China is now The World's Biggest Producer

[Veritas]

The yuan is slowly appreciating. Thats all they are getting.

So how will China tackle inflation of food at one level and inflation of commodities on the other ?

 

[hello68]

The US is losing jobs to China not because of labor costs, as it accounts for less than 10% of most brand products, but a dictated currency and lax environmental regulations. American workers are as cost efficient and productive as any of the 1.3 billion Chinamen under its vastly advanced manufacturing facilities. But when 20% undervalued exchange rates and environmental restrictions which alter logistics entirely, factor in, no industrialized nation can compete with you Ch**ks.

Jealous much with China success.

 

[Vinod2070]

Well, as they always say, low tech is better than no tech~

I am not sure how you took that post.

I was trying to understand the reason for this.

It is still astonishing that although China now has the top spot that it takes 9 people to the US's one to manage it. Now we see the gulf between China and the US is still a large one.

In my opinion, this is because the US manufacturing labor is involved in more high tech and value added production while the majority of Chinese labor is in low value added production (same would be the case for India and most developing countries).

It doesn't mean that these countries can't move up the value chain but it's going to take a lot of time and thoughtful policies and great implementation.

E.g Just take an example of the "Moog valves", the precise valves that control huge machinery very precisely. They are manufactured in USA, same for the airplanes and other advanced stuff.

What is the value addition per employee there compared to making steel, cement, shoes or assembling electronics?

 

[below_freezing]

I am not sure how you took that post.

I was trying to understand the reason for this.



In my opinion, this is because the US manufacturing labor is involved in more high tech and value added production while the majority of Chinese labor is in low value added production (same would be the case for India and most developing countries).

It doesn't mean that these countries can't move up the value chain but it's going to take a lot of time and thoughtful policies and great implementation.

E.g Just take an example of the "Moog valves", the precise valves that control huge machinery very precisely. They are manufactured in USA, same for the airplanes and other advanced stuff.

What is the value addition per employee there compared to making steel, cement, shoes or assembling electronics?

You could also look up Huawei, the company with the 2nd most number of patents in the world, or Shanghai Electric that sold generators to Reliance, or Trina Solar which has a vertically integrated solar industry from silicon wafers all the way to final assembly and packaging...

And speak for yourself, only 1 country's airplanes are all manufactured in the US here

 

[ZhengHe]

The US is losing jobs to China not because of labor costs, as it accounts for less than 10% of most brand products, but a dictated currency and lax environmental regulations. American workers are as cost efficient and productive as any of the 1.3 billion Chinamen under its vastly advanced manufacturing facilities. But when 20% undervalued exchange rates and environmental restrictions which alter logistics entirely, factor in, no industrialized nation can compete with you Ch**ks.

What's with the sudden burst of hate and racism? You seemed pretty normal in previous threads.

I know you hate seeing China rise but really, there's nothing you can do about it.

 

[ZhengHe]

Yes Americans don't want to make nikes and I phones

That's why "China stealing our jobs!"?

 

[Huan]

You have to play smart and dirty in a capitalist globalized economy. That is all it takes.

 

[cross1993]

So we need economic restructuring.

 

[Vinod2070]

You could also look up Huawei, the company with the 2nd most number of patents in the world, or Shanghai Electric that sold generators to Reliance, or Trina Solar which has a vertically integrated solar industry from silicon wafers all the way to final assembly and packaging...

That is good. I know China is doing great in moving up the value chain already. I wish India displayed the same foresight in setting up that kind of industrial base.

It still doesn't take away from the OP and what I mentioned.

And speak for yourself, only 1 country's airplanes are all manufactured in the US here

Which would be that country? India has a very large number of Airbuses if you didn't know that.

BTW, this is not about India vs. China as far as I am concerned. China is already far ahead of India in industrial capacity. We need to build a lot many sectors that you already have.

 

[webber]

What's with the sudden burst of hate and racism? You seemed pretty normal in previous threads.

I know you hate seeing China rise but really, there's nothing you can do about it.

he's a Falungong cult member and a chinese

pathetic

 

[below_freezing]

Agreed. At least we can make everything though. What we really need are companies that can compare to Applied Materials in semiconductor process equipment.

