Did Scott Walker and the Republicans Throw the Governors Race to Avoid Dealing With The Foxconn WEDC Contract Default?

The race for WI Governor was nearly too close to call, and while LT. Governor Rebecca Kleefisch said a recount would be demanded, that demand never came.

Walker considers seeking recount as Evers wins governor’s race by thin margin

Gov. Scott Walker’s hopes for a third term were dashed early Wednesday when vote totals confirmed Democratic challenger Tony Evers won the race.

Evers, the state’s superintendent of schools, claimed 49.6 percent of the vote to Walker’s 48.4 percent, an advantage of just 1.2 percent, according to unofficial totals. Third party candidates received the remaining handful of votes.

Walker had not conceded as of early Wednesday. He is considering calling for a recount, his running mate, Lt. Gov. Rebecca Kleefisch, said. Final totals would have to show the race within 1 percentage point for the race to be eligible for a recount.

More than 2.6 million votes were cast in the race decided by about 30,000 votes.

What happened? Did the Republicans just not get out the vote? Or did Republicans switch their votes to Evers – (or a little of both) because they knew the Foxconn WEDC Contract was in default somewhere between April and May 2018, because then Governor Scott Walker denied Corning Glass a requested subsidy which was essential for Foxconn to create the stipulated  Generation 10.5 TFT/LCD fabrication facility and supporting operations.

Here is what the WEDC contract stipulates:

And in order for Foxconn to build that facility, it would require the addition of a nearby supplier of the glass – and Foxconn asked Corning Glass if they would be interested. Of course, Corning Glass was interested, but only if they too received a generous subsidy from Governor Scott Walker and State of WI.

Corning CEO says Foxconn glass plant would have to be subsidized

Walker, Hogan have said state does not plan to offer incentives to Foxconn suppliers

“In Wisconsin we’re not building a factory. You can’t use a factory to view our Wisconsin investment,” Louis Woo, a special assistant to Foxconn chairman Terry Gou and a key negotiator in the Wisconsin deal, told Reuters.

Bloomberg reports that Woo said there were no plans to scrap the facility altogether but that the company was reconsidering what operations might be best for the site.

Woo told Reuters that Foxconn couldn’t compete in the US TV market if it used domestic labor to build LCD panels — something that outside commentators have previously noted. “In terms of TV, we have no place in the U.S.,” said Woo. “If a certain size of display has more supply, whether from China or Japan or Taiwan, we have to change, too.”

Foxconn was given exemptions from environmental regulations and subsidies worth $4.1 billion to create manufacturing jobs in Wisconsin. However, ever since the flurry of publicity with which the deal was announced (including a photo-op with President Trump, former Wisconsin Gov. Scott Walker, and Gou breaking ground on the new site), the terms of the arrangement have been continually downsized. It’s not clear how much further they may be changed.

With Foxconn deciding to “Opt Out” of funding the required Billion Dollar investment in the Corning Glass manufacturing facility, Corning Glass turned to then Governor Scott Walker and asked for the Subsidy. Walker said – “NO” – thus effectively killing the project on May 1, 2018, placing the WEDC contract in default.

Foxconn: Top official says Wisconsin will not provide glass-maker new financial incentives

ADISON – The state won’t provide any new taxpayer subsidies to lure a key glass supplier to Foxconn to locate in southeastern Wisconsin, the state’s top jobs official said Tuesday. 

In an interview, the head of the Wisconsin Economic Development Corp. said state taxpayers have maxed out on their contribution to the Foxconn project, including related businesses such as Corning Inc., which could bring hundreds of additional jobs to Racine County. 

WEDC Chief Executive Officer Mark Hogan said that the state had already done all it needs to do to win those jobs by offering billions of dollars in incentives to Foxconn Technology Group of Taiwan. Foxconn could share those incentives with Corning and other suppliers, but the state would not expand these subsidies to get jobs that were part of the original deal and analysis done last year, he said. 

Hogan made his statements after Corning’s CEO had said his company would need additional help from Foxconn or another source before coming to Wisconsin. 

That’s it – end of story.

Former Governor Walker and his Administration made the call to allow Foxconn to default on the WEDC contract. At that point, the operations currently in progress at Mount Pleasant, Caledonia, and Racine County should have ceased, immediately. But oddly enough, they didn’t, while public officials such as Racine County Executive Jonathon Delagrave and Mount Pleasant Village President David DeGroot lied and claimed “The Project” was really going to happen.

This is what the Politicians promised the People:

This is what the Politicians have delivered (never mind the $1,000,000,000 or more in debt):

And the above building, is a “Trade Secret”! Possibly part of a crime scene, or perhaps just the Scott Walker Memorial Field of Dreams.

Foxconn wins approval of building plans that it has labeled ‘trade secrets’

Foxconn Technology Group has received conditional state approval to begin building the footings and foundations for its promised flat-screen factory in Mount Pleasant.

The Wisconsin Department of Safety and Professional Services issued the go-ahead last week on initial plans for the much-awaited project, documents released Monday show. Foxconn will need to return to the agency for review of plans for further construction.

The plans for the footings and foundations, meanwhile, remain under wraps. Foxconn contends the documents are confidential trade secrets, which are exempt from public disclosure under Wisconsin law, Brennan Nardi, communications director for the Department of Safety and Professional Services, said by email.

The department will ask Foxconn to back up its assertion that the plans are trade secrets, and, after receiving the response, determine whether the plans can be made public.

Meanwhile, Mount Pleasant Residents are beginning to feel the sting from the Foxconn default, as noted by A Better Mount Pleasant:

Meanwhile, most WI based Mass Media continues to obfuscate the real reason why “The Project” failed and the Republican Treasonous Traitors continue to scapegoat WI Governor Dr. Tony Evers. It is to be expected.

The fact remains that as of May 1, 2018, former Wisconsin Governor Walker killed the Foxconn Project, and the desperate Republicans  (likely) decided to throw the election in order to run away and fight another day.

   

One more $BILLION – and The Project would have happened – blame Scott Walker and the Republicans for the Foxscam Failure.

More problems for Scott Walker’s corrupt WEDC – Breaking news:

Audit finds ongoing problems with WEDC, tax credits for jobs created in other states

Wisconsin’s economic development agency that negotiated the state’s deal with Foxconn Technology Group continues to have a host of problems with how it tracks job creation and awards given to companies, an audit released Friday found.

The report from the nonpartisan Legislative Audit Bureau examined the Wisconsin Economic Development Corp., a quasi-private agency created under Republican former Gov. Scott Walker that is in charge of job creation efforts in the state.

The agency, known as WEDC, has struggled since its creation in 2011 on a number of fronts, including recovering loans made to companies that don’t meet contractual requirements. It has been in the political crosshairs for years and remains a focus because of the Foxconn deal. Under that agreement, the Taiwan-based electronics manufacturer could receive more than $4 billion in state and local tax credits if it invests $10 billion and creates 13,000 jobs in Wisconsin.

The audit covered July 2017 through December 2018, just before Evers took office and during the time when the Foxconn deal was reached.

The audit said that only about 35% of required jobs had been created by recipients of 68 tax credit and loan awards through the fiscal year that ended in June 2018. The report said WEDC could have required loan recipients to repay $4 million and $414,000 in previously awarded tax credits.

That money could have been used to support other projects, the audit said.

