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FRA/dot issue RFP for new bi-levels.
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<p>[quote user="Alan F"]</p> <p> </p> <blockquote> <div><img src="/TRCCS/Themes/trc/images/icon-quote.gif" /> <strong>Sam1:</strong></div> <div> <p> </p> <p><span>Unless overseas suppliers with plants in the U.S. are allowed to submit bids, the buy America provision practically guarantees that the cost of the cars will be more than if competitors from around the world are allowed to bid on the contract. Ironically, GE, Boeing or Caterpillar, as well as their political supporters, would scream bloody murder if they were shut out of a foreign market for political reasons. </span></p> <p><span>...</span><span>Anyone know whether overseas suppliers will be permitted to bid for the contract if they build the cars in the United States?</span></p> <div style="clear:both;"></div> <p> </p> </div> </blockquote> <p> </p> <p>Of course, overseas or foreign owned companies will be allowed to bid on the contract. The provision does not say anything about who nominally owns the companies, only that the cars will be built in the US using American produced steel and parts. The primary bidders will be companies with established manufacturing and assembly plants in the US who have extensive experience in working under the Buy American constraints. Which nominally "American" owned company has the capability to bid on this RFP? [/quote]</p> <p>I don't have an issue with your perspective re: overseas suppliers building the cars in the U.S. Nevertheless, if they have to use steel, as well as other materials manufactured in the U.S., as opposed to being allow to import some of the materials irrespective of national boundaries, the cost of the cars could be appreciably higher than otherwise would be the case.</p> <p>A significant percentage of the parts and assemblies used in the Boeing 787 were manufactured overseas or assembled overseas, i.e. Japan, Italy, etc., because Boeing got a better deal. Or at least that was the game plan! In the end the supply chain was too broad; Boeing lost control of it; and thereby incurred a series of heart stopping problems. However, it is a mistake, albeit not a political one, to restrict the manufacture of the components and the assembly of the cars to plants and workers located only in the United States.</p>
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