China No Longer “The World’s Factory”

In the last few years, the global supply chain has been hit hard by not only the recent pandemic but also by the trade wars between the US and China. With the relatively extreme ways that China has been dealing with these issues, many countries have realized the economic risks in relying on China as time goes on. As such, numerous foreign companies have been pulling out of China, going instead to other developing countries such as Vietnam, India and Thailand.
On January 12, Canon, another large company, announced that they will be shutting down their factory in Zhuhai, China. This was apparently caused by heavy operational difficulties due to the prolonged outbreaks of COVID-19, which undoubtedly raised concerns from many Chinese citizens. As one of the earliest Companies to have entered the Chinese manufacturing market, the Zhuhai branch has been in operation since 1990, having lasted 32 years. Over the years, the factory manufactures all sorts of products for Canon, from lenses to different electronics like printers, cameras and camcorders.
It is worth mentioning that in 2013, this factory was recently upgraded with an investment of $1.5 billion yuan, increasing its production capacity by twofold. At the time, it was one of Canon’s largest overseas factories, employing over 10,000 employees and able to produce up to 20 million cameras a year.
#ChinaEconomy#WorldFactory#SupplyChain#Samsung#Canon
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Видео China No Longer “The World’s Factory” канала China Observer