This will make A123 about 80% Chinese. It may be one of the best way to ensure survival and lower cost mass production when the majority of the facilities are moved to China. Let's face it, China may very be the largest EV batteries market by 2015. It is logical that battery packs are built there. Some R & D and sales offices (for local market) could stay in USA.

Wanxiang has a number of manufacturing facilities in the US and employ many US citizens. I'll bet they are still interested in manufacturing in the US too.

Kelly, it only matters that this administration did it. It doesn't matter what it is, if it was Obama's, it must be bad and driven to fail.

Your correct about the hyprocrisy (I wish there was a simpler word for hypocrisy, because I don't think most of the republican base knows what it means and so don't really understand that when someone says the GOP is hypocritical that it means we are on to them). The GOP whined about the wasted federal dollars on the things like batteries, but now say tax payer money has funded secret IP that will be taken by the Chinese. Although, what I really think they fear is that the Chinese will turn a profit in an industry they have tried to kill (which could make them look bad if anyone is paying attention, but I don't think they should worry, the attention span of Americans is short). The politicians of China are not owned by oil and coal. So what they have done, is tried to kill the battery companies and are now upset that opportunity is gone. How can congress kill the battery industry when China owns it, and China will soon be the largests economy in the world? The answer is they can't. That's gotta really anger the minions of oil. I guess though, that they never really cared about the US, but really just about getting themselves rich, and I am sure that happened, so I suppose they will be personally happy with their wealth. Good for them, our rich leaders and supporters of the status quo. The future has sailed to China with their help, but they got theirs.

To the 3% with most of the wealth in USA, it doesn't really matter how many manufacturing facilities move from USA to China, India, Mexico, Brazil Eastern Europe etc. In reality, moving to lower cost labor countries is often the way to increase their profit margin and wealth. That's what USA used to be with local color labor and Mexican immigrants and that's what Germany still is with temporary labor from Eastern Europe, Turkey etc.

USA's and Western World people with $$$$ have already invested heavily outside their country of origin and will continue to do so as long as befriend (paid-purchased) politicians let them do it. Since there are more and more of those around, the closing of local manufacturing facilities will go on until the 97% has had enough.

@Herm,
Good many points! The wealth of all savers is already gradually being confisticated via the back door, by the gov.'s continually running huge budget deficits and printing of money to make up for lost revenues. The political parties meanwhile are still competing with each other as to who can cut the most taxes and who can dole out the most benefits to bloat out the government's entitlement budget even more. The Robinhood scheme is already in progress!

Yes, the plane will definitely would be better off going towards a 3rd-world lifestyle, but would the people's lives be better off? First there will be unemployment to the tune of 25-30% or higher officially, while real unemployment in 3rd world countries may run as high as 50%, as well as increasing youth unemployment above 50% that prompt major social unrests like the Arab Springs and the bloody civil war in Syria right now! The SAudis are platicating their people with oil revenues, but wait until this oil money will run out. And then, there will be crimes and murders and extortion by youths joining organized crime due to unemployment.

A much better way than "going third world" would be to develop all-renewable energy economy and environmentalism of recycling everything and rebuilding our neglected ecosystem. This will create billions of jobs world-wide while assuring humanity with a bright, clean, and sustainable future!

"I wonder if there is a way to confiscate the wealth of the 3% without killing the golden goose?.." Herm, there is. Think about actual 'no loopholes' progressive taxation.

Extremes are fatal.

Should one man eat ten times more than another, have a dozen times higher heart rate than normal, exhibit five times the typical blood sugars, .. nature kills off the aberration.

No human has more genes than another.

Western society is defined by "moderation in all things" and "in God we trust" and "money is the root of all evil", yet the present hideous difference between rich and poor is even greater than in the feudal times of serfs.

Such extremes kill the organism.

If someone works twice as many hours, pay him twice as much, but no man can work a hundred times as many hours.

But some countries, particularly the US, have individuals re-writing the rules with money, which results in the few hoarding the resources of the many.

Excess only breeds decadence.

If one thinks they are better, having ten times more than the average person will impress.

But having hundreds of times more than normal is detrimental the whole.

And having thousands of times more is fatal to a society and should be treated as the societal disease and aberration extreme wealth inevitably is.

Thanks RP, its hopeful knowing others find history has similar conclusions. Sneaking social truths into days old comments.

Frankly, ninety some percent(90+%) of us are obviously being screwed by the rich.

It always amazed me that veterans in particular, having been seriously, effectively, and expensively trained to neutralize whatever threatens them, just rollover.

While DC and Wall Street eat hundred dollar meals, 50 million Americans suffer early and painful deaths, unable to afford the basic medical care they need.

