Singapore Economy 4-28-24

Singapore has an excellent economy. They have the highest Per Capita GDP, a Trade Surplus and low unemployment. Singapore overtook Hong Kong as the top financial services country for Asia in 2022. 

Nominal GDP $525.2B, Per Capita GDP $88,447, Population 5,917,600, Debt to GDP 170.8%,

Exports $942B, Imports $870B, Trade Surplus $72B, Unemployment 1.8%, Inflation 13.9%.

Singapore developed a banking sector that focused on loans needed for economic development.

Imports include machinery, equipment, chemicals, mineral fuels, consumer goods and food.

Exports include electronics, machinery, pharmaceuticals, chemicals, cosmetics, food and refined petroleum.

Main Industries include: Electronics, Financial services, Information and communications technology, Civil engineering, Oil drilling and exploration, Petroleum refining, Chemical products Cosmetic products, Biomedical products, Scientific instruments, Medical tourism, Telecommunications equipment, Rubber, Food and beverages products, Marine engineering and shipbuilding, Security services, Life sciences, Re-exportation, Waste management and recycling, Arts & entertainment, Fashion Design, Small-scale agriculture and aquaculture.

Singapore lane area is 283.5 sq mi. and no agriculture. All raw food is imported to its 6 million population.

Singapore does process and export food. Its main products include flavorings, sauces, ready-to-eat meals, noodles, deli meat, sausage, confectionary, chocolates, snacks, and beverages (including beer). Almost all raw materials for the Singaporean food processing industry are imported, as local agricultural production is minimal.

Singapore water is supplied by two rivers and has water treatment and sewage treatment facilities.

The most wanted jobs in Singapore are IT and software, engineering, finance and accounting, healthcare, nursing, business management, human resources, marketing and sales, STEM, hospitality, and others.

Comments

I visited Singapore in 1984 to set up a subsidiary to sell Hayes Modems in Asia. Matel was closing its game-board facility and I went to interview their staff. We hired 3 of them.  I wrote the expatriate offer letter to their manager who was a US citizen to match the deal he had with Matel.

I spent time with the Matel staff. They were hard working free market capitalists with good governance. 

Singapore allowed families to borrow their social security taxes to purchase apartments. They required all students to take a comprehensive exam in 6^th grade. Those who failed were schooled separately to prepare them for service jobs. This resulted in some suicides, because the students felt that they had dishonored their families. Family size was limited to 2 children unless both parents were college graduates.

Singapore is an island on the equator south of Maylasia. The population is a mix of Asians and Westerners with good values and retaining their original religions. Everybody goes north for the Chinese new year.  I was impressed.

Singapore reverted to British control after WW2 and functioned as a British colony from 1946 to1958 when it became an independent country.

Lee Kuan Yew was Prime Minister of Singapore from 1955 to 1990. He was the founding father of modern Singapore. He died in 2015.

Norb Leahy, Dunwoody GA Tea Party Leader

Taiwan Economy 4-27-24

Taiwan has an excellent economy because they have a high trade surplus, high labor force, low inflation, low unemployment and a low debt to GDP. They are the world-class computer chip manufacturer. 

Nominal GDP $185.2B, Per Capita GDP $33,059, Population 12.42 million (urban 80%), Debt to GDP 22%,

Inflation 2021-2024 7.36%, Unemployment 3.48%, Trade Surplus $86 billion, Labor force 11.94M,

In 2023, the most exported products from Taiwan were parts of electronic products, amounting to over $178 billion U.S. dollars. In the same year, Taiwan exported chemicals with a value of about $18.4 billion U.S. dollars.

In 2023, the most imported products to Taiwan were parts of electronic products, amounting to more than $81 billion U.S. dollars. In the same year, Taiwan imported mineral products with a value of about $61.6 billion U.S. dollars.

Taiwan is being threatened by China with a take-over. The problem is that Taiwan is a major supplier of advanced microchips and their expertise is not easily replaced. It might be wise for China to delay their plan to take over Taiwan.

Intel is building plants in the US. EVs are not selling well in the US and they require lots of microchips. If the EV push ends in the US, it will change the mix of microchip requirements.

If Trump is elected in November 2024, he will end the EV mandates and federal subsidies. Trump will work to return manufacturing to the US.

Taiwan Semiconductor was started in 1974 with its foundry operations and became well known in 1987. By 2009, it became the top global semiconductor manufacturing company. It is a priceless “unicorn”, because its employees are the best at producing computer chips.

China buys 40% of its computer chips from Taiwan. They would need to hold off invading Taiwan to prevent a disruption that causes a chip shortage. Timing is everything.

Norb Leahy, Dunwoody GA Tea Party Leader

Indonesia Economy 4-26-24

Nominal GDP is $1.702T Per Capita GDP is $5,109 Population is 272,096,348 Debt to GDP is 39.0%.

