the U.S. as a counterweight to China’s rise and to re-establish the domestic semiconductor supply chain that has increasingly been moved overseas to Asia.
http://www.capecharlesmirror.com/news/o ... ent-731357
Paul Plante says:
Reuters
“U.S. feeling impact of China COVID changes, can ‘power through it’ -Treasury’s Adeyemo says”
By Andrea Shalal and Trevor Hunnicutt
December 20, 2022
WASHINGTON, Dec 20 (Reuters) – The U.S. economy is “already being impacted” by China’s latest COVID developments and energy shortages in Europe, Deputy Treasury Secretary Wally Adeyemo said on Tuesday, but it is in better shape than in the past to withstand such pressures.
Adeyemo, in a phone interview with Reuters, said he was feeling confident about the state of the U.S. economy after his trip to Europe last week, given continued momentum in job creation and economic growth, easing inflation and huge investments that would help reduce supply chain shortages in coming years.
“We’re already being impacted by those headwinds … but we’re more able to withstand that and power through it because of the policy choices we’ve made,” he said.
President Joe Biden enters the new year atop a mixed-picture economy that investors and CEOs warn could wither under global pressure and domestic price spikes, while facing a slim Republican majority in the U.S. House of Representatives likely to block major economic proposals.
He said he “definitely” hoped to join Vice President Kamala Harris on a visit to Africa next year, but gave no details.
*****************************************
We’re already being impacted by those headwinds but we’re more able to withstand that and power through it because of the policy choices Joe Biden and his pack of “BORROW REAL BIG AND SPEND LAVISHLY ON YOUR FRIENDS” Democrats have made?
Do tell, Wally, do tell:
“GlobalFoundries laying off about 220 at Fab 8 in Malta – Company is expecting revenue to drop in 2023, leading to cost cutting measures”
Larry Rulison, Albany, New York Times Union
Dec. 20, 2022
MALTA — GlobalFoundries is laying off roughly 220 employees at its Fab 8 campus at the Luther Forest Technology Campus.
The terminations are part of its ongoing company-wide cost-cutting program.
GlobalFoundries, which employs 14,000 people worldwide, announced earlier this year that it would be laying off about 800 people as it seeks to reduce annual spending by $200 million.
Although the company had just revealed record revenue and profit for the third quarter of 2022, the company is expecting key customers will be reducing its chip orders in the next six months as consumer spending on things like smartphones has suffered during record inflation.
There is also a risk of recession in 2023.
Since chip factories can cost between $5 billion and $15 billion to build and equip with manufacturing equipment, chipmakers can easily start losing money if their factories are not at full capacity.
The GlobalFoundries layoffs are awkward not only because they are being done around the holidays, but because GlobalFoundries and other chipmakers have been campaigning for the past year for Congress to pass the $52 billion CHIPS Act that provides the industry with billions of dollars in subsidies to expand their manufacturing operations in the U.S. as a counterweight to China’s rise and to re-establish the domestic semiconductor supply chain that has increasingly been moved overseas to Asia.
http://www.capecharlesmirror.com/news/o ... ent-731357
Re: MADNESS AND INSANITY IN A TIME OF JOE BIDEN
THE CAPE CHARLES MIRROR DECEMBER 21, 2022 AT 11:13 PM
Paul Plante says:
One has to wonder what version of reality Wally Adeyemo, a Nigerian-American government official serving as the United States deputy secretary of the treasury under goofy old Joe Biden, himself a short-sighted, shallow thinker, who was the first president of the Obama Foundation and the director of African American outreach for the John Kerry 2004 presidential campaign, inhabits with his rosy predictions of our economic future, because the dude seems clueless as to what is happening in the real world outside of Washington that Wally has never really been in, being the political creature that he is, like Joe Biden, feeding off the American taxpayers like a parasite while being rewarded with a sinecure for political services rendered to the party:
Reuters
“Micron sets 10% job cuts in 2023 due to ‘supply-demand mismatch'”
By Akash Sriram and Jane Lanhee Lee
December 21, 2022
Dec 21 (Reuters) – Chipmaker Micron Technology Inc on Wednesday forecast a much steeper-than-expected second-quarter loss and said it will lay off 10% of its workforce next year, citing a nagging glut in the semiconductor market.
“Due to the significant supply demand mismatch entering calendar 2023, we expect that profitability will remain challenged throughout 2023,” Micron chief executive Sanjay Mehrotra said.