If the desperate are driven to targets, there are one's more deserving than random theater goers.

I forgot, many of our top CEOs earning 300+ times the average worker, pay less than 13% income taxes (or none at all) while the low wage workers pay 33% to 36%.

One of them has the nerve to try to become the next president.

"I forgot, many of our top CEOs earning 300+ times the average worker, pay less than 13% income taxes (or none at all) while the low wage workers pay 33% to 36%.

One of them has the nerve to try to become the next president."

HarveyD nailed it. The 99+% are taxed to provide the shackles the 1% legislate on them.

Billion and trillion dollar US weapon and surveillance systems are NOT needed to track a few thousand terrorists. Such massive systems can ONLY have the purpose of tracking the 99% to maintain the 1% rich.

Presently, the richest 400 US $million/billionaires have more money than the lower 150 MILLION US citizens.

History thought kings were rich.

The US Congress and Dept. of Justice have been in contempt of court, the US Constitution, and the People for years, yet, like dictators, they are getting away with it:

http://en.wikipedia.org/wiki/Patriot_Act

http://blog.alexanderhiggins.com/2012/08/12/obama-contempt-violating-ndaa-detention-ruling-166451/

That point may or may not be reached.

It depends on the corrective actions taken to redress current abuses. A very thick fire wall must be installed between politicians and $$$$. The fire wall must be so tight that nobody can/will contribute more than a total of $10 to politicians. The Treasury could add another $2 to $5 per voter. All direct and indirect election contributions must be positively controlled to avoid ALL current abuses.

All current financial support/subsidies, hand outs and tax credit to business must be converted into loans with fair interest rates. The net cost to government (and people) must be zero or less. A small profit should be possible.

The taxation and pay system must be completely reviewed. All loop holes must be removed. People making more than $100K must progressively pay more taxes. Luxury items that they normally buy must be taxed relatively more. Capital gain and dividend revenues must be taxed as all other incomes sources. An exchange tax should be applied on stocks sales/purchases, real estates sales/purchases, banking transactions etc to pay off the huge national debt.

Low income earners must be taxed a lot less. Negative income tax could be used in many cases instead of social welfare.

>>>"A very thick fire wall must be installed between politicians and $$$$"

That may discourge people with high-leadership ability from entering public service, because they can run private corporations and earn tens of millions USD yearly (and increasing salaries and bonuses and golden parachutes etc). You know that private executives earnings are much higher than several decades ago, in real dollar value. In comparison, US presidents earn merely $400,000 yearly but are burdened with so much work and stress that their hairs turn white after 4 years in office. Who would want that? A good medical doctor, dentist, or lawyer can easily earn that, or even 2-3 x that number, with less stress.

US Congressmen and Presidents should have salaries in the millions and even tens of millions yearly in order to draw talents from the private corporations. They should receive additional bonuses if the economy and jobs are gaining, or pay deduction if the economy and job market are weakening. Pay deduction can happen even after they left office, for example, GWB, if paid tens of millions yearly while in office, will have to pay back some of that now and until the economy will pick up because he scr*wed up our economy and our job market so badly...

That kind of salaries should insulate politicians somewhat from bribes and private donations. Once you are paid enough to support a number of mistresses and having resort houses everywhere and have your own private jets etc., then you would care more about not risking your job and would be more restrained from accepting bribes.

Since it would cost millions to run for public offices, a good system of public funding for campaign should be designed to give highly-qualified candidates enough campaign resources to win against privately-supported candidates. Private campaign donations should not be restricted because that was rules as freedom of speech by the high court? And freedom is everything, especially freedom of expression, and campaign donation is akin to freedom of expression...you express your belief in a person who perhaps may have a chance to help you realize your hope, dream and belief!

The 97% (soon to be 99%) could read 'Twilight of the Elites' by Chris Hayes to find out:

How USA has now become an Aristocracy of Elites (billionaires)

The rise of extreme inequality in the last 30 years.

The increasing wealth gap between the 1% and 99%

...and a few essential corrections:

Raising taxes to 50% on high revenues.

Reducing taxes closer to 0% on low revenues.

Raising minimum wage to $12/hour (very negative for competition?)

Yes, the best food, the best structures, the best roads, the best art pieces and the best political systems will deteriorate with time and or from inside/outside influences. The best very long lasting empires all came to an end. Some lasted over 1000 years but they all when under, most often from mismanagement from within.

The American Constitution was originally charted to reduce the inequalities and have people elect the leaders at regular intervals.

Those two excellent ideas are now meaningless because the 1% or 3% have found ways to nullify the most important parts of the constitution.