This supplements earlier references in these pages to Wisconsin’s relationship with Foxconn: a transaction that is now becoming almost undisputedly recognized as a fiasco. Despite Foxconn’s recent declaration – after jawboning by President Trump – that the facility will include manufacturing capability, upon hearing of the Foxconn statement, I had the same thought as set forth by Charlie Sykes in The Bulwark article linked below:
“[The Foxconn statement about maintaining manufacturing at the Wisconsin facility] seemed driven more by a desire to kiss the president’s ring than by business realities. So what will Foxconn do? Short term, they are likely to maintain a sort of Trumpian Potemkin village in Wisconsin to keep up the appearance that the company is doing Trump’s bidding. [My emphasis].”
Mr. Sykes clearly implies that he believes that Foxconn simply intends to wait out Mr. Trump. If the President’s political fortunes continue to slide, it would seem likely that Foxconn will ultimately quietly scuttle its Racine manufacturing plans with no real fear of U. S. reprisal … but with possibly significant consequences for Mr. Trump’s potentially-pivotal 2020 Wisconsin electoral prospects.
Mr. Sykes’ comment reminded me of a reference in a recent Wall Street Journal piece about current U.S. – E.U. trade negotiations, which suggested that in the face of aggressive U.S. demands, one of the E.U.’s strategies may be simply … to wait out the Trump Administration. As recently as last Friday, the Journal similarly reported that in current U.S.-China trade negotiations, “…Chinese officials seem confident of a deal because they believe Mr. Trump needs the political boost … The Chinese team came [to the negotiating table the week of January 28] with very few new proposals … Instead, the officials largely reiterated [past Chinese] pledges ….”
If the President’s political standing doesn’t improve, Mr. Trump and his team may find that over the next two years, delay and retrenchment become favored tactics across a wide spectrum of those from whom the Administration is seeking concessions.