The buzz is that Corning just opened an environmental plant in China and that they are making a killing on selling gasoline filters.
Corning Inc. said they hosted an opening ceremony on May, 28th for its “new Environmental Technologies manufacturing facility in the Hefei Xinzhan Hi-Tech Industrial Development Zone in the Anhui Province, China.”
The new facility will manufacture “substrates and particulate filters for automotive emissions control.” The buzz is that these particulate filters in gasoline systems will be a hot selling component in China.
China is a communist country. For decades China has been monitoring and stealing the technology from U.S. corporations that operate inside their country. China doesn’t just want the product, it wants the means of manufacturing and production because THAT’S WHAT COMMUNISTS DO.
China will use surveillance and espionage against Corning’s operations inside China to steal the means of production. The Chinese government will then form a China based corporation with Chinese owners and workers, who will then compete against Corning inside of China and around the rest of the planet. The Chinese government will subsidize that company so that it can beat Corning on price point and ultimately Corning will be forced to close its operations inside China. This is what China has done to U.S. corporations for the last 20 years. Doesn’t Corning know this?
Corning knows that China will do this so why doesn’t Corning care? In my opinion, the reason Corning doesn’t care is that the scam is on Wall Street and in particular, you! If the story of doing business in China pushes Corning stock up by 30% or more, that’s what they really care about. Insiders will sell into the upward move and leave retail investors like you and I holding the bag. The probability of this happening sky-rockets when you consider the latest exchanges between the U.S. and China in the ongoing trade war.
I’m not buying any shiny turds that have a growth catalyst story tied to China.