View Single Post
  #20  
Old September 23rd 17, 04:13 PM posted to rec.bicycles.tech
Joerg[_2_]
external usenet poster
 
Posts: 6,016
Default Buying and Selling

On 2017-09-22 19:39, John B. wrote:
On Fri, 22 Sep 2017 16:20:17 -0700, Joerg
wrote:

On 2017-09-22 14:24, sms wrote:
On 9/22/2017 12:36 PM, Joerg wrote:
On 2017-09-19 19:44, sms wrote:
On 9/19/2017 6:52 PM, somebody wrote:

On 2017-09-19 07:06, wrote:

snip

Or the brake pads from China, $2/pair and free ship. As I have always
said the postage fees are grossly lopsided between Asia and the US and
that is one of the core reasosn for our trade deficit. Except that most
politicians (except manybe one ...) do not understand that.

It's an international reciprocal postal treaty that no one worried about
when it was mainly U.S. residents of Chinese descent sending packages to
relatives in China.


More than a decade ago tyat has changed, big time. How long does it
take for politicians to turn on their brains? Or for some of them, do
they even have one?

A long time when it's a treaty with hundreds of countries that's been in
effect since 1874.


Our elected leaders need to investigate deeper than that. For example,
when a country massively subsidizes its postal system to undercut sales
channels of another country that is in effect the same as dumping and
there are international laws against that.


But does China subsidize the mailing costs there?



I believe so. The stuff is handed to China Post in a Chinese city and
then directly addressed to me, with custosm label and all. Not bundled.
Sometimes it even comes airmail and is here in two days. For less than a
buck.


... As an example.
Mailing a letter in Thailand is 2 baht, about US$0.06, I read that the
same item in the U.S. costs more then eight times more expensive.


That's what I am saying. Low shipping charges (and I mean international)
also go for other Asian countries. I brought the Philippine example.


"Dumping", by the way is selling a product for less then the cost of
the item



That would be the case if the Chinese government subsidizes mailing
rates. Then they would provide a service for less that the real cost of
the service. Such subsidies can take many forms. One would be to absorb
the cost of pensions and other benefits that would normally have to be
covered by revenue from the service rendered.



The Universal Postal Union established that each country should retain
all money it has collected for international postage. In 1874, or even
1974, you did not have Chinese companies mailing low-value consumer
goods to other countries.


Now we do and if anti-dumping laws aren't effective against abuse we
need to modify those treaties. Just as is being done with NAFTA right
now, and for good reasons.


Of course other countries could reciprocally abuse it, but there aren't
many companies manufacturing low-value consumer goods and shipping them
to Chinese consumers.



It is not all about low value merchandise. To give you just one example:
A guy like me wants to build some electronics for his bicycles and then
find out "Oh rats, I am out of those buck switcher ICs". The guy is not
in a hurry because it's just hobby stuff. He looks at a domestic source
and finds out that the $0.50 parts are available but there will be hefty
shipping fees. Then he fires up EBay, Alibaba or whatever and .. voila
.. the same regulator ICs for roughly the same $0.50 but .. free
shipping. Then he needs a new light. $20. Plus another $12.95 shipping.
WHAT?! Goes on EBay or Amazon - finds Chinese vendor - $20 and free
shipping - ka-ching.

A few days ago while painting I realized that I need brushes that I can
cut and add an angle bracket to but where the tip is short. Not
available locally, web dealers wanted too much in shipping. Found them
in Hong Kong for less than $1.50 a pop and free shipping. So I ordered
- ka-ching. This is not good for domestic painting suppliers.

Multiply this by a gazillion cases and we have a problem.


Some time ago I did look into shipping from China, the port of
Shanghai to San Diego, and shipping for small volume goods is
extremely cheap as there are literally thousands of shipping agents
who specialize in "packing containers" which reduces the shipping
costs by a substantial amount. When I checked it was as low as $3/cu.
mtr. How many paint brushes, or whatevers, can you squeeze into 1
cubic metre?


Doesn't work that way. They arrive in the US in individually addressed
pouches, with China Post delivery confirmation.


As for paint brushes at $1.50 a pop, I can buy smallish paint, 1-1/2"
- 2" brushes here in a retail shop for less then US$1.50 so my guess
is that wholesale the cost is less than a dollar and shipping cost to
the U.S. is pennies.



There, but not here. I am about to go buy more paint. I'll take a look
at what brushes cost at the Sherwin-Williams store but I am sure it'll
be several times higher even though I only go there when the have a
30/40% discount event. Regular price for one (1!) gallon of their top
quality exterior paint is around a whopping $75 plus tax.

--
Regards, Joerg

http://www.analogconsultants.com/
Ads
 

Home - Home - Home - Home - Home