Micron’s shares fell over 1% in extended trading.
They have fallen about 45% so far this year.
Red-hot inflation, rising interest rates, geopolitical tensions and COVID-19 lockdowns in China have led businesses and consumers to rein in expenses, hitting the PC and smartphone market and in turn the business of chip makers.
The situation was a quick U-turn from chip shortages last year that hit everything from laptops to car makers.
Micron, the first major chip maker to alert the market of the downturn over the summer, previously said it would be cutting investments in 2023.
It was not clear what its previous 2024 investment plans were.
http://www.capecharlesmirror.com/news/o ... ent-731357
Paul Plante says:
One has to wonder what version of reality Wally Adeyemo, a Nigerian-American government official serving as the United States deputy secretary of the treasury under goofy old Joe Biden, himself a short-sighted, shallow thinker, who was the first president of the Obama Foundation and the director of African American outreach for the John Kerry 2004 presidential campaign, inhabits with his rosy predictions of our economic future, because the dude seems clueless as to what is happening in the real world outside of Washington that Wally has never really been in, being the political creature that he is, like Joe Biden, feeding off the American taxpayers like a parasite while being rewarded with a sinecure for political services rendered to the party:
Reuters
“Micron sets 10% job cuts in 2023 due to ‘supply-demand mismatch'”
By Akash Sriram and Jane Lanhee Lee
December 21, 2022
Dec 21 (Reuters) – Chipmaker Micron Technology Inc on Wednesday forecast a much steeper-than-expected second-quarter loss and said it will lay off 10% of its workforce next year, citing a nagging glut in the semiconductor market.
“Due to the significant supply demand mismatch entering calendar 2023, we expect that profitability will remain challenged throughout 2023,” Micron chief executive Sanjay Mehrotra said.
Micron’s shares fell over 1% in extended trading.
They have fallen about 45% so far this year.
Red-hot inflation, rising interest rates, geopolitical tensions and COVID-19 lockdowns in China have led businesses and consumers to rein in expenses, hitting the PC and smartphone market and in turn the business of chip makers.
The situation was a quick U-turn from chip shortages last year that hit everything from laptops to car makers.
Micron, the first major chip maker to alert the market of the downturn over the summer, previously said it would be cutting investments in 2023.
It was not clear what its previous 2024 investment plans were.
http://www.capecharlesmirror.com/news/o ... ent-731357
Re: MADNESS AND INSANITY IN A TIME OF JOE BIDEN
THE CAPE CHARLES MIRROR DECEMBER 23, 2022 AT 11:36 AM
Paul Plante says:
I’m thinking that if Wally and Joe can pony up another TRILLION of borrowed money with a “SAVE THE PROFITS OF THE CHIP FAB OPERATORS ACT,” which funds they can use to make a STRATEGIC CHIP RESERVE where they guarantee to purchase ALL the chips these CHIP FABS are producing, regardless of whether there is a use or need for them anywhere, you know, keep them on storage in government warehouses until the day comes when they can be used for something, that Joe and Wally can perform a real economical miracle and turn not only the industry around and make them profitable, which will be good for their shareholders, including Nancy and Paul Pelosi, but give the stock market a real good goose, as well, which takes us to the reality we all live in who are outside of the NEVER-NEVER LAND of Washington, D.C., also known as CLOUD CUCKOO LAND where everything is rosy all the time because Joe Biden and Wally say it is so, to wit:
Reuters
“Wall Street tumbles on rate, recession worries, bleak chipmaker outlook”
By Sinéad Carew and Ankika Biswas
December 22, 2022
Dec 22 (Reuters) – Wall Street’s major averages closed sharply lower on Thursday with the technology-heavy Nasdaq leading declines amid investor worries that data showing a resilient economy would lead the U.S. Federal Reserve to keep hiking interest rates for longer than feared.
Micron Technology Inc’s glum forecast added to the downbeat mood and caused the semiconductor index to sharply underperform the broader market.
By 4:00PM ET, the Dow Jones Industrial Average fell 348.26 points, or 1.04%, to 33,028.22, the S&P 500 lost 55.84 points, or 1.44%, to 3,822.6 and the Nasdaq Composite dropped 233.25 points, or 2.18%, to 10,476.12.
