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That might have been a bargain if you could have done it during peak Covid. Having the capability to make them is worth a lot in resilience.

brianwawok 2mo ago
Who’s paying to bring online a factory that sites idle just in case? Are you also paying workers to sit there idle?
- trebligdivad 2mo ago
  Well I wouldn't pay for it to be idle; if you want to ensure you have the ability to do it, then you buy some proportion of it's potential output at their increased costs; but while that's happening you work on all the reasons it's more expensive.
  - brianwawok 2mo ago
    Things like paying the workers a livable wage?
- michaelmrose 2mo ago
  The logical thing is that the government buys them continually at the higher price which justifies the existence of the factory with the requirement that it is made here and if this is not sufficient motivation you make buying something more buying something profitable contingent
  - kaikai 2mo ago
    Like the Jones act but for gloves
wbl 2mo ago
Or stockpile a two year supply. You can get a lot with a billion dollars.
- hn_throwaway_99 2mo ago
  These things expire you know, for latex gloves it's only 3 years.
  - skybrian 2mo ago
    You could rotate the inventory. Normally companies try to minimize inventory, but someone could pay them to keep six month’s or a year’s supply as a buffer.
    - manarth 2mo ago
      It depends on the rationale. If the intent is self-reliance in the event of a trade war (or worse) with China, then even a year's buffer isn't enough to bootstrap home manufacturing from scratch. It needs to be in-service and available before any serious conflict.
      - skybrian 2mo ago
        Maybe, combined with a buffer, there need to be plans in place to get a factory up and running in six months? Or it could be running at a low level with plans to scale in six months.
  - chronogram 2mo ago
    The US already has their Strategic National Stockpile for medicines. Shorter expirations are managed by constantly selling the old to the domestic industry and purchasing new, like China does for grain and frozen meat while simultaneously being able to keep the market more stable by selling high and buying low. Switzerland has a lot of stockpiles, even including coffee[0], which the companies also go through FIFO. 0: "The 15 big Swiss coffee retailers, roasters and importers, such as Nestlé, are required by law to store heaps of raw coffee. Together, these mandated coffee reserves amount to about 15,000 tonnes—enough for three months’ consumption. The government finances the storage costs through a levy on imports of coffee. All 15 companies are in favour of maintaining the coffee reserve—as long as they are paid for it." Economist 2019

brianwawok 2mo ago

Who’s paying to bring online a factory that sites idle just in case? Are you also paying workers to sit there idle?

trebligdivad 2mo ago
Well I wouldn't pay for it to be idle; if you want to ensure you have the ability to do it, then you buy some proportion of it's potential output at their increased costs; but while that's happening you work on all the reasons it's more expensive.
- brianwawok 2mo ago
  Things like paying the workers a livable wage?
michaelmrose 2mo ago
The logical thing is that the government buys them continually at the higher price which justifies the existence of the factory with the requirement that it is made here and if this is not sufficient motivation you make buying something more buying something profitable contingent
- kaikai 2mo ago
  Like the Jones act but for gloves

wbl 2mo ago

Or stockpile a two year supply. You can get a lot with a billion dollars.

hn_throwaway_99 2mo ago
These things expire you know, for latex gloves it's only 3 years.
- skybrian 2mo ago
  You could rotate the inventory. Normally companies try to minimize inventory, but someone could pay them to keep six month’s or a year’s supply as a buffer.
  - manarth 2mo ago
    It depends on the rationale. If the intent is self-reliance in the event of a trade war (or worse) with China, then even a year's buffer isn't enough to bootstrap home manufacturing from scratch. It needs to be in-service and available before any serious conflict.
    - skybrian 2mo ago
      Maybe, combined with a buffer, there need to be plans in place to get a factory up and running in six months? Or it could be running at a low level with plans to scale in six months.
- chronogram 2mo ago
  The US already has their Strategic National Stockpile for medicines. Shorter expirations are managed by constantly selling the old to the domestic industry and purchasing new, like China does for grain and frozen meat while simultaneously being able to keep the market more stable by selling high and buying low. Switzerland has a lot of stockpiles, even including coffee[0], which the companies also go through FIFO. 0: "The 15 big Swiss coffee retailers, roasters and importers, such as Nestlé, are required by law to store heaps of raw coffee. Together, these mandated coffee reserves amount to about 15,000 tonnes—enough for three months’ consumption. The government finances the storage costs through a levy on imports of coffee. All 15 companies are in favour of maintaining the coffee reserve—as long as they are paid for it." Economist 2019