China’s factory floor is moving—but not to India or Mexico

[beijingwalker]

China’s factory floor is moving—but not to India or Mexico​

Jason Douglas , The Wall Street Journal
07 Oct 2023, 01:30 PM IST

A factory in China’s Hubei region, one of several central and western provinces where exports are soaring. (Photo: AFP)

SUMMARY​

Companies seeking alternatives to China are finding the country’s vast interior still holds big advantages.

SINGAPORE—In the contest to knock China off its perch as the world’s factory floor, countries such as Mexico, India and Vietnam face a formidable rival: China’s vast interior.

Low-cost manufacturing is expanding away from China’s bustling coast as companies hunt for cheaper land and labor in central and western provinces. The migration has accelerated in recent years as U.S. tariffs push up costs for factories, and China’s coastal megacities focus on high-tech electronics, electric vehicles and other advanced industries.

The result has been an export boom for China’s inland provinces that dwarfs the acceleration in overseas sales enjoyed by would-be rivals to China’s manufacturing crown.

As inland China develops further, it is helping China deepen its dominance in swaths of global manufacturing, even as Western nations grow wary of China as a supplier for critical industries such as semiconductors and renewable energy.

China’s Factory Floor Is Moving—But Not to India or Mexico

Companies seeking alternatives to China are finding the country’s vast interior still holds big advantages.

www.wsj.com

 

[etylo]

China’s factory floor is moving—but not to India or Mexico​

Jason Douglas , The Wall Street Journal
07 Oct 2023, 01:30 PM IST

A factory in China’s Hubei region, one of several central and western provinces where exports are soaring. (Photo: AFP)

SUMMARY​

Companies seeking alternatives to China are finding the country’s vast interior still holds big advantages.

SINGAPORE—In the contest to knock China off its perch as the world’s factory floor, countries such as Mexico, India and Vietnam face a formidable rival: China’s vast interior.

Low-cost manufacturing is expanding away from China’s bustling coast as companies hunt for cheaper land and labor in central and western provinces. The migration has accelerated in recent years as U.S. tariffs push up costs for factories, and China’s coastal megacities focus on high-tech electronics, electric vehicles and other advanced industries.

The result has been an export boom for China’s inland provinces that dwarfs the acceleration in overseas sales enjoyed by would-be rivals to China’s manufacturing crown.

As inland China develops further, it is helping China deepen its dominance in swaths of global manufacturing, even as Western nations grow wary of China as a supplier for critical industries such as semiconductors and renewable energy.

China’s Factory Floor Is Moving—But Not to India or Mexico

Companies seeking alternatives to China are finding the country’s vast interior still holds big advantages.

www.wsj.com

China won't be an advanced nation until the vast central and western regions develop. Right step in the right direction to concentrate on Chinese underdeveloped interior and border regions instead of spending huge Chinese resources on foreign lands.

 

[beijingwalker]

China is building HSR network in remote Xinjiang and Tibet regions for a reason