Inflation 2021-2024 11.35%, Unemployment is 5.32%, Trade surplus is $37B, Average income in urban cities is $9872 and in rural areas is $2,726. In 2023 Indonesia’s global share of manufactured goods was 1.4% 

Exports include coal, nickel, tin and copper.

Imports include steel, iron, plastics and organic chemicals.

Manufacturing includes palm oil, a commodity for which Indonesia is the largest global producer, cocoa, coffee, instant noodles, and beverages.

The main areas of production include textiles and garments, food and beverages, electronics, automotive, and chemicals, with the majority of manufacturers in this sector comprising of micro, small, or medium-sized enterprises.

The urban population is 159.448,160 (58.6%). The rural population is 112,648,188 (41.4%).

Indonesia is another Asian country companies can consider for low wage, low regulations manufacturing if they want to leave China.

58% of Indonesia’s population live in Urban cities. 42% live in rural areas. There are 75,000 rural villages.

About 192 million Indonesians lack access to safe water and 14 million lack access to a safe toilet.

Indonesia is 87% Muslim and 11% Christian. Education is geared to their culture and values. Occupational courses are being developed.

Comments

Indonesia is a high population, low per capita income country with rural poverty for 10% and malnutrition for 25%.

Increasing nutritious food production and treating malnutrition are priorities. Water borne diseases like cholera take a tole.  Rice production needs to increase the supply to lower the cost. Continuing to increase exports is an obvious necessity. They need to compete for jobs to increase their manufacturing base to grow their GDP.

Norb Leahy, Dunwoody GA Tea Party Leader

 

S Korea Economy 4-25-24

Nominal GDP is $1.722T, Per Capita GDP is $33,147, Population is 51,784,059, Debt to GDP is 51.4%.  

Inflation 2021-2024 is 11.55%, Unemployment is 2.7%. Trade deficit is $9.97B. Average income is $35,364. In 2023 S Korea’s global share of manufactured goods was 3%. 

Exports include cars, auto parts, auto batteries and consumer electronics and gasoline.

Imports include Oil, gasoline and integrated circuits and rice.

Crops grown in S Korea include rice, wheat, barley, corn, soybeans, fruits and vegetables.

Livestock raised includes beef cattle, dairy cattle and pigs.

The urban population is 80% at 42,039,227. The rural population is 20% at 9,588,890.

S Korea’s car companies include KIA and Hyundai. S Korea’s consumer electronics companies included Samsung and LG.

The US has 28,500 troops deployed in S Korea. We also buy KIAs and Hundis, so we’re doing our part.

Norb Leahy, Dunwoody GA Tea Party Leader

India Economy 4-24-24

India now has the largest population on the planet. China is in 2^nd place. 

Nominal GDP $3.9T, Per Capita GDP $2,612, Population 1.439,232,375 billion. Debt to GDP 81.89%,

Employment is 46.6%, Unemployment 10.9%, 2021-2024 Inflation 17.8%. Imports $854.8B, Exports $776.68B. Trade Deficit is $70.12B. In 2023 India’s global share of manufactured goods was 3.3%. Labor force participation is 50%. 49% are urban and 51% are rural. Average age is 28.7 years. The cost of living in India is 70% lower than the cost of living in the US.

Salaries in cities average $3828/mo or $45,936/yr.

Salaries in rural areas average $14,000 for men and $10,000 for women.

https://www.statista.com/statistics/1071319/india-average-earnings-of-employee-rural-by-gender/

Labor force participation includes Agriculture is 41.19%, Industries employ 26.18% and Services employ 32.33%.

India rupee is 12 US cents.

70% of India’s economy is consumer driven due to their large population. Crops include rice, corn and wheat. Livestock includes cows, buffalo, pigs, chickens and fish.

India has good potential. Its natural resources include coal, oil, gas, bauxite, chromite, iron, copper, gold and diamonds. It has a large, well-educated population.

224 million (16%) are undernourished but nobody dies from lack of food or water. Starvation ended 10 years ago when the government began providing food.

India has attracted significant interest as a manufacturing hub, particularly for key sectors like automotive, engineering, chemicals, pharmaceuticals, and consumer durables. The Indian manufacturing sector is projected to be one of the fastest-growing sectors in the local economy. Jan 18, 2024

There are 326.3 million cars on the road in India. Maruti Suzuki India Ltd is a Japanese car and holds a 42.75% market share. Tata Motors Ltd founded in 1945 is an Indian car company and holds a 11.5% market share.

India should have a good chance to increase its manufacturing jobs as companies exit China and add to its economy with jobs that require degrees in Engineering, Math and IT.

Computer Engineering. Computer science is a trending course, and every year, many students from every part of the country get enrolled in high numbers. Hindi and English are taught in schools.