The report also said WEDC awarded $462,000 in tax credits for creating jobs to one unnamed recipient that actually lost 17 jobs.

WEDC also doesn’t know exactly how many jobs were created or retained as a result of awards that had ended because it did not collect enough information from recipients, the audit said. Between 2011 and 2018, 436 awards totaling nearly $131 million ended.

The audit also faults WEDC for not consistently complying with state laws and its contracts because it awarded tax credits to recipients that created or retained jobs filled by people outside of Wisconsin or who were not state residents.

 

It cited one example in which an unnamed recipient received $61,100 in tax credits for creating 261 jobs filled by people who lived in 36 states, none of which were even contiguous to Wisconsin.

 

Addendum:

Does a NOTICE of DEFAULT exist, issued either by WEDC or FOXCONN? It seems likely, as Foxconn contacted WI Governor Dr. Tony Evers with a request to renegotiate the defaulted contract. From the WEDC Contract:

 

 

 

 

Advertisements

A Desperate Foxconn and State Rep Robin Vos Now Seek To Renegotiate the WEDC Contract Which is Currently in Default

From Madison’s Very Own Wisconsin State Journal:

Tony Evers says Foxconn, not his administration, first sought to revisit deal with state

“An executive for electronics maker Foxconn first suggested revisiting the company’s $3 billion state incentive deal to reflect the company’s “evolving project” in Wisconsin, according to a letter written and released Tuesday by Gov. Tony Evers.

Also Tuesday, the CEO of the Wisconsin Economic Development Corp. defended the state’s deal with Foxconn as a “solid contract” and said the company’s changes to its plan for Wisconsin don’t require that it be revisited.

Both developments follow Evers’ acknowledgement last week that his administration will work with Foxconn to revisit the deal.

The Evers letter to Foxconn executive Louis Woo says Woo, at a meeting with Evers last month, indicated “Foxconn intends to suggest several changes to the existing agreement to better align the terms with the evolving project and global marketplace.”

The letter says Foxconn will submit its proposed changes to the deal in coming weeks. Evers wrote that “to my knowledge, this was the first time either Foxconn or the State of Wisconsin had mentioned amending or changing the agreement.”

Evers added GOP legislative leaders were told of Woo’s suggestion that same day.

In a statement, Foxconn officials said the company “has never wavered” from its commitment to create 13,000 jobs, but added it remains “open to further consultation, collaboration, and new ideas.”

“As part of our ongoing, long-term investment in Wisconsin, we have conducted both routine engagement and good faith discussions with the Evers Administration regarding areas of flexibility within the existing agreement to ensure the company and our workforce will be positioned for long-term success,” the Foxconn statement said.”

Foxconn’s decision to build a Gen  6 Manufacturing Facility does NOT meet the requirements of the WEDC Contract which requires a Gen 10.5 manufacturing facility . Therefore, the contract is in default, and Foxconn is not eligible for any benefits!

From Cap Times:

Foxconn says it will build Gen 6 factory in Wisconsin, Gov. Tony Evers ‘comfortable’ with commitment

After a week of headlines raising questions about Foxconn’s plans for Wisconsin, Gov. Tony Evers said Friday he is comfortable with the technology company’s commitment to the state. 

“Frankly I think what they said recently has been relatively consistent, it’s just a matter of their communication strategy being more consistent,” Evers told reporters in the state Capitol. “I’m comfortable that they’re still committed to the state, they’re still committed to this Generation 6 technology, but that doesn’t mean we won’t continue to encourage them to be more transparent and more consistent.”

Shortly before Evers’ comments, Foxconn Technology Group said in a statement that it will move forward with plans to construct a Generation 6 facility in southeastern Wisconsin. So-called Gen 6 factories generally produce small LCD screens for cell phones, tablets and small televisions. 

 

Although Foxconn originally billed its planned Wisconsin facility as a Generation 10.5 LCD plant, the company has said since last year that it will instead start by building a smaller Gen 6 plant. Foxconn executive Louis Woo has said the company’s southeastern Wisconsin campus will be built in a phased approach. 

Evers said he and Woo spoke Friday morning and Woo reiterated the company’s commitment to a Gen 6 plant. 

In its statement, Foxconn credited “productive discussions between the White House and the company” and “a personal conversation between President Donald J. Trump and Chairman Terry Gou” with its decision to move forward with its Gen 6 plans.

Wisconsin Gov. Scott Walker pauses as he speaks at a news conference Monday, Sept. 21, 2015, in Madison, Wis., where he announced that he is suspending his Republican presidential campaign. (AP Photo/Morry Gash)

Building a Gen 6 Manufacturing Facility is a violation of the WEDC Contract which stipulates a Gen 10.5 Manufacturing Facility, and therefore Foxconn is in default and is not eligible for taxpayer funded payments or subsidizes.

WI Governor Doctor Tony Evers is an educated person, unlike Ruffians and Scofflaws such as State Representative Robin Vos, Racine County Executive Jonathan Delagrave, MTP Village President Davis DeGoof, and City of Racine Mayor Cory Mason – he simply expects the beneficiaries of a negotiated contract to fulfill their promises.

FOXCONN HAS FAILED TO ADHERE TO THE STIPULATED CONDITIONS OF THE WEDC CONTRACT!

Thus, the WEDC contract is NULL AND VOID!

And thus, Foxconn desperately seeks to re-negotiate the contract!

From the WEDC Contract:

Concerned taxpayers can download the complete WEDC Agreement by clicking on the following link: 1109wedcfoxconn

While State of WI Dr. Tony Evers letter to Foxconn states, as follows:

Complete Letter of  Wisconsin  Governor Dr. Tony Evers available by clicking on the following link: Dr. Tony Evers Letter

 

Desperate Republicans seek to change the terms of the “ironclad” Scott Walker WEDC agreement of a guaranteed Gen 10.5  manufacturing facility to fit the  Foxconn scaling down of the contract to a Gen 6 manufacturing facility, in violation of the agreed upon terms. This is simply not acceptable, and must be resisted. Already Taxpayers in MTP are being asked to pay more for the Foxscam Management scheme –

From JT:

AS foretold, and coming to fruition:

MOUNT PLEASANT: Firm proposes 25% hike for Foxconn Project management

MOUNT PLEASANT — The consulting company that provides Mount Pleasant with the project manager who oversees Foxconn matters is requesting a nearly 25% increase in its contract with the village.

Milwaukee-based Kapur and Associates, which employs Foxconn project manager Claude Lois, has been getting paid $20,000 per month for nearly the last two years, equaling $240,000 per year. With the contract up in August, Kapur is requesting to be paid $24,000 per month — $288,000 per year.

Meanwhile….

Dear Village Board,

I see that the Foxconn dividend is paying off for Claude Lois to
manage Foxconn, while costing taxpayers more!

MOUNT PLEASANT — The consulting company that provides Mount Pleasant
with the project manager who oversees Foxconn matters is requesting a
nearly 25% increase in its contract with the village.