The Philadelphia SE Semiconductor index sold off sharply while Micron’s equipment supplier Lam Research was leading the sector’s declines throughout the session.
http://www.capecharlesmirror.com/news/o ... ent-731939
Paul Plante says:
I’m thinking that if Wally and Joe can pony up another TRILLION of borrowed money with a “SAVE THE PROFITS OF THE CHIP FAB OPERATORS ACT,” which funds they can use to make a STRATEGIC CHIP RESERVE where they guarantee to purchase ALL the chips these CHIP FABS are producing, regardless of whether there is a use or need for them anywhere, you know, keep them on storage in government warehouses until the day comes when they can be used for something, that Joe and Wally can perform a real economical miracle and turn not only the industry around and make them profitable, which will be good for their shareholders, including Nancy and Paul Pelosi, but give the stock market a real good goose, as well, which takes us to the reality we all live in who are outside of the NEVER-NEVER LAND of Washington, D.C., also known as CLOUD CUCKOO LAND where everything is rosy all the time because Joe Biden and Wally say it is so, to wit:
Reuters
“Wall Street tumbles on rate, recession worries, bleak chipmaker outlook”
By Sinéad Carew and Ankika Biswas
December 22, 2022
Dec 22 (Reuters) – Wall Street’s major averages closed sharply lower on Thursday with the technology-heavy Nasdaq leading declines amid investor worries that data showing a resilient economy would lead the U.S. Federal Reserve to keep hiking interest rates for longer than feared.
Micron Technology Inc’s glum forecast added to the downbeat mood and caused the semiconductor index to sharply underperform the broader market.
By 4:00PM ET, the Dow Jones Industrial Average fell 348.26 points, or 1.04%, to 33,028.22, the S&P 500 lost 55.84 points, or 1.44%, to 3,822.6 and the Nasdaq Composite dropped 233.25 points, or 2.18%, to 10,476.12.
The Philadelphia SE Semiconductor index sold off sharply while Micron’s equipment supplier Lam Research was leading the sector’s declines throughout the session.
http://www.capecharlesmirror.com/news/o ... ent-731939
Re: MADNESS AND INSANITY IN A TIME OF JOE BIDEN
THE CAPE CHARLES MIRROR JANUARY 10, 2023 AT 10:39 PM
Paul Plante says:
Is it a sign that I am not “open minded” because I happen to think Joe Biden’s declaration of economic war against China that is hurting American businesses by stripping them of access to global markets is a sign of madness and insanity on the part of Joe Biden?
Would I be “open minded” if I thought it was a good thing that Joe Biden was hurting American businesses with his economic war on China?
Or just stupid?
The Register
“US pressures Asian allies to join crusade against Chinese chipmakers”
Story by Tobias Mann
9 January 2023
US efforts to starve China’s semiconductor and tech industry of chips has entered a new phase: pressuring its allies to join its cause.…
Speaking with Japanese Prime Minister Fumio Kishida Sunday, US ambassador Rahm Emanuel emphasized the importance of a unified front restricting semiconductor exports to China, Bloomberg reports.
The talks come days before President Joe Biden is scheduled to meet with Kishida during a summit on Friday.
The US may be a major source of semiconductor intellectual property and patents, but the majority of chip manufacturing remains centered in the Asia Pacific.
As such, any efforts by the US to cut off China’s semiconductor industry will require the support of its allies.
In addition to Japan, the ambassador also reportedly highlighted the importance of South Korea — home to Samsung Electronics, the second-largest contract semiconductor manufacturer — and the Netherlands — home to ASML, which produces chipmaking equipment used in leading edge manufacturing.
Since the passage of the $280 billion US Chips and Science Act this summer, the Biden administration has stepped up its efforts to stifle China’s semiconductor industry.
Last fall, the US Commerce Department barred equipment vendors LAM research, KLA Corp, and Applied Materials from exporting their goods to Chinese chipmakers without explicit licensing.
In addition to denying access to chipmaking equipment, the Biden administration has also targeted Chinese chipmakers directly.
Last fall the Commerce Department added China’s largest memory manufacturer Yangtze Memory Technologies Company (YMTC) along with 35 other companies to its “Entity List.”
The move effectively banned the sale and export of US goods to these companies.
The Commerce Department has had some success cutting off Chinese access to foreign fabs and equipment vendors.
Under pressure from the US, the Dutch government blocked ASML from selling both its extreme-ultraviolet (EUV) and deep ultraviolet (DUV) lithography machines in China.
It’s unclear how ASML’s revenues could be affected by the decision.
The company’s China business accounts for roughly 15 percent of its annual revenues.
