Crises at Boeing and Intel National Emergency

 

The two companies once set the standard for world class engineering and manufacturing. 

In the past five years the combined market value of the two has fallen by half.  

The U.S. is in a geopolitical contest with China defined not just by military power but economic and technological prowess. 

Leaders from both U.S. political parties say they are on the case, pushing for tariffs and subsidies.

The U.S. still designs the world’s most innovative products, but is losing the knack for making them.

At the end of 1999, four of the 10 most valuable U.S. companies were manufacturers. Today, none are. 

The lone rising star: Tesla, which ranked 11th.

Neither fell prey to cheap foreign competition, but to their own mistakes. Their culture evolved to prioritize financial performance over engineering excellence, which also brought down another manufacturing icon, General Electric.

Without Boeing, that business would go to Airbus and, eventually, China’s state-owned Comac, which is now delivering its own competitor to the 737 and Airbus’ A320, the C919.  

Greg Ip Wall Street Journal 21 October 2024

https://www.wsj.com/business/crises-at-boeing-and-intel-are-a-national-emergency-093b6ee5

Tillbaka till Wall Street och Stockholm 21 oktober 2024

https://englundmacro.blogspot.com/2024/10/wall-street-och-stockholm-21-oktober.html