Milwaukee-based Kapur and Associates, which employs Foxconn project
manager Claude Lois, has been getting paid $20,000 per month for
nearly the last two years, equaling $240,000 per year. With the
contract up in August, Kapur is requesting to be paid $24,000 per
month — $288,000 per year.

https://journaltimes.com/news/local/mount-pleasant-firm-proposes-hike-for-foxconn-project-management/article_24b57fd4-446b-538c-9315-51a77243f882.html#tracking-source=home-top-story-1

This is just the first in a series of steep and disastrous tax hikes
which will occur in MTP and Racine County as the Foxscam has changed
again. Since Foxconn’s change in plans to build a Gen 6 Plant is a
violation of the terms of their WEDC contract, which stipulates a Gen
10.5, from page 4 of the contract, which is attached for your viewing,
Foxconn is now desperate to change the WEDC contract, while desperate
Politicians like State Rep Robin Vos, Racine County Executive Jonathan
Delagrave and MTP President Dave DeGroot will ignore the actual terms
of the contract and focus on “employment”.

From JT:

The Evers letter to Foxconn executive Louis Woo says Woo, at a meeting
with Evers last month, indicated “Foxconn intends to suggest several
changes to the existing agreement to better align the terms with the
evolving project and global marketplace.”

The letter says Foxconn will submit its proposed changes to the deal
in coming weeks. Evers wrote that “to my knowledge, this was the first
time either Foxconn or the State of Wisconsin had mentioned amending
or changing the agreement.”

https://journaltimes.com/business/local/evers-says-foxconn-not-his-administration-first-sought-to-revisit/article_0cce4741-3147-5210-a87e-8ac89bb53d9e.html#tracking-source=home-top-story

Charlatans and scofflaws – ALL of you!

BOHICA MTP and Racine County Residents for more taxes and fees!

Sincerely,

Tim & Cindy

Foxconn’s demands are Unacceptable.

Only Terrorists demand to renegotiate ironclad contracts executed in good faith.

It is time to end the State Sponsored Terrorism of the failed and costly Politically induced Foxscam Failure. 

 

 

 

 

 

The Foxconn “Long March” Experience in Brazil

Foxconn, known also as Hon Hai Precision Industry Co., Ltd., is among the biggest manufacturers of electronic equipment in the world. The following infographics presents some vital information about this company.

Foxconn is originally a Taiwanese company, but its production bases are spread around the world. It has its facilities in many countries, including China (around 1 mln workers), Brazil, Mexico or Malaysia. Major clients of Foxconn are HP, Nintendo, Microsoft, Google, Apple and Amazon.

The largest factory of Foxconn is located in Longhua, Shenzhen, where more than 230 thousand workers live in their own separated city, with every kind of necessary infrastructure. The company is also the biggest private employer in China. Recently, it started to develop its production base in another growing smartphone market: in Brazil.

https://www.examinechina.com/blog/foxconn/

Let us examine the recent Foxconn Experience in Brazil:

April 13, 2011:

iPhone-maker Foxconn considers $12 Billion Brazil expansion move

Foxconn factory_Foxconn set on $12 Billion Brazil expansion move

Foxconn factory_Foxconn set on $12 Billion Brazil expansion move (image courtesy ibtimes.com)

The Taipei-based Taiwanese company, Foxconn, popularly known for being Apple’s iPhone and iPad maker, is considering spending around $12 billion over five to six years towards expanding by setting up production facilities in Brazil.

This information, regarding Foxconn’s intentions, was released in a statement made by Dilma Rousseff, Brazil’s President. If this comes through, Foxconn’s expansion move to Brazil would constitute the Taipei-based company’s overseas biggest investment.

In addition to Apple, Foxconn currently also manufactures products for other tech giants like HP and Dell.

South American Tablet-makers Paradise

“Make South America’s biggest economy Brazil a global tablet-production hub” is what the Brazilian Government seems to be thinking, given the tax incentives announced by the Government for tablet-manufacturers.

Aloizio Mercadante, Brazil’s Science and Technology Minister said in Beijing that Foxconn’s planned facility would go a long way in employment generation, by creating over 100,000 jobs. HE further added that to go ahead with the proposed expansion plans, Foxconn would need state infrastructure guarantees such as energy supply, broadband Internet and access to airports.

The tax breaks announced by Brazil for tablet manufacturers are also being put to good use by domestic companies.

According to reports, MXT, a Brazilian electronics producer based in Betim, Minas Gerais, started manufacturing the first Brazil-based tablet in February and is likely to expand production after the tax incentives take effect.

A Visit to Foxconn’s Not-So-Secret iPhone Factory in Brazil [Exclusive]

A view of Foxconn's new iPhone plant. Photo: Alessandro Salvatori, Blog do iPhone.
A view of Foxconn’s new iPhone plant. Photo: Alessandro Salvatori, Blog do iPhone.
Jundiaí, Brazil – Foxconn’s iPhone and soon-to-be iPad factory about 45 miles north of Sao Paulo is an open secret; despite all the conjecture, it’s exactly where it’s supposed to be and three curious reporters had no problems poking around.On Oct. 31, the Brazilian telecommunications document agency ANATEL issued the OK for Foxconn to start producing mobile phones for Apple. Although the government started talks for a Foxconn plant back in April 2011, this was the first official document wedding Apple’s name with Foxconn in Brazil.

January 31, 2012

Foxconn to set up five manufacturing facilities in Brazil, each employing 1,000 workers [UPDATE: Foxconn denies]

Apple and Foxconn are continuing to work on bringing that $12.5 billion iPad plant in Brazil online (there have been no iPads “Made in Brazil” seen yet, unlike iPhones). Meanwhile, the country’s Secretary of Planning and Development of the State of São Paulo Julio Semeghini revealed today that Apple’s favorite contract manufacturer will build up to five factories in Brazil with a thousand employees each.

According to a local report by Folha.com, Foxconn of Taiwan (also known as Hon Hai Precision Industry Co.,) will leverage the additional plants to build notebooks and PCs, electronic components, connectors, batteries and precision machine elements. The plants should be located in Jundiai; São Paulo and business negotiations will resume when the Chinese New Year wraps up, according to the secretary.

The development could indicate plans to assemble an even greater portion of Apple products in Brazil, not just iPads and iPhones. Even so, poor machine-translated text suggested the secretary said, “The parts produced here will also help in the assembly of Apple products,” as “the company starts to import kits for assembly in Brazil iPad and iPhone.”

Foxconn already burned an estimated $300 million during the 2010 to 2011 timeframe on the Jundiai, São Paulo plant that is expected to employ 1,400 people assembling iPads. Why is Apple moving manufacturing to Brazil? Tax incentives. News of Foxconn’s expanding operation in Brazil arrives as Apple finds itself lambasted left and right for not bringing overseas jobs to the United States. More worrying than this, however, Foxconn and Apple both found themselves under fire for unfair labor practices and grueling working conditions at the former’s manufacturing facilities in China. But in spite of difficult working conditions, thousands prospective employees recently lined up to apply for the positions at Foxconn’s plants in China. Contrasting this, consumer group SumOfUs said over 35,000 people signed their “Stop Worker Abuse” online petition in just 24 hours.

April 12, 2012

New Address Of Foxconn In Brazil: Steve Jobs Avenue

As someone who truly walked the path, Steve Jobs would be pleased to know that his name is being honoured through an avenue that was named after him in the city of Jundiaí, southeast Brazil. The ‘Steve Jobs Avenue’ (Avenida Steve Jobs, in Portuguese) was first formulated and presented as a bill last October, one day after Jobs’ passing, and approved by Jundiaí’s city council on March 27.

Previously named after Miguel Moubadda Haddad, a former mayor of Jundiaí, the avenue is one of the routes that connects Jundiaí to São Paulo. It’s also the address of Foxconn in Brazil, the Taiwan-owned company with giant assembly facilities in mainland China that supply much of Apple‘s most popular products. Foxconn already produces iPhones in Jundiaí and they are already planning to soon start making iPads there.

