Chinese Company Sinomach Poised To Takeover Boise

Discussion in 'Economics' started by AMT4SWA, Jan 14, 2011.

  1. Jason Douglass
    January 14, 2011

    With a population just over 200K, Boise Idaho is a small but industrious town. Several U.S. companies are headquartered in Boise including URS Corporation. One of the great Pacific-Northwest cities, Boise is similar to many American towns of its size.

    In response to the ‘economic downturn’ Idaho Gov. Butch Otter traveled to China to drum up interest in Idaho.

    China has been quickly climbing the ladder of superpowers, surpassing Japan for the number two position in 2010 and has been consistently gobbling up U.S. debt.

    Sinomach, the third largest Chinese contractor, answered Gov. Otter’s invitation and is currently in negotiations to build a 30k acre technology zone south of the Boise airport.

    The plan, according to an article in the Idaho Statesman, is to build on the Chinese model of self contained cities with all services included.

    Because Idaho’s aggressive approach, they are leaving themselves wide open to negative the impacts a deal of this magnitude and focus could manifest.

    “Whatever makes the deal go forward,” Jeff Don CEO of Eagle-based C3 told the Statesman.

    According to Statesman, the state constitution has even been amended to allow the Boise airport to borrow money to build facilities:

    “The proposal could get a boost from this year’s voter-approved constitutional amendment that allows the airport to borrow money to build facilities that can be leased to companies on a long-term basis. The airport commission also has the authority to grant long-term leases and landing rights to air carriers, including those from China.”

    There are plenty of figures as to how many people will be employed by the proposed venture, but there are no specific assurances that those numbers represent American workers.

    “Anything we can do to work toward having good industry opportunities for investment is important whether we get a piece of that work,” Doug Sayer president and CEO of Premier Technology said.

    Furthermore, veiled threats contained within the article by the Statesman outlining the plan inform readers that if they don’t accept these deals, Chinese companies will simply bring their money to other out-of-state locations.

    “Sinomach is not looking only at Idaho. The company sent delegations to Ohio, Michigan and Pennsylvania this year to talk about setting up research and development bases and industrial parks.”

    As the designed implosion of the U.S. economy continues, states and cities will be forced to welcome opportunistic foreign interests in a last ditch effort save their troubled economies. Like a wounded animal squealing in dark, predators will begin to descend and feed on the easy target; even as the prey fights to live.