Some quick back-of-napkin math shows that cut off from the Middle Kingdom, ASML stands to lose more than $3 billion in annual revenues.
US sanctions have also hampered TSMC’s ability to do business with Chinese chipmakers.
Late last year, TSMC was reportedly forced to halt production of new GPUs for Chinese Alibaba and Biren because they exceeded performance limits set by US trade restrictions.
The US trade war against China certainly hasn’t been popular with TSMC.
During an industry event last month its CEO CC Wei complained that US efforts had hamstrung the company’s ability to do business.
His comments echoed those of TSMC founder Morris Chang who recently claimed globalization was on its last leg.
US sanctions are also expected to cost US equipment vendors billions in revenues over the next 12 months.
Following a ban on chipmaking equipment last fall, Lam Research warned investors that lost business in China would cost the company as much as $2.5 billion in revenues in 2023.
And in November, Applied Materials told investors US sanctions could end up costing the company as much as $2.5 billion in 2023, or about 10 percent of the company’s revenues in 2022.
http://www.capecharlesmirror.com/news/o ... ent-740832
Paul Plante says:
Is it a sign that I am not “open minded” because I happen to think Joe Biden’s declaration of economic war against China that is hurting American businesses by stripping them of access to global markets is a sign of madness and insanity on the part of Joe Biden?
Would I be “open minded” if I thought it was a good thing that Joe Biden was hurting American businesses with his economic war on China?
Or just stupid?
The Register
“US pressures Asian allies to join crusade against Chinese chipmakers”
Story by Tobias Mann
9 January 2023
US efforts to starve China’s semiconductor and tech industry of chips has entered a new phase: pressuring its allies to join its cause.…
Speaking with Japanese Prime Minister Fumio Kishida Sunday, US ambassador Rahm Emanuel emphasized the importance of a unified front restricting semiconductor exports to China, Bloomberg reports.
The talks come days before President Joe Biden is scheduled to meet with Kishida during a summit on Friday.
The US may be a major source of semiconductor intellectual property and patents, but the majority of chip manufacturing remains centered in the Asia Pacific.
As such, any efforts by the US to cut off China’s semiconductor industry will require the support of its allies.
In addition to Japan, the ambassador also reportedly highlighted the importance of South Korea — home to Samsung Electronics, the second-largest contract semiconductor manufacturer — and the Netherlands — home to ASML, which produces chipmaking equipment used in leading edge manufacturing.
Since the passage of the $280 billion US Chips and Science Act this summer, the Biden administration has stepped up its efforts to stifle China’s semiconductor industry.
Last fall, the US Commerce Department barred equipment vendors LAM research, KLA Corp, and Applied Materials from exporting their goods to Chinese chipmakers without explicit licensing.
In addition to denying access to chipmaking equipment, the Biden administration has also targeted Chinese chipmakers directly.
Last fall the Commerce Department added China’s largest memory manufacturer Yangtze Memory Technologies Company (YMTC) along with 35 other companies to its “Entity List.”
The move effectively banned the sale and export of US goods to these companies.
The Commerce Department has had some success cutting off Chinese access to foreign fabs and equipment vendors.
Under pressure from the US, the Dutch government blocked ASML from selling both its extreme-ultraviolet (EUV) and deep ultraviolet (DUV) lithography machines in China.
It’s unclear how ASML’s revenues could be affected by the decision.
The company’s China business accounts for roughly 15 percent of its annual revenues.
Some quick back-of-napkin math shows that cut off from the Middle Kingdom, ASML stands to lose more than $3 billion in annual revenues.
US sanctions have also hampered TSMC’s ability to do business with Chinese chipmakers.
Late last year, TSMC was reportedly forced to halt production of new GPUs for Chinese Alibaba and Biren because they exceeded performance limits set by US trade restrictions.
The US trade war against China certainly hasn’t been popular with TSMC.
During an industry event last month its CEO CC Wei complained that US efforts had hamstrung the company’s ability to do business.
His comments echoed those of TSMC founder Morris Chang who recently claimed globalization was on its last leg.
US sanctions are also expected to cost US equipment vendors billions in revenues over the next 12 months.
Following a ban on chipmaking equipment last fall, Lam Research warned investors that lost business in China would cost the company as much as $2.5 billion in revenues in 2023.
And in November, Applied Materials told investors US sanctions could end up costing the company as much as $2.5 billion in 2023, or about 10 percent of the company’s revenues in 2022.
http://www.capecharlesmirror.com/news/o ... ent-740832