Forbes’ Kenneth Rapoza explains why:

Brazil’s first place finish is due to its high tax load and import tariffs. When Apple goods are imported, the importer is charged a transaction tax known as ICMS, then social security taxes of around 9%, plus industrial production taxes, and on top of that, import duties. Then there is the famous logistic bottlenecks of shipping iPads and iPhones from the South and south-eastern ports to the cities a few hours away, at least, by truck.

That could change in the future, as the Foxconn subsidiary in Jundiaí is expected to reduce product costs and turn Brazil into a hotspot for exports in Latin America of the Brazilian made Apple devices.

April 26,2012

Foxconn Brazil workers reportedly threaten strike over working conditions

Factory workers at a Foxconn plant in Jundiaí, Brazil are complaining of overcrowded buses, poor food and a lack of water and have threatened to strike unless the issues are resolved by May 3.

According to a report by Brazil’s Tech Guru (Google Translation), over 2,500 Foxconn employees have complained about conditions at the factory. Workers reportedly met last Monday to raise the concerns and have given the company 10 days to address them.

Problems at the factory have been exacerbated by the recent hiring of more than a thousand employees. Foxconn was said not to have increased its transport infrastructure with the new hires. The company reportedly had to hire water trucks to bring in water for its employees.

A representative for the employees was optimistic that an amicable solution could be reached with Foxconn without resorting to a strike.

Foxconn Brazil workers

September 20, 2012

Foxconn invests more in Brazil

MAJOR EMPLOYER:The company has hired 6,000 Brazilians and plans to raise that to 10,000, and is spurring the development of an electronics manufacturing center

Foxconn Technology Group (富士康科技集團) yesterday said it planned to spend 1 billion reais (US$494 million) to build new factories in Brazil that will be tasked with manufacturing Apple’s iPhones and iPads, among other electronic components, making it the group’s latest overseas investment.

The announcement came 15 months after group chairman Terry Gou (郭台銘) revealed that Foxconn was in talks with Brazil’s government to build factories to make tablet computers.

Gou said the group would collaborate with its clients in search of new growth in emerging markets such as Brazil, Russia and South Africa, which is part of the group’s five-year program to spur growth.

With the 1 billion reais investment, Foxconn will open five factories in an industrial park in Itu, a city near Sao Paulo, said Simon Hsing (邢治平), spokesman of Foxconn’s flagship company Hon Hai Precision Industry Co Ltd (鴻海精密).

The new facilities are scheduled to crank out their first batch of products in 2014 and are expected to reach full capacity by 2016, Foxconn said, confirming a report by the Agencia Estado news agency on Tuesday.

Foxconn said it also planned to manufacture cables, cameras, touch-sensor glass, LED products, printed-circuit boards (PCBs) and other components.

The investment will create 10,000 jobs, Gou told shareholders, adding that Foxconn had already hired about 6,000 workers in Brazil.

Foxconn now assembles Apple products at a plant in Jundiai and operates four other plants in Sao Paulo and three plants in other states of the Latin American country.

Foxconn’s Brazil unit chief executive officer Henry Cheng (鄭家純) is set to sign a memorandum of understanding with Luciano Almeida, president of Investe Sao Paulo, at the Palacio dos Bandeirantes, Hsing said.

Investe Sao Paulo is the gateway for foreign companies that intend to settle their operations in the state of Sao Paulo. Hsing said the technology group would not benefit from special tax incentives from the state government of Sao Paulo.

Gou said in June last year that he was in discussion with the Brazilian government to help the country build a technology center and build an electronics supply chain. He said 14 Taiwanese companies, including Acer Inc (宏碁) and Asustek Computer Inc (華碩), had agreed to join this program.

September 29,2014

Victory for Foxconn workers in Brazil

Workers at Foxconn’s second plant in Jundiaí, Brazil have succeeded in attaining the same salary and career opportunities as employees in the company’s other major plant in the city.

The victory came in a deal between Foxconn and the Metalworkers Union of Jundiaí following a five-day strike involving 3,700 workers.

The implementation of the new salary structure will take a year to be finalized, but from September 2014 workers at plant two will get an equal wage to those working in plant one.

Foxconn, a Taiwanese electronics multinational, has also agreed to give the workers full pay for the period of the strike, which ended on 18 September.

Foxconn launched its largest factory in Brazil in Jundiaí in 2007. The site specializes in manufacturing computers, notebooks and motherboards. In 2011, the company opened its second production unit in the same city, which is the only facility outside China to assemble iphones and ipads for Apple.

April 13, 2015

Foxconn angers Brazilian officials with slow manufacturing ramp-up

Taiwanese contract manufacturer Foxconn, one of Apple’s closest partners, is under fire in Brazil as officials in the South American nation are displeased with the company’s slow rate of progress on what was initially sold as a major investment to modernize the Brazilian manufacturing industry.

Foxconn Brazil

Foxconn’s Jundiai, Brazil manufacturing plant

While some believed that Foxconn’s 2011 expansion to Brazil would bring as many as 100,000 jobs and $12 billion in capital investment, the company currently has fewer than 10,000 employees in its 5 Brazilian factories, according to Reuters. One of those facilities is reportedly dedicated to production of Apple’s iPhone 5s.Despite a public commitment to invest at least $325 million in a new industrial park in Itu, outside of São Paulo, the site is not yet operational, though Foxconn did say it should come online by the end of 2015. The lack of headway has been cause for consternation among city officials.

“People are really frustrated,” Itu city councilor Givanildo Soares da Silva said. “We were expecting all these jobs by now and it’s still just empty promises.”

Of the jobs that Foxconn has brought, many pay little more than minimum wage. Acceptance testers at the Brazilian iPhone plant, for example, bring home just $80 per week and lack access to the same training and advancement opportunities that their counterparts in Foxconn’s Chinese facilities receive.

Workers have held at least three strikes at the iPhone factory, and a union representative said they were planning another. Such labor flare-ups have angered Foxconn founder Terry Guo, who infamously slammed Brazilian labor in 2010.

And…

Brazil’s iPhone investment falls short on promises of jobs, lower prices

When Taiwan’s Foxconn Technology Group agreed in April 2011 to make Apple products here, President Dilma Rousseff and her advisers promised that up to $12 billion in investments over six years would transform the Brazilian technology sector, putting it on the cutting edge of touch screen development. A new supply chain would be created, generating high-quality jobs and bringing down prices of the coveted gadgets.

Four years later, none of that has come true.

Foxconn has created only a small fraction of the 100,000 jobs that the government projected, and most of the work is in low-skill assembly. There is little sign that it has catalyzed Brazil’s technology sector or created much of a local supply chain.

The iPhones now rolling off an assembly line near São Paulo, the only ones in the world made outside China, carry a retail price tag of nearly $1,000 for a 32-gigabyte iPhone 5S without a contract – among the highest prices in the world and about twice what they sell for in the U.S.

That Brazil has so little to show for the Foxconn investment underscores the shortcomings of its industrial policy, defined by costly tax incentives that have driven a widening government budget deficit without spurring growth. The economy currently hovers close to recession and the productivity of Brazil’s workforce is stagnant.

