While Harley Davidson sends production abroad
So Foxconn, the Taiwanese manufacturer will break ground on a new plant in Wisconsin today. Pres. Trump will attend.
Foxconn manufactures product for Apple iPhones and Amazon Kindles and Echo Dots.
- The plant is expected to cost $10B
- Will employ 13,000 workers
- The jobs are expected to pay about $53K per year
The cost to Wisconsin and the US:
- The state is to give the company up to $3B of tax credits and breaks
- It is estimated that it will take to 2043 for the state to recoup the lost tax revenue
An additional $1B+ will come from local and Federal government:
- $764M in tax incentives from the village of Mt Pleasant and Racine County
- State and local govt will also spend $400M on road improvements (the Fed govt to chip in $160 million)
- The local electric utility will update infrastructure to power the plant at a cost of $140M
One problem in locating to Wisconsin, is that they have a 2.8% unemployment rate in the state (it is not the best climate to live). As a result, the state is advertising to try and entice workers from other states to move to Wisconsin.
As Foxconn is coming to the US (and avoiding potential tariff on imported goods), another local company Harley Davidson is moving part of production overseas to avoid tariffs on their goods into the EU as a result of the trade war. I am not sure they if HD will receive the tax incentives that Foxconn received in the US. I am guessing not.
However, if there are job losses, perhaps those worker can wander over to Foxconn and fill out an application.