Remember this if you can ever justify spending money on a washer, dryer, fridge or AC again.China's commercial jet sale to GE seen boosting air force modernization
INSIDE CHINA By Willy Lam* East-Asia-Intel.com, November 7, 2008Chinese authorities have scored a breakthrough for the first generation of domestically manufactured commercial aircraft, an accomplishment that will have immense significance for the modernization of the PLA air force.At the on-going Airshow at Zhuhai, just a stone's throw away from Macau's casinos, the state-owned Commercial Aircraft Corporation of China Ltd. (COMAC) sold five ARJ21-700 jets to GE's aircraft leasing arm.
The sale was worth $750 million, and GE has an option to buy 20 more of the mid-sized aircraft, which hold up to 90 passengers.
Given that COMAC was set up earlier this year, the relatively small contract is a significant leap forward for China's entire civilian and military aircraft manufacturing establishment.
China's first home-grown ARJ21-700 regional jet "Xiang Feng" (Flying Phoenix) is unveiled at the Shanghai Aircraft Manufacturing Factory in Shanghai. KCNA/Reuters
COMAC Chairman Zhang Qingwei said the breakthrough was extraordinary because "it is the first time that an aircraft that is researched and developed by China is sold to the United States, such a high-end market."
COMAC General Manager Jin Zhuanglong pointed out that while the ARJ21 (Advanced Regional Jet for the 21st Century) was designed by Chinese engineers, the company adopted a "flexible" approach in buying parts and components, including engines and software, from suppliers around the world. It is understood COMAC had sought advice from Russian and European designers and engineers.
The deal with GE at internationally competitive prices will facilitate the sale of other COMAC products in less sophisticated markets in Asia, Africa and even Latin America.
China began co-production of aircraft with Pakistan several years ago. Particularly for China-friendly nations in developing regions such as Africa, Chinese authorities are willing to cut prices through means including co-production or licensed production in the buyers' home territories.
Wednesday, November 12, 2008
So Warren Buffet put $3 Billion into GE. Did they put it towards GE Capital and create business leases?
Read it and weep America
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2 comments:
Is this the same GE run by Jeffrey Immelt, last man to continue to do business with Iran even while they were killing our soldiers in Iraq? If so, does this really come as a surprise?
GE is the line of appliances my house came with 8 years ago. I have no confidence in this product line as the dishwasher was replaced 3 times within the first 2 years and the last replacement (at company cost) has needed repair a minimum of 4 times each year since. The frig/freezer has plastic shelves and plastic guides that crack and break frequently. I could go on and on and on. I will never purchase a GE appliance ever again.
This post confirms GE is not a company which holds the best interest of it's lifeline - the American consumer - as a top priority. GE can keep it's global 'interests' and shove it where the sun don't shine. . . permanently.
Goodbye GE.
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