US officials and business leaders stressed the need on Friday to encourage China, India, Brazil and other countries to increase their investments in the US as a means to create US jobs.
“In 2009 the United States attracted 12 percent of total global investment, down from 25 percent over a decade ago,” acting Commerce Secretary Rebecca Blank told US President Barack Obama’s Council on Jobs and Competitiveness.
“That’s despite having the world’s largest consumer market, a highly educated workforce, strong intellectual property protection and fluid capital markets,” she told the forum chaired by US Secretary of State Hillary Rodham Clinton.
“In the face of increased competition, we need to step up our game,” Blank said, adding that the US has a total of US$2.3 trillion in foreign direct investment.
“We need to show not only that we are open for business, but to use every tool in our tool box to attract it,” Clinton said.
Antonio Perez, a member of Obama’s jobs council as well as chairman and chief executive officer of the Eastman Kodak Co, echoed what he called a “troubling” trend in the US declining share of global investments.
“Even more troubling than that is the fact that out of the 12 percent, only 2.5 percent comes from the combination of Brazil, India and China,” he said, adding that “does not bode well for the future of this country.”
Jeffrey Immelt, chairman and CEO of the General Electric Co, who heads the jobs council, underlined the same concerns before a gathering of top US executives and those from US affiliates of firms based in other countries.
“Our direct investment from places like China, India, Brazil — the people that really have a hot hand today — are minuscule, almost non-existent,” Immelt said.
“And there’s no reason why those countries shouldn’t be investing more broadly in the US than they are today,” he told executives from Germany’s Daimler Trucks and Siemens AG, as well as France’s L’Air Liquide SA and others.
Executives of foreign-based firms said the US produced top-notch engineers, but needed to improve its workers vocational skills. They also complained of costly and complicated visas for non-American executives or skilled workers, rising healthcare costs for workers and declining infrastructure as competitive disadvantages.
“The fundamental question is, will America step up and invest in infrastructure, because that will bring jobs quickly,” said Peter Loescher, the American chief executive officer of Siemens.
Immelt said good infrastructure “adds productivity and it creates jobs and it creates competitiveness,” adding that Obama has taken the call seriously.
Immelt called on the US to step up to the mark.
“When you think about what Singapore does or what other countries do to attract investment in their countries, there’s no reason why we shouldn’t be a lot more aggressive and lot more competitive and a lot more welcoming and a lot hungrier, quite honestly, as a country,” Immelt said.
Softbank Group Corp plans to keep a stake in the chip designer Arm Ltd, even if it sells a partial interest to Nvidia Corp, the Nikkei reported. The companies are negotiating terms, the newspaper reported, citing sources. Softbank might take a stake in Nvidia after it buys Arm, the report said. Nvidia and Arm might also merge through a share swap, and Softbank would become a major shareholder in the combined company, it said. The two parties aim to reach a deal in the next few weeks, the sources said, asking not to be identified because the information is private. Nvidia is the
MOVING FROM CHINA? The article did not name the company, but Foxconn, Wistron and Pegatron were among firms chosen for a production-linked incentive plan in India An Apple Inc vendor is looking at shifting six production lines to India from China, which could result in US$5 billion of iPhone exports from the South Asian nation, the Times of India reported, citing people familiar with the matter who it did not identify. The establishment of the facility would create about 55,000 jobs over about a year, the newspaper reported, not naming the Apple vendor. It would also cater to the domestic market and expand operations to include tablets and laptops, the newspaper reported. Samsung Electronics Co and Apple’s assembly partners are among 22 companies that have pledged 110 billion
‘ONE-STOCK SHOW’: Turnover hit an all-time high as TSMC continued to determine the local market’s direction and surpassed Visa in market capitalization The TAIEX early yesterday hit an all-time intraday high on the back of soaring Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) shares, before tumbling back to the previous day’s close as the contract chipmaker could not single-handedly prop up the index. The TAIEX rose more than 400 points in the first 20 minutes of trading to hit a record 13,031.7 points, but later pared its gains to close down 0.01 percent at 12,586.73. Turnover was NT$343.252 billion (US$11.63 billion), the highest in the Taiwan Stock Exchange’s history. TSMC continued to dictate the market’s direction, as its early surge by the daily
Gold surged to a fresh record on Friday, fueled by US dollar weakness and low interest rates, while silver headed for its best month since 1979. Spot bullion is up more than 10 percent this month, as US real yields lingered near record lows. While the ferocity of rallies in gold and silver cooled in the middle of the week, most market watchers predict there might be more gains ahead. Both metals have added about 30 percent this year, with gold and silver exchange-traded funds boosting holdings to a record, as concern about the fallout from the COVID-19 pandemic fuels demand for