Wednesday, January 22, 2014

Heavy Industry: Manufacturing in USA

       The Minister of Manufacturing discussed some new developments in current business.   His company will present a request to the board of directors for a new piece of equipment.   This "piece" is something to think about.  It will be the only one in the USA; it will be only 1 0f 3 in the world; it will cost $135 million dollars; it will be 8 stories in height; will be constructed on site; and will take 3+ years to build and assemble before any production takes place.
      What is this piece?  A vehicle? No.  A factory? No.  A hydraulic press of immense capability.  This press will have a capacity of 56,000 tons.   Once again, 56,000 tons of pressure on a fixed piece of metal to shape that metal to a mold installed for a designed product engineered to specifications for aircraft.
     Also, this piece does not have a warranty or guarantee.   Buyer beware?  No, buyer be smart!  So, will the parent company commit?  Nobody knows, nobody is talking, and it boils down to the presentation by company officials and their justification for the outlay and its return on the investment.  I would love to see the crunched numbers that justify an investment of this magnitude.  They would have to be impressive.
      The Minister says it will have serious implications for the company, no matter the outcome of the board's decision.  We'll keep you posted as information is received.

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