Will China Seize To Be An Industrial Hub?

The US-China Trade War


Companies worldwide have been accustomed to making their manufacturing factories in China due to several reasons. But the US-China trade war has proved to be fatal for both. Herein you will find, Why is China an Industrial Hub? Are tech-firms planning to leave China? And Does this mean that China will seize to be an Industrial Hub? And What part should Pakistan play in this trade war?

Why Is China The Prefered Industrial Hub?

Companies prefer China to set-up their industries due to several reasons, some of which are mentioned below

Cheaper Labour

Industries do not have to train the labour much. Moreover, due to the huge population of China labour works at
significantly low wages which is beneficial for the businessmen.

Lower manufacturing costs

As the Chinese companies order high volumes of materials to meet the market demand the manufacturing cost is relatively very low.

Higher production capability

China produces goods for the global economy thus they have a huge demand for products.
Businessmen invest in China due to which the factories produce quality products which in turn increases the production capability.

HP, Dell And Other Tech Firms Plan To Shift Production Out Of China:

Recently we have heard that firms such as “Personal computer makers HP Inc” and “Dell Technologies” are planning to shift some of their production firms outside China spurred by the trade war between Washington and Beijing.

Following these corporates, Microsoft, Alphabet Inc, Amazon.com Inc, Sony and Nintendo Co Ltd are also looking forward to moving some of their game consoles and smart speaker manufacturing out of China.

The US president ‘Donald Trump’ and the Chinese president ‘Xi Jinping’ talked at last weekend’s Group of 20 summits in Japan to stop the enmity. The reason these companies gave for the shifting was the high operating cost in China. Similarly, in June 2019 Apple Inc also moved it’s 15-30% production capacity from China to Southeast Asia.

Will China Seize To Be An Industrial Hub?

We cannot say anything for sure at this time that what the future may bring. But one thing is for sure if the US is a superpower so is China. And China has proved itself of being an amazing, hard-working, innovative nation and yet in the coming years, we will see that it proves to be self-sufficient.

We are already facing several of the US conspiracies of faking realities and crushing nations. Whether it be Iraq or the Syrian conflict, it is the US all over playing its cards. If it tries to destroy China by attacking its economy I, as a Pakistani, will always stand by China. And this should be our only stance towards this trade war. To support China and to support it survive through this and become self-sufficient.

Aiza Riaz Butt

I am a proud Pakistani and an ambitious student who is determined to become a socio-religious revolutionist in the long-run. My relation with the world of technology is not only interest-based but it is our family business and that gives me a double affiliation with it. Hope my words provide you with blessed knowledge. Feel free to hit me up if you have any queries.
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