China Chemical Vapor Deposition, China Chemical Vapor Deposition Manufacturers, China Chemical Vapor Deposition Suppliers and Companies on Alibaba.com

We can make chemical vapor deposition machinery which is vital for our solar industry though it is a disgrace that only 1 company can manufacture it in mainland China, but also we need photolithography machines for our microelectronics industry. The next 100 years will still be the age of materials science, we need to have the tools to succeed in this age.

 

[below_freezing]

That is good. I know China is doing great in moving up the value chain already. I wish India displayed the same foresight in setting up that kind of industrial base.

It still doesn't take away from the OP and what I mentioned.



Which would be that country? India has a very large number of Airbuses if you didn't know that.

BTW, this is not about India vs. China as far as I am concerned. China is already far ahead of India in industrial capacity. We need to build a lot many sectors that you already have.

It surprises me how much China has moved up the value chain in 15 years. In 1996, textiles were 60% of our exports. Now they're 6%, yet their profits have gone up. The less of your supply chain that is in the hands of foreigners, the more money your country makes. Our petrochemical industry used to be poor. It started off just refining oil. Then we moved up into polymer materials and fibers, using imported equipment. Now we make the equipment, and recently, control the entire supply chain of a shirt, from the exploration of the oil that comes out of the ground to the processing of the fiber to the actual weaving of the shirt.

While what you say is true, this is only temporary. It is not a matter of ability, we can manufacture anything the West can, some of them might have lower yield strengths, lower lifetimes, etc. but we still have them. Just that people have gotten used to importing, and that the western companies already control the market in many things.

 

[Chinese-Dragon]

It surprises me how much China has moved up the value chain in 15 years. In 1996, textiles were 60% of our exports. Now they're 6%, yet their profits have gone up. The less of your supply chain that is in the hands of foreigners, the more money your country makes. Our petrochemical industry used to be poor. It started off just refining oil. Then we moved up into polymer materials and fibers, using imported equipment. Now we make the equipment, and recently, control the entire supply chain of a shirt, from the exploration of the oil that comes out of the ground to the processing of the fiber to the actual weaving of the shirt.

While what you say is true, this is only temporary. It is not a matter of ability, we can manufacture anything the West can, some of them might have lower yield strengths, lower lifetimes, etc. but we still have them. Just that people have gotten used to importing, and that the western companies already control the market in many things.

Good post.

 

[Huan]

It surprises me how much China has moved up the value chain in 15 years. In 1996, textiles were 60% of our exports. Now they're 6%, yet their profits have gone up. The less of your supply chain that is in the hands of foreigners, the more money your country makes. Our petrochemical industry used to be poor. It started off just refining oil. Then we moved up into polymer materials and fibers, using imported equipment. Now we make the equipment, and recently, control the entire supply chain of a shirt, from the exploration of the oil that comes out of the ground to the processing of the fiber to the actual weaving of the shirt.

While what you say is true, this is only temporary. It is not a matter of ability, we can manufacture anything the West can, some of them might have lower yield strengths, lower lifetimes, etc. but we still have them. Just that people have gotten used to importing, and that the western companies already control the market in many things.

I think it is only a matter of time before China manufactures their own B-747 or A380 version of aircraft.

 

[below_freezing]

I can talk more about the shirt. From the minute the oil comes out of the ground, explored by a CNOOC geophysicist, it will be pumped by a CNOOC drilling platform manufactured by CSSC, put on a CSSC ship owned by COSCO, shipped to a refinery owned by Sinopec, refined into bulk polymer, sold to any one of the thousands of chemical engineering companies in China which dope and process the polymer into fibers, using machines built by any one of the thousands of mechanical engineering companies in China, then sold to a textile mill in Guangdong where they'll be automatically weaved using yet more machinery built in China, operated by Chinese textile workers. The clothes will go onto the railroad owned by the Ministry of Rail, go to a state owned port, be shipped on a COSCO ship to wherever.

This is just the shirt. We can do alot more than shirts.