Are you looking for China manufacturing cities to buy items and sell in other countries? The question is what are you going to sell?
China has witnessed explosive growth in the last few decades. The economic progress the country has made is beyond imagination. And that is all because it has gained the title “World’s Manufacturing Hub” due to the modernized reforms and policies.
Because of the improved quality and wide variety of the products, importers are trying their best to source the items from China. If you are given a choice of picking up a city and importing products from there, which one will it be?
To help you with that, the guide “China Manufacturing City” comprises details that will help you in selecting the city to start the business and find your desired products. The information mentioned in this article will give you a complete view of China and which cities are popular for their products.
Table of Contents
Chapter 1: 4 Reasons Why China’s Manufacturing Cities are Popular
When you talk about getting any product manufactured, the first place that comes to mind is undoubtedly China! So, which China manufacturing city are you going to opt for? Are you going to go to Guangzhou or Guangdong or Zhejiang? Undoubtedly, it is a very difficult decision to make. Moreover, people wonder why we only talk about the China manufacturing cities and not the other manufacturing hubs in the world. In this chapter, we are going to shed light on the 4 reasons why China’s manufacturing cities are so popular
1) Technological Advancement
There was a time when China was famous all over the world for its low labor costs and skilled labor. On the