June 22, 2017

Foxconn set to discontinue Brazil manufacturing operations

The firm appears to be giving up on the country following promises of $12bn investment.

Foxconn is set to cease its manufacturing activities in Brazil, according to sources close to the Taiwanese company.

The company’s staff have been working on shutting down the facility located in Jundiaí, a city in the metropolitan region of São Paulo, and assisting on the deactivation and sale of machinery, according to Brazilian business magazine IstoÉDinheiro.

Foxconn had a second facility in the same business park, which is already empty. The idea is to only keep a limited local set-up intended for parts replacement and maintenance, according to the article.

The news Foxconn is stopping its manufacturing activities in Brazil is a far cry from all the noise the firm caused a few years ago: back in 2011, the company had pledged to invest $12bn in the country and create 100,000 local jobs within six years.

AND

Foxconn plans to leave Brazil

Back in 2011, Foxconn promised to create 100,000 jobs in Brazil within six years, also pledging to invest no less than $12 billion in the country. However, the company also required 30 percent of that sum from the Brazilian government, and to bring in a private investor as well. Sadly, both failed to materialize, and now Foxconn is close to shutting down its manufacturing facilities in Brazil for good.

According to the local press, the facility located in Jundiai is shutting down, and the machinery is being deactivated and sold. Another Foxconn facility in the area is already empty, and it seems that Foxconn will only keep a small set-up for parts replacement and maintenance.

When contacted by ZDNet, Foxconn declined to comment. However, insiders familiar with the matter confirmed that Foxconn is getting ready to shut down all its manufacturing operations in Brazil. On the other hand, they told the local press they have no plans to downsize.

2017

Foxconn’s Long Con

adafruit_2592

Foxconn CEO Terry Gou and President Trump recently announced a plan to bring 3,000 jobs to Wisconsin at what appears to be a flat screen manufacturing plant.

The political press ate it up, alternatively excoriating the program for costing too much in tax breaks and crowing a win for Wisconsin’s conservative governor, Scott Walker.I wouldn’t encourage either party to hold their breath.

Gou is in the habit of promising big and rarely delivering. Four years ago business journals crowed about a plan to bring a Foxconn flat screen manufacturing plant to Pennsylvania in 2013. The result? Foxconn opened an empty office in Harrisburg and nothing further has been done.

This behavior is not new. Foxconn has signed letters promising to build factories in Indonesia (2013), Vietnam (2007), and Brazil (2011). None of these were completed according to the original pie-in-the-sky spec. Reuters had this to say about the Brazil adventure:

When Taiwan’s Foxconn Technology Group agreed in April 2011 to make Apple products here, President Dilma Rousseff and her advisers promised that up to $12 billion in investments over six years would transform the Brazilian technology sector, putting it on the cutting edge of touch screen development. A new supply chain would be created, generating high-quality jobs and bringing down prices of the coveted gadgets.

Four years later, none of that has come true.

Foxconn has created only a small fraction of the 100,000 jobs that the government projected, and most of the work is in low-skill assembly. There is little sign that it has catalyzed Brazil’s technology sector or created much of a local supply chain.

The current Wisconsin deal involves a $10 billion investment by Foxconn and a planned tax abatement of “$200 million to $250 million a year for up to 15 years.” This amounts to a taxpayer cost of $230,000 per worker – if Foxconn keeps hiring.

Trump, for his part, is as optimistic as he was when he tried – and failed – to save jobs at Carrier.

“I’d see Terry and say, ‘You’ve got to give us one of these massive places,” he said. “If I didn’t get elected, he definitely wouldn’t be spending $10 billion.”

But politics isn’t a business. Foxconn is in the business of making and shipping products from its massive factories in China. It is not in the business of helping beleaguered economies. End of story. They are more than happy to explore employee investment, robotic assembly lines, and amazing manufacturing techniques in Shenzhen and will pay lip service – but never really come through – on expansion if it suits the company politically. I realize this is a cynical view especially when there are midwestern jobs on the line, but it’s something that Wisconsin and Walker will need to face.

It makes no economic sense to build massive factories in Wisconsin if the export taxes and other assorted costs are wildly higher in the U.S. than they are in China, further, rural Wisconsin would never be able to support anything like the 200,000 employees housed at some Foxconn facilities. Finally, human manufacturing is shrinking while the use of industrial robots is rising. This means you could run a massive factory with fewer workers and each of those workers would need a higher education to manage the intricacies of a robotic assembly line. None of this is addressed in the proposal and I suspect, soon, it won’t really matter.

“It’s not a promise. It’s a wish,” said Gou in January when the idea of a US factory was first floated. I worry that this announcement, too, is a “wish.” Either way, Foxconn – and not the state – wins.

October 20, 2018

Don’t Be Conned by Foxconn

From The Progressive: An illustrated journey into the dark heart of a really bad deal.

This piece will appear in print in the next issue of World War 3 illustrated magazine, NOW is the time of MONSTERS: A graphic discourse on predatory capitalism, available November from AK Press.

666

Otis Redding performs the aptly named song  Shama Lama Ding Dong – for the Tools and Fools who govern SE WI. PARTY ON! MTP President David DeGoof!

666

Hey – SE WI! You’ve been Fox-Scammed!

Let’s Do the Math

From a Better Mount Pleasant: https://www.facebook.com/abettermtpleasant/

MESSAGE FROM VILLAGE PRESIDENT
Seasons Greetings!

This year, we’ve continued our work to move the transformational Foxconn project forward and have celebrated numerous milestones. Site preparation and utility and road work is underway, as is vertical construction on the first of many buildings on what is becoming the Wisconn Valley Science and Technology Park. We are already seeing the positive results of Foxconn’s investment in our community, including new jobs and business for local companies, increased opportunities for area residents who have been connected with employment and training and the announcement of significant new developments right here in Mount Pleasant.

The medical segment has certainly taken notice of us with expansion announcements from Ascension, Aurora and Froedert South. The Lake Park bluff erosion project was completed and will go a long ways towards protecting vulnerable residents as well as Village infrastructure. The Pike River pathway is nearly completed, which is a wonderful quality-of-life enhancer.

Many thanks go to our incredibly talented Village staff for the amazing work they have done this past year. This is the first full year on the job for Administrator Murphy, and we recently extended her contract. With her help, we have changed the face of Mount Pleasant. We have filled key staff positions of Finance Director and a new Accountant. Our books are balanced and our budget was approved with a drop in the Village tax rate portion of our tax bill. The goal is always to balance the needs of the Village with what our taxpayers can afford. We have added a new Human Resources Director, and adopted a pay plan and performance review process. We have bolstered the ranks of our protective services with new hires.

On behalf of the Village Board, best wishes for a happy and prosperous 2019.

David DeGroot
Village President

So according to MTP Village President, along with many other SE Wisconsin and Racine County Residents – Foxconn will employ 13,000 people being paid an average of $53,000 per year.

13,000 employees times $53,000 = $689,000,000 – per year!

So what is the price point which Foxconn must sell those LCD TV’s at  to at least break even? (This does not take into consideration WI tax credits or Pollution credits) Foxconn’s  actual cost to produce LCD TV’s is not able to be determined at this time – so we will have to deal with raw numbers – based upon projections provided by MTP Village President David DeGroot…..

Let us assume a price point of $250 per LCD TV – does that sound reasonable?

