The facts are that the United States has posted a trade deficit since the late 1960s (and trade deficits in the late 1960s forced the US off the so-called gold standard in 1971), and it has been rapidly increasing since 1997. The US trade deficit hit a record high of 817.3 billion dollars in 2006.

Now yes it’s come down some since then due to our devaluing dollar and lowering energy prices; however, at -614.703 billion we are far from having any kind of a favorable balance.

By the way, if done correctly controlled currency devaluation can help a troubled nation reduce their debt and stimulate an economy (makes a country’s exports relatively less expensive for foreigners and makes foreign products relatively more expensive for domestic consumers, discouraging imports) actually reducing a country’s trade deficit as we have seen recently (assuming manufacturing is occurring materially in the domestic country to fill the gap of reducing imports).

However, it has a dark downside which includes reducing the value of savings, lowering living standards for those on a fixed incomes (about 1 in 4 Americans are seniors or boomers entering seniorhood, the disabled, etc…), etc… and swift currency devaluation leads to economic crisis.

Better than seeking to devalue our currency is returning to an economic paradigm which yields the desirable results without the downside. EOM.

Seriously, look at our trade deficit. What else are they supposed to do with these green IOUs, besides bring them back over here to invest them? ◄Dave►

Am I missing a side of the coin?

I’m not sure what your point is. Most of the post is about foreign manufacturing in the US, and I listed the job creation.

To summarize my points:
Under NAFTA, manufactuuring and agriculture find advantage in moving to Mexico. This includes companies like Toyota.
I would be sorry to see them move to Mexico.
I would much rather see our own auto manufacturers thrive than Toyota, but they need heavy restructuring to be competitive, not subsidizing by bailout or tariff.

Recently:

1 Brazilian manufacturing in the U.S.: Earlier in the month, Embraer broke ground on a plant to produce business jets in Melbourne, Florida. The factory will be approximately 150,000 square feet and will employ more than 200,.

2. Italian manufacturing in U.S.: In November, Brevini Spa, an Italian company, announced that it will invest $50 million in the U.S. and employee 500 in Indiana to manufacture gearboxes for wind turbines.

3. Solon AG, German, invested $30 million earlier in the year at its Global Solar Plant in Tucson. This will employ 250 people.

The fact is that foreign businesses invest in manufacturing in the U.S. as much as U.S. companies invest outside of the U.S.

Put on your glasses and take a look at both sides of the coin.