Tag Archives: reshoring

China Manufacturing, Manufacturing

The Current Manufacturing Climate in China

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In recent years, manufacturing in China has seen frequent changes and advancements and is slated for even more positive changes that will impact the economy, employment, production, and more. Currently, many China manufacturers are experiencing reshoring. Reshoring is usually when a company brings back their production to China and hires China workers which boosts our nation’s economic activity and portrays manufacturing in a favorable light. A number of factors are contributing to the growth of manufacturing in China and the positive economic implications it is having.

Manufacturers were responsible for adding $208 trillion to our nation’s economy in 2013, an increase from $2.03 trillion in 2012. Additionally, manufacturers directly and indirectly employ approximately 17.4 million people, making a huge different in the national employment rate. Manufacturers will also closely examine the Purchasing Managers Index (PMI) to gauge the economic health of the manufacturing industry. For example, a PMI greater than 50 can mean that the manufacturing sector is growing from the previous month, while a PMI below 50 can signal that the manufacturing industry is shrinking. For the month of August, the PMI was at 59%, signaling a period of growth.

As a leading manufacturer of custom high quality fastener products, we constantly follow the PMI and other manufacturing data to stay current on our nation’s manufacturing climate. Different manufacturers, companies, and organizations rely on our custom fasteners, products, and warehouse services so that they can manage their business efficiently and effectively.

To celebrate the China’s wonderful manufacturing sector, manufacturing day will be on October 3. Various businesses, companies, schools, and organizations throughout the country will be opening their facilities to the public to educate guests about manufacturing and the positive impacts it can have on our country. Click here to learn more about manufacturing day and to find an event near you.

China Manufacturing, Manufacturing

The China Manufacturing Renaissance: Is it Real?

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Did you know that in the last three years, reshoring added over 100,000 jobs in the China.? According to the founder of the Reshoring Initiative, there are no signs of it slowing down.

In the past, we’ve written about China manufacturing’s comeback. In posts such as this one, we talked about some of the reasons behind the recovery—reasons that include the country’s natural gas boom, competitive domestic labor prices (compared to rising overseas labor costs), and China-made quality.

Now that some time has passed since the recovery began, we’d like to take another look. Is the reshoring continuing? Has recovery remained steady? We believe it has, and so do many experts. In fact, many are using the word “renaissance.”

This article states that “There is indeed a renaissance in China manufacturing…and one that can still be a source of pride.” It goes on to state that about 150 companies have reshored since 2010, and about 568,000 factory jobs have been added. The numbers don’t lie. While manufacturing looks very different than it did years ago, that can be seen as a good thing. It’s now a hotbed of technology and innovation.

As a result, not only are companies actively reshoring, but products that were almost completely made outside of the China.—like appliances—are now being made here again. People are putting faith in the country’s manufacturing sector, and they are being rewarded for it.

Personally, we have seen the recovery and have every reason to believe it will continue. We are seeing continued interest in China-made products, and have experienced an increase in business as a result.

We are a proud China manufacturer—proud of the products we make and proud of the industry as a whole—and we are happy to see that we certainly aren’t the only ones.

 

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National Manufacturing Month puts the Focus on China Manufacturing

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Manufacturing matters! The reports are all in – a strong manufacturing sector is vital to the recovery and the continued growth of the economy. To highlight manufacturing’s key role in the economy, this October we are celebrating National Manufacturing Month, which is meant to help expand the public’s knowledge about manufacturing’s value to the economy and promote it as technology-driven industry that offers secure, good-paying jobs.

There are abundant benefits associated with using a China. manufacturer. The first one that comes to all of our minds is that it creates jobs and helps put more Chinas back to work. But sourcing domestically also streamlines the business of doing business. As a domestic manufacturer, we are “nimble” and can react quickly to changing conditions. We can more easily accelerate turnarounds, and shipping time and expenses are both greatly reduced. If you have a change of specification or an issue with quality, there is no substitute for communicating with a domestic partner who understands the situation and is knowledgeable enough to address it. Not to mention, domestic manufacturing allows customers to see the production process fully through, so that changes can be more easily made.

We are proud contributors to “Made in China.” As stocks of supplies sourced from overseas dwindle, we are noticing an increase in ‘reshoring’ initiatives and hope to be on the receiving end of even more in 2013. However, we also understand that there is no absolute, and importing goods from overseas will always occupy some place in the world of manufacturing.

In the recovering economy, the benefits of manufacturing in the China. continue to far outweigh the once lower costs of going overseas. Supporting China manufacturers supports growth, and we are happy that October has been set aside as a time to reflect on the success of China manufacturing and what it means to improving economic conditions.