So we have 13,000 employees times $53,000 = $689,000,000 – per year divided by $250 LCD TV’s sold annually. Remember that this amount does not allow for profit – or consider what is the actual price point at which Consumers can afford to purchase the LCD TV’s in the quantity required to be produced…..

Which comes to: 2,756,000 TV’s which must be sold annually. But we still haven’t actually determined the cost to manufacture the LCD TV’s due to the cost of raw materials and production. Along with distribution and handling.

While producing 2,756,000 TV’s in 12 months = 645 LCD TV’s per day – if the factory is operating 7 days a week. Working anything less only increases demands for increased productivity per hour/day . At what point is the Worker – “over worked”? What happens when a bathroom break interferes with production?

Raising the price point only increases the demand for less wages to be paid with hopes for increased efficiency and less cost for labor/materials per unit.

The bigger question is – what will it actually cost to manufacture a LCD TV to sell in large enough quantities to make the Foxconn WI Valley project profitable, pay on the debt and associated costs, while allowing base level workers to thrive and other Businesses to prosper? The most likely answer is that: IT CAN’T FEASIBLY BE DONE.

In Asia, workers usually labor 12 hours a day, 7 days a week – so $53,000 per year comes to 365 X 12 divided by $53,000 =  $12.10 per hour. Which is way far more than Foxconn pays it’s Chinese and Indian Workers! And Foxconn has already stated that it didn’t take into account the higher US wage requirements, which it won’t pay….

Workers in Asia and India sleep in shifts at Company owned dorms – often only earning $2.50 day Compare that with taxpayer subsidized section 8 housing in Racine – which starts at $460/month. Who says Republicans hate State sponsored taxpayer funded welfare – they are it’s biggest beneficiaries. Take from the productive – to give back to “US” – your Rulers, Overlords, Landlords and Taxing Authorities.

TROUBLING INDEED!

In addition, every Consumer of the Foxconn manufactured product must be able to afford the cost of the (usually) subscribed TV service. While in areas where subscribed TV service is unavailable – the LCD TV will be….. worthless.

And what happens when the technology becomes obsolete? Residents will have to live with the consequences – which usually means abandoned buildings and polluted areas – ala Machinery Row…

Wisconsin Gov. Scott Walker pauses as he speaks at a news conference Monday, Sept. 21, 2015, in Madison, Wis., where he announced that he is suspending his Republican presidential campaign. (AP Photo/Morry Gash)

Maybe Snotty Scottie Walker will express his sympathy and condolences for the left behind workers of SE WI. *HEY* Good Luck!

*BONUS* say goodbye to Lordstown….

DETROIT (AP) — General Motors will lay off 14,700 factory and white-collar workers in North America and put five plants up for possible closure as it restructures to cut costs and focus more on autonomous and electric vehicles.

The reduction includes 8,100 white-collar workers, some of whom will take buyouts and others who will be laid off. Most of the affected factories build cars that won’t be sold in the U.S. after next year. They could close or they could get different vehicles to build. They will be part of contract talks with the United Auto Workers union next year.

Plants without products include assembly plants in Detroit; Lordstown, Ohio; and Oshawa, Ontario. Also affected are transmission factories in Warren, Michigan, as well as Baltimore.

More than 6,000 factory workers could lose jobs in the U.S. and Canada, although some could transfer to truck and SUV plants.

https://www.cleveland.com/business/2018/11/gm-to-slash-14700-jobs-in-north-america-lordstown-plant-faces-closure.html

While Collapse is stalking the land….

The Christmas present nobody wants sits under the tree: a worldwide finance crisis along with an establishment that appears to be coming apart at the seams.

The status quo is unraveling from all sides, at the top especially, where managers cannot conceal their panic:

steve from virginia @econundertow

When the captain of the ship starts taking the covers off the lifeboats there is a problem. https://www.washingtonpost.com/business/2018/12/23/treasury-secretary-makes-unusual-pre-christmas-call-top-bank-ceos-amid-market-mayhem/ 

Treasury secretary startles Wall Street with unusual pre-Christmas calls to top bank CEOs

Treasury Secretary Steven Mnuchin called the heads of the biggest U.S. banks on Sunday to confirm they are financially sound and not experiencing excessive financial stress, a highly unusual outreach…

washingtonpost.com

Oops!

“Every banker knows that if he must prove he is worthy of credit, however good might be his arguments, in fact his credit is gone.”

— Walter Bagehot

https://www.economic-undertow.com/2018/12/25/collapse-something-or-other/

OOPS – Indeed. Color me pissed off – Yellow Vests!

If French president Emmanuel Macron is hoping for some holiday respite from the anti-government pro citizen/anti elite protests which have rocked France, he might want to avoid the presidential retreat along the Mediterranean coast.

Around 40 “yellow vest” demonstrators on Thursday tried to storm the medieval fort of Bregancon that serves as Mr Macron’s summer retreat before being turned back by police, the mayor of nearby Bormes-les-Mimosas, Francois Arizzi, told AFP on Friday.

https://www.news.com.au/world/europe/yellow-vest-protesters-target-macrons-vacation-hideaway/news-story/8461b95521d038445cfcc6bc76a06b03

666

Will Foxconn Lift Up SE WI or Lead to Its Collapse?

A lesson from history, as it seems to repeat. The WPA is reborn  via Foxconn, Amazon, and other large scale Corporate interests as governments borrow money to finance private ventures with the hopes of employment for the masses and a future payout so that they can maintain the status quo for grossly overpaid/compensated Bureaucrats, and those fortunate enough to be employed in taxpayer financed public/private ventures and non-profits.

The Works Progress Administration (WPA; renamed in 1939 as the Work Projects Administration) was the largest and most ambitious American New Deal agency, employing millions of people (mostly unskilled men) to carry out public works projects, including the construction of public buildings and roads. In a much smaller project, Federal Project Number One, the WPA employed musicians, artists, writers, actors and directors in large arts, drama, media, and literacy projects.

Almost every community in the United States had a new park, bridge, or school that was constructed by the agency. The WPA’s initial appropriation in 1935 was for $4.9 billion (about 6.7 percent of the 1935 GDP).

Headed by Harry Hopkins, the WPA provided jobs and income to the unemployed during the Great Depression in the United States, while developing infrastructure to support the current and future society. At its peak in 1938, it provided paid jobs for three million unemployed men and women, as well as youth in a separate division, the National Youth Administration. Between 1935 and 1943, when the agency was disbanded, the WPA employed 8.5 million people. Most people who needed a job were eligible for employment in some capacity. Hourly wages were typically set to the prevailing wages in each area.Full employment, which was reached in 1942 and emerged as a long-term national goal around 1944, was not the goal of the WPA; rather, it tried to provide one paid job for all families in which the breadwinner suffered long-term unemployment.

BAU (Business As Usual) must continue at all costs – residents, environment, resources, and basic decency will not be allowed to interfere with progress.  The battle for the radical change of learning to live with less and create truly Sustainable Communities, recognizing that resources on Planet Earth are finite,  has been lost.

by Ugo Bardi

About 2,000 years ago, the Roman philosopher Lucius Annaeus Seneca wrote to his friend Licilius noting that “growth is slow, but ruin is rapid”. It was an apparently obvious observation, but one of those observations that turns out to be not obvious at all if you just think a little about it.

