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Why arent there any HI-FI mp3 players manufactured in the US?

post #1 of 7
Thread Starter 

Is it because of the cost of production or the lack of interest??

 

Your thoughts PLEASE!

post #2 of 7
Quote:
Originally Posted by AUDIOBREEDER View Post

Is it because of the cost of production or the lack of interest??

 

Your thoughts PLEASE!

 

There aren't any MP3 players, period, made in America, so far as I know. There isn't much in the way of electronics manufacturing stateside in general, in fact. 

 

The answer is comparative advantage. More can be made for less, and shipping is cheap. Production of larger items overseas is less common (there were attempts to do this by the American auto makers, but it's more costly to ship a car than an iPod). A lot of that moved back (or never moved overseas because after research, they found it wasn't worth it). Some is done in Mexico, because you don't have the high shipping cost. 

 

Look at BMW, their SUVs sell, like all trucks, better in the US than elsewhere (relatively speaking), and so they are produced in South Carolina. Whereas their cars have to be shipped, so you only see their more premium cars sold here (and at a higher cost) relative to Europe. 

 

We are also good at producing some things, and less good at others. It all comes down to costs. And it's not straight up labor costs, either. There are many things that factor in to the delivered cost of a product, cost of labor being one small part of that puzzle. In electronics, rare earth metals play a part in it as well.

post #3 of 7

I don't know... $1.50 an hour plays a major factor in the production of goods.

Foxconn Workers cranking out Apple products for $17 a day.

post #4 of 7
Quote:
Originally Posted by TrollDragon View Post

I don't know... $1.50 an hour plays a major factor in the production of goods.

Foxconn Workers cranking out Apple products for $17 a day.

 

Of course it plays a major factor, but so do a host of other things. It happens that, with electronics, everything aligns. They're small, easy to ship in bulk, a lot of the raw materials are already there, etc.

post #5 of 7

Very true, lots of factors work into the equation of China & Mexico's Assembly / Fab plants.

 

Besides you wouldn't want an MP3 player built by the major electronics manufacturers in the states... (Northrop Grumman, Raytheon, General Dynamics, Lockheed Martin) they would be the most wicked players around but the first off the line would cost you $25M biggrin.gif

post #6 of 7
Quote:
Originally Posted by TrollDragon View Post

Very true, lots of factors work into the equation of China & Mexico's Assembly / Fab plants.

 

Besides you wouldn't want an MP3 player built by the major electronics manufacturers in the states... (Northrop Grumman, Raytheon, General Dynamics, Lockheed Martin) they would be the most wicked players around but the first off the line would cost you $25M biggrin.gif

 

Hahaha, if I had the cash, maybe it would be worth it. I could fly to work in my MP3 player. And blow things up.

post #7 of 7

Some manufacturing in the US is highly automated though, so few workers are needed. Also keep in mind that the US has cheap natural gas, while energy costs in China are much higher. Shipping to the US from China is also getting much more expensive. Wages are going up rapidly  in China, which is why some manufacturing has moved from China to Vietnam and other lower wage countries.

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