Although this doesn’t affect us here in the UK, it’s quite intersting in a weird way as GE which is owned by Haier, is moving production from China to the USA to avoid tariffs.
The logic is strange, a Chinese company moving production to the USA from China due to trying to avoid USA tariffs only to presumably send the cash from sales back to China. It must make sense to do as if it didn’t a company like Haier wouldn’t be doing it as they’re not at all stupid. Or is it “The Trump Effect”?
The company announced that it is moving its washing machine production lines that were in China to its headquarters and Appliance Park in Louisville and investing nearly $500 million in the project for the work that will create 800 new full-time jobs. Which is great news for the area.
GE Appliance President and CEO Kevin Nolan said, “manufacturing in the U.S. is fundamental to our ‘zero-distance’ business strategy to make appliances as close as possible to our customers and consumers.
“This decision is our most recent product reshoring and aligns with the current economic and policy environment,” a possible swipe at Trump’s tariffs.
In a meeting the Kentucky Economic Development Finance Authority approved just over $113 million in performance-based tax credits from the state’s job retention and business investment programs. Once manufacturing lines open in 2027 and employment targets are met, those credits will kick in.
“I can tell you it’s powerful innovation being brought to the market,” Kentucky Cabinet for Economic Development Secretary Jeff Noel said to the KEDFA board. “For the entire state to have a mammoth production operation in which engineering takes place along with the innovation, that’s the kind of manufacturing scenario we’re working hard to further bring into Kentucky.”