Understanding the real message that LTG sent to us in 1972, and that it is still sending, takes a certain effort. First, you have to free your mind from the layers of legends that have accumulated around it over four decades, but that is not enough. You have to free yourself also from the common attitude that prevents us from understanding how complex systems behave. There is no fixed future for systems such as the world’s economic system, only trends. But these systems still obey physical laws: the limits of natural resources, the finiteness of the world system, the concentration of greenhouse gases in the atmosphere. And there are the constants of human behavior: mainly our tendency of preferring immediate satisfaction to a future one, a phenomenon known as “discounting the future.

All together, these factors push the world system to follow a well defined path. We cannot determine exactly what the future will be, but we can produce a “fan” of trajectories that show to us where the system is heading to. The original 1972 LTG study had already identified the main factors that have been dominating the behavior of the world’s economy. The combined effects of resource depletion and pollution accumulation (seen today mainly in terms of climate change) have been gradually reducing the ability of the industrial system of accumulating capital and of fuelling growth. These factors will, eventually, cause the world’s industrial and agricultural systems to start a decline that could be defined as “collapse” which, later on, will involve also the collapse of the world’s population.

Reality has been transcended by television programming and the smartphone – a phone for dumb people; which is why it is the smartphone.
333
333
IF Foxconn could readily employ 13,000 at a minimum of $53G each, as the Politicans of WI claim, then why can’t other local private Employers?
333
If being paid $53G – and does that include the non-taxable fringe? – is such a great thing – then why are the halls of local government filled with Bureaucrats making $100G plus a year, Tax -free fringes well in excess of $25G, and early retirements, providing opportunities for a second double dipping career in the non-productive World of Management? The only thing Bureaucrats farm is TAXES!
333
From Journal Times:

Proposal to review city positions paying over $100,000 stalls

RACINE – A proposal to review vacant high-paying city positions in hopes of finding cost-saving opportunities failed to move past the Finance and Personnel Committee on Monday.

Under the proposal, any position vacant due to retirement or resignation that typically pays more than $100,000 in salary and benefits would be reviewed by the committee and City Council before any hire, said Alderman Eric Marcus, who proposed the idea.

In some cases, he said, the responsibilities of a currently unfilled position may be divided among other employees or the committee could decide to reduce a position’s salary.

“I think it’s an opportunity to see if there is some way we can combine positions in an era of real fiscal responsibility,” Marcus said.

There are about 150 city positions that are paid, through salaries and benefits, more than $100,000 a year.

333

Too often, these same Bureaucrats then flee Racine County, even the State of Wisconsin, to establish residence in a State without income tax and lower property tax rates! They become tax-evading Snow-Birds! But still they demand more yearly increases while they avoid paying the taxes which fund their retirements, benefits, and increases!

Tax planning is a cornerstone of retirement planning. But by focusing on Uncle Sam, many retirees overlook the state-tax bite. States vary across the map on how they tax everything from retirement income to retail purchases. If you’re thinking of relocating, be sure to know how potential retirement destinations compare with your current state when it comes to taxes.

ERoEI for Beginners

See: http://euanmearns.com/eroei-for-beginners/

The Energy Return on Energy Invested (ERoEI or EROI) of any energy gathering system is a measure of that system’s efficiency. The concept was originally derived in ecology and has been transferred to analyse human industrial society. In today’s energy mix, hydroelectric power ± nuclear power have values > 50. At the other end of the scale, solar PV and biofuels have values <5.

It is assumed that ERoEI >5 to 7 is required for modern society to function. This marks the edge of The Net Energy Cliff and it is clear that new Green technologies designed to save humanity from CO2 may kill humanity through energy starvation instead. Fossil fuels remain comfortably away from the cliff edge but march closer to it for every year that passes.

But in the end, Industrial Civilization, predicated upon a civilization dependent upon an infinite supply of cheap petroleum, will spectacularly fail because there are limits to growth on a finite Planet.
By Gail Tverberg:

The world economy seems to be seriously ill. The problem is not overly high oil prices, but that does not rule out energy as being a major underlying problem.

Two of the symptoms of the economy’s malaise are slow wage growth and increasing wage disparity. Tariffs are being used as solutions to these issues. Radical leaders are increasingly being elected. The Bank for International Settlements and the International Monetary Fund have raised concerns about the world’s aggregate debt levels. The IMF has even suggested that a second Great Depression might be ahead if major banks should fail in the manner that Lehman Brothers did in 2008.

333

The above graph courtesy of: https://beforethecollapse.com/2018/06/25/the-cost-of-civilization/

Essentially, this is the Cost of our Civilization, and it is on an exponential curvature;

333

And an exponential curve works like this…… a doubling every time…… 1 to 2 to 4 to 8 to 16 to 32 to 64 to 128 to 256 to 512 to 1024…. to infinity.

Politicians LIE for a living.

Politicians have to lie, because it is their only means of support.

They justify endless wars, instill fear, demand endless tribute, and bully the productive. Their ranks multiply until they become a unstoppable swarm whose insatiable demands exceed the capacity of the productive, rapes the land, and creates societal collapse. Soon to be coming to SE WI and beyond.

666

]

*UPDATED* – Oily Stuff Blog sends:

There Appears To Be No End To US LTO Growth

ALL OF THIS GROWTH WILL OCCUR ON DEFERRED DEBT, OR NEW DEBT. MOST, IF NOT ALL OF THIS NEW GROWTH WILL GET EXPORTED TO FOREIGN  COUNTIES. MORE LTO PRODUCTION = LOWER PRICES (now down 18% in <5 weeks),  NO PROFIT… AND WILL FURTHER REDUCE THE SHALE OIL INDUSTRY’S ABILITY TO PAY BACK DEBT OR REFINANCE DEBT AS MATURITIES LOOM.

 

While SRSrocco Reports:

The situation at Canada’s Alberta Tar Sands Operations has gone from bad to worse as the super-low oil price is now costing the industry billions of dollars each month. Unbelievably, the price for the Western Canadian Select heavy oil fell to a gut-wrenching $14.65 yesterday down from a high of $58 in May. Tar sands oil is now selling at an amazing $40 discount to U.S. West Texas Oil which is trading at $56.

In a recent article from EnergySkeptic.com titled, Why tar sands, a toxic ecosystem-destroying asphalt, can’t fill in for declining conventional oil, a review of the book, Tar Sands: Dirty Oil and the Future of a Continent, stated the following four important points:

Many “energy experts” have said that a Manhattan tar sands project could prevent oil decline in the future. But that’s not likely. Here are a few reasons why:

  1. Reaching 5 Mb/d will get increasingly (energy) expensive, because there’s only enough natural gas to mine 29% of tar sands (and limited water as well). Using the energy of the tar sand bitumen itself would greatly reduce the amount that could be produced and dramatically increase the cost and energy to mine it.
  2. Since there isn’t enough natural gas, many hope that nuclear reactors will replace natural gas. That would take a lot of time. Kjell Aleklett estimates it would take at least 7 years before a candu nuclear reactor could be built, and the Canadian Parliament estimates it would take 20 nuclear reactors to replace natural gas as a fuel source.
  3. Mined oil sands have been estimated to have an energy returned on invested of EROI of 5.5–6 for mined tar sands (perhaps 10% of the 170 billion barrels), with in situ processing much lower at 3.5–4 (Brandt 2013). Right now, 90% of the reserves being developed are via higher-EROI mining, yet 80% of remaining oil sands reserves are in situ, so the remaining reserves will be much less profitable.
  4. Counting on tar sands to replace declining conventional oil, with an EROI as high as 30 will be hard to accomplish, especially if it turns out to be the case that an EROI of 7 to 14 is required to maintain civilization as we know it (Lambert et al. 2014; Murphy 2011; Mearns 2008; Weissbach et al. 2013)

I believe the biggest problem with the sustainability of tar sands if we ignore the nasty environmental issues, is the low EROI – Energy Returned On Invested.  As point (4) states, a minimum of 7-14 EROI is needed to maintain civilization.  However, I believe the realistic range of a minimum EROI to sustain our modern societies is likely 10-12 EROI.  So, shale oil at an EROI of 5/1 or less (probably much less) and tar sands at 4-6/1, these are not sustainable energy sources.

