The first main point that the presenter was trying to make was that Boeing accused Bombardier of selling their products at a dump price or a lower than usual price and how this was not a valid argument. The speakers evidence behind his reasoning here was that selling at a lower than usual cost was solely just a sales strategy considering that these were some of their very first products sold so they could have issues that need resolving and improvements needing to be done. The second main point that the presenter had was that Boeing was accusing the Canadian airlines of receiving unfair government subsidies which allowed them to compete more efficiently with Boeing since they did not receive any themselves. The evidence that the presenter provided shows that this is simply not the case. Although it is true that Bombardier receives subsidiaries from the government, Boeing also receives subsidiaries in order for military vehicles to be built in the United States.
I find the evidence presented in this pod cast to be credible. The information the presenter talked about matched what we discussed in class about the same issue. Since this pod cast was made before the results of this dispute were finalized, we can now see that the evidence shown in this discussion also match with what the results were based upon.
2) Trade Talk 50: Aluminum made in the USA
I watched the Trade Talks by Soumaya Keynes and Chad Bown. They mentioned that President Trump has claimed that use of aluminum is a threat to America’s national security. First point they talked about was what aluminum is and how it is made. Aluminum is one of the most common earth metals found in earth crest. It initially comes in a form of rock called bauxite which is reddish bubbly in texture. Australia, China, India and Brazil have a vast quantity of it. Aluminum is extracted using two step process. First step is Bayer’s process where bauxite into alumina and in next step is smelting stage where alumina is converted to aluminum. This is the primary aluminum whereas, we can get secondary aluminum by recycling old aluminum. Moreover, to add credibility Soumaya suggested to Google it which provided the same information.
Secondly, they talked about that China that has been imposing threat as it has been producing more than half of the aluminum and exporting it and because of that American aluminum industry has collapsed. China hasn’t been driven by market force and just flooding the market with aluminum more than needed. Moreover, it has been found that the aluminum coming from China is unfairly subsidized and that China is getting subsidized coal, energy and alumina for their smelters for which Obama administration cased a file against China at WTO. Whereas, Trump didn’t find the subsidization in China important rather claimed that aluminum manufactured in US is a threat to American’s national security. It was the trade talk’s third main discussion point. Haidi Brock, president of Aluminum association, questioned that instead the import of aluminum is more of a threat as aluminum is used in US defense and military. During her investigation she said that instead of solving the issue Trump imposed tariffs on imports for all trading countries. During all this issue, price of aluminum has increased. Delphine Dahan Kocher of Constellium, an aluminum production company in USA explained how supply chain got critical as there was no more import from Canada, where they got there most of aluminum. They had the live conversations with the credible people of department which added credibility and helped persuade that the information given has credibility. However, the talk ended with the discussion that imposing tariffs is not a good solution to the issue rather just adding more complications to it.