Comments

I use Geek Squad offered by Best Buy as my computer maintenance service. I access them on-line and they do an excellent job. I’ve also recruited Indian Engineers using H1b visas. They are very smart and very precise and have a great sense of humor.

Norb Leahy, Dunwoody GA Tea Party Leader

Japan Economy 4-23-24

Japan has a good economy despite their high Debt to GDP. They have a high personal savings rate that covers their Debt and a world-class auto and machinery industries. Japan developed hybrid technology and perfected automobile manufacturing. 

Nominal GDP 4.230T, Per Capita GDP $33,494 Population 122,631,122, Debt to GDP 217.3%

2021-2024 Inflation 17.2%, Unemployment 2.8%, Labor force 69.3M, Trade Surplus $17.4B.  In 2023, Japan’s global share of manufactured goods was 7.2%.

US Trade with Japan in 2023 created Deficit 71.175B,  Exports $76.165B Imports $147.340B.

Japan exports include cars, machinery, integrated circuits, refined gasoline and other goods.

Japan is a good customer for US oil and natural gas.

Comments

All Toyota Prius Hybrids are made in Japan. In 2005, when gas sent to $3/gallon we sold our 20mpg Cadillacs and bought 2 60mpg Toyota Prius Hybrids. We still have them.  I credit Japan for investing for over 20 years to perfect hybrid technology for automobiles. The Prius got 60 miles/gallon and the engine stopped when the car stopped. It was roomy, fast and a good highway and town car.

Norb Leahy, Dunwoody GA Tea Party Leader

China Economy 4-22-24

 China’s Nominal GDP is the 2^nd largest economy after the US. China’s GDP grew from $394.6B in 1990 to 17.7T in 2023. They are now a developed country.  In 2023, China’s global share of manufactured goods was 28.7%.

Nominal GDP $17.7T, Per Capita GDP $12.621/yr.  Population 1.409,670,000 billion, Debt to GDP 82.9%,

Inflation 2021-2024 5.62%, Unemployment 5.2%, Labor force 782 million, trade surplus $823.2B.

Average Urban Private Sector Salary $747/month, $8.964/yr. Average Urban Government Salary $1,305/month. $15,660/yr. Rural workers salaries are not reported in the Labor force.

China reports economic activity in 3 groupings.

Raw Material is mined processed and shipped.

Manufacturing includes finished goods manufacturing.

Services include recycling, waste disposal, material extraction, manufacturing and transportation.

https://en.wikipedia.org/wiki/Tertiary_sector_of_the_economy

Main Industries

mining and ore processing, iron, steel, aluminum, and other metals, coal; machinebuilding; armaments; textiles and apparel; petroleum; cement; chemicals; fertilizer; consumer products (including footwear, toys, telecommunications equipment, satellites, commercial space craft and electronics); food processing;  transportation equipment, including automobiles, railcars and locomotives, ships, aircraft.

2023 Trade Balance is also reported with Exports $3.308T  Imports $2.557T Surplus $ 751B

https://en.wikipedia.org/wiki/Economy_of_China

China’s exports grew from 2% in 1990 to 15% in 2015.

Labor Force Participation is 67.3%.

Agriculture 23%

Industry  32% includes manufacturing

Services 45% includes manufacturing

The globalism hoax prompted developed countries to move their manufacturing to China hoping to increase   profits, dump unions and have access to Chinese consumers.  Now these companies are moving out of China.

Comments

The data reported above warns that the data China data releases are more geared toward advancing their latest initiatives. Chinese data may be higher or lower than it actually is. The Yuan is valued at 14 cents US$ and a lot of their data is expressed in Yuan.

China is experiencing a pull-back from export partners who are moving their manufacturing to other low cost Asian countries. Intel computer chip plants are being built in the US in response to China’s stated plan to take Taiwan. Chinese EV’s are selling for $11,000 to $15,000 in China. In the EU, 11% of EVs sold in 2023 were Chinese EVs.

China should be concerned about the US elections in November 2024. If Trump wins, China will likely delay building EV plants in Mexico and concentrate on selling EVs in the EU. Most US citizens want the US to lower energy costs and be able to buy hybrids, other gas-powered cars and diesel-powered trucks and trains.

China manufactures everything they need including home appliances.

The US should also reshore manufacturing of critical drugs and defense industry material. In 2023, US manufacturing was 10.7%.

China will continue to buy oil and natural gas from Russia and Iran.

I worked with Chinese engineers at Fire Arms Training Systems as an active Consultant from 1993 to 2017. They were the best. We hired them with H1b visas as they were graduating from US colleges with MSEE degrees. They became US citizens and still work at FATS.  FATS was sold to Meggitt in the 2000s and was sold again to Pine Island Capital Partners in 2020 and operates in Swannee GA under the name of InVeris. Former Georgia Senator, Saxby Chambliss is the Chairman.

Norb Leahy, Dunwoody GA Tea Party Leader