666

Impoverishing the masses is merely conservation by other means.

Everything You Need To Know About the Fox-Scam Grand Illusion In a Simple Paragraph

“There are more questions than answers right now,” said Haas. “Right now, if they don’t even know what they want to make … they don’t really know what to tell me.

Full Comic available at the following link: https://progressive.org/dispatches/don-t-be-conned-by-foxconn-181020/

From the JT:

Water use and Foxconn discussed at community meeting

“There are more questions than answers right now,” said Haas. “Right now, if they don’t even know what they want to make … they don’t really know what to tell me.”

“There are more questions than answers right now,” said Haas. “Right now, if they don’t even know what they want to make … they don’t really know what to tell me.”

“There are more questions than answers right now,” said Haas. “Right now, if they don’t even know what they want to make … they don’t really know what to tell me.”

The only thing Governor Scott Walker and the Republican Party of WI desires is for the citizens of SE Wisconsin to continue voting for the Republican Criminals who have turned a blind eye to the plight of the Common Citizen and have offered them the false hope of future employment at a fraction of the wages and benefits which the Politicos who rule SE WI reward themselves with!

“There are more questions than answers right now,” said Haas. “Right now, if they don’t even know what they want to make … they don’t really know what to tell me.”

As William Catton so succinctly observed:

The Industrial Revolution made us precariously dependent on nature’s dwindling legacy of non-renewable resources, even though we did not at first recognize this fact. Many major events of modern history were unforeseen results of actions taken with inadequate awareness of ecological mechanisms. Peoples and governments never intended some of the outcomes their actions would incur.

To see where we are now headed, when our destiny has departed so radically from our aspirations, we must examine some historic indices that point to the conclusion that even the concept of succession (as explored in previous chapters) understates the ultimate consequences of our own exuberance. We can begin by taking a fresh look at the Great Depression of the 1930s, an episode people saw largely in the shallower terms of economics and politics when they were living through it. [1] From an ecologically informed perspective, what else can we now see in it?

The Great Depression, looked at ecologically, was a preview of the fate toward which mankind has been drawn by the kinds of progress that have depended on consuming exhaustible resources. We need to see why it was not recognized for the preview it was; this will help us to grasp at last the meaning missed earlier.

We did not know we were watching a preview because, when the world economy fell apart in 1929-32, it was not from exhaustion of essential fuels or materials. From the very definition of carrying capacity—the maximum indefinitely supportable ecological load—we can now see that non-renewable resources provide no real carrying capacity; they provide only phantom carrying capacity. If coming to depend on phantom carrying capacity is a Faustian bargain that mortgages the future of Homo colossus as the price of an exuberant present, that mortgage was not yet being foreclosed in the Great Depression. Even so, much of the suffering that befell so much of mankind in the 1930s does need to be seen as the result of a carrying capacity deficit. The fact that the deficit did not stem from resource exhaustion in that instance makes it no less indicative of the kinds of grief entailed by resource depletion. Accordingly, we need to understand what did bring on a carrying capacity deficit in the 1930s.

 

“There are more questions than answers right now,” said Haas. “Right now, if they don’t even know what they want to make … they don’t really know what to tell me.”

Please join Cindy and I is JUST SAYING NO to allowing Wisconsin’s very own Gang of Four, Governor Scott Walker, Racine County Executive Jonathan Delagrave,  City of Racine Mayor Cory Mason & MTP President David DeGroot to violate the Wisconsin Constitution (and their Oath of Office) by granting special rights to Corporate interests, stealing people’s property, destroying multi-generational Farms alongside an entire long established Community, loosening environmental protections, permitting heavy metals water pollution, instituting slave labor wages, providing taxpayer subsidies to multi-billionaire Corporations, and politician overreach.

“There are more questions than answers right now,” said Haas. “Right now, if they don’t even know what they want to make … they don’t really know what to tell me.”

“There are more questions than answers right now,” said Haas. “Right now, if they don’t even know what they want to make … they don’t really know what to tell me.”

Foxconn Abandons it’s $12 Billion Investment in Brazil, Shutting Down Operations and Selling Off Equipment Due to Costs

Dazed and Confused Politicians in SE Wisconsin simply don’t understand that Foxconn is in the business of making money, while keeping their labor costs low, so profits are maximized. Politicians never have to worry about labor costs or selling price points because they have the power of taxation – imposing the collection of taxes at the point of a gun, versus the private sector, which must sell consumers a manufactured product.  Which in Wisconsin Foxconn’s case is a LCD TV.

SE Wisconsin residents need to be particularly concerned as Foxconn has recently decided to discontinue it’s $12 Billion investment in Brazil!

Foxconn angers Brazilian officials with slow manufacturing ramp-up

While some believed that Foxconn’s 2011 expansion to Brazil would bring as many as 100,000 jobs and $12 billion in capital investment, the company currently has fewer than 10,000 employees in its 5 Brazilian factories, according to Reuters. One of those facilities is reportedly dedicated to production of Apple’s iPhone 5s.

Despite a public commitment to invest at least $325 million in a new industrial park in Itu, outside of São Paulo, the site is not yet operational, though Foxconn did say it should come online by the end of 2015. The lack of headway has been cause for consternation among city officials.

“People are really frustrated,” Itu city councilor Givanildo Soares da Silva said. “We were expecting all these jobs by now and it’s still just empty promises.”

Of the jobs that Foxconn has brought, many pay little more than minimum wage. Acceptance testers at the Brazilian iPhone plant, for example, bring home just $80 per week and lack access to the same training and advancement opportunities that their counterparts in Foxconn’s Chinese facilities receive.

Workers have held at least three strikes at the iPhone factory, and a union representative said they were planning another. Such labor flare-ups have angered Foxconn founder Terry Guo, who infamously slammed Brazilian labor in 2010.

“Brazilian workers’ wages are very high. But Brazilians, as soon as they hear ‘soccer,’ they stop working. And there’s all the dancing. It’s crazy,” he said at the time.

Manufacturing Apple devices in Brazil also has not had the desired effect of lowering local prices, which are inflated by as much as 30 percent on imported goods thanks to various taxes and tariffs. iPhones and iPads routinely sell for twice as much in Brazil as they do in the U.S., which does not surprise local residents.

“If we’re buying it at that price, then why would they bring it down?” one shopper told Reuters. “I don’t even know what the next iPad does, but I know I need it.”

Meanwhile, ZD Net reports that  Foxconn, in addition to ceasing it’s manufacturing operations in Brazil,  is closing it’s facilities, and selling off the manufacturing equipment.

Foxconn set to discontinue Brazil manufacturing operations

The firm appears to be giving up on the country following promises of $12bn investment.