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Day 8, Middle-of-Nowhere, China: Lynk & Co
Thursday, November 8
Zhangjiakou has a population of four million people, but that’s China. Nevertheless, the world had never heard of Zhangjiakou until Reuters wrote that “the Lynk & Co plant in Zhangjiakou combines technology and manufacturing know-how from the Geely and Volvo Cars units of China auto giant Zhejiang Geely Holding Group.”
For an investment of $1.9 billion, Volvo engineers put one of the world’s most modern car plants into the middle of nowhere. That investment bought a plant that can make 200,000 cars per year, running two shifts.
There will be a test in the evening: If $1.9 billion buy a 200,000 unit/year factory in the middle of the Chinese nowhere, how much would we have to spend in America?