China would no longer be the world largest factory?
By kingparker
@kingparker (9673)
United States
July 9, 2010 4:40am CST
From news report, many production would be shipped back to the U.S. market since the cost for China production is keeping on rising. Not only the labor cost will be significantly in rising rate, but also the currency rate is pushed up. Increase by the shipping costs and others, there will be no sense to continue to keep all the production in China. There were trace of major companies shifting their production back the U.S. homeland, or elsewhere where is cheaper in all aspect of production. So, whether this is a good news or not, we should embrace it.
5 responses
@SteveJi (78)
• China
9 Jul 10
I'm Chinese and working in manufacturing. It's true that the cost is rising. It's not good for some exporters in China now, But it's not bad for you. In all probability, China will continue be the largest factory in the world. Other countries can do cheap productions instead of China, Chinese manufactories will turn to better productions.
@kingparker (9673)
• United States
9 Jul 10
I meant it will be better for Chinese workers have better environment and beneficial for both parties, will it? I am not saying that is a bad idea. What I meant is would that change also improve the quality overall for Chinese exporters to compete better in the foreign market other than cheaper price?
@SteveJi (78)
• China
12 Jul 10
You mentioned what should the Chinese manufacturers do in the future. I agree with it.
And in fact, a lot of goods are made in China, but not made by Chinese. The big companies will continue looking for the place where cost less, they will leave China one day, the same as they had gone from US, Europe.
@scheng1 (24650)
• Singapore
10 Jul 10
I doubt a lot of companies are shipping the jobs back to US.
They are more likely to find other places, until all the world become expensive, then they will think of going back.
The high end jobs are more likely to return to US. Those are the research and development kind of jobs. As for production, I do not really think so.
@o0jopak0o (6394)
• Philippines
9 Jul 10
i think it would be a decade or more to china be not be the largest. Or with the valuing of the yuan i can expect something will happen but not that tragic.
@AjaySinghBaghel (5506)
• India
10 Jul 10
Now a days I am going for shopping almost everyday and see most of the product in all the US stores "made is China" or somewhere else. Majority of the products are made in china. I think that will continue as China produces these products in low cast and selling give a good profit margin.
