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China To Merge High-Speed Train Makers To Cut Competition
hackingbear writes China has two high-speed train makers, the China Northern Railcar Corp. (CNR) and China Southern Railcar Corp. (CSR). Despite both being state-owned companies, the two are really competing with each other in the international high-speed train market, undercutting prices. Now, the Chinese government is set to fix that by asking the two to merge. [More details in a paywalled article at the Wall Street Journal.] Such a deal also would raise questions about China's determination to enforce monopoly laws that have been under a microscope in recent months as foreign companies including dairy makers, car makers including Volkswagen AG 's Audi, and technology companies Microsoft Corp. and Qualcomm Corp. have been investigated by antitrust authorities. However, as we haven't been complaining about China's low prices hurting our business, shouldn't China raising the price be good for other train makers?
China's "antitrust" push is a very easy way to steal trade secrets. Antitrust investigations let you seize corporate hard drives, which means you can share them with competitors whom you happen to like--i.e. your companies.
It doesn't matter what internal "rules" a country or its homegrown companies break, all may be forgiven. However, if any foreign companies break those rules, hellfire shall rain down on them.
It's not just China. The US does the same thing, as do many, many other countries just not with the same methods.
What is a "high-speed train"? I live in the US and am not familiar with the term.
You are welcome on my lawn.
Actually, most cities in the eastern half of the US are close enough to support high-speed rail between them.
There are plenty of places where high speed rail is a possibility but there are lots of economic and logistical problems. The problem is that the supporting infrastructure just isn't there. You need to have basically all the amenities of an airport at both ends for it to be viable. (Parking, ground transportation, etc) After all, what good does high speed rail do you if you are stuck at the terminal at the other end of the trip? Passenger rail depots have been mostly neglected and/or dismantled in the US. I used to live in Saint Louis and the train station there is now a mall. Good luck converting it back for high speed rail use.
High-speed rail already exists over much longer distances in countries like France, Spain, and Russia.
France is almost exactly the same size as the state of Texas. Big area but WAY smaller than the US. Russia is far more similar and they have a few high speed lines but not many. I'd love to see some high speed rail lines but I don't really see it happening in a meaningful way in most of the US. Too much cost for the right-of-ways, too little political will, neglected infrastructure at the destinations, etc. I'm sure we'll see one here or there but mostly I think the US will continue to rely on cars and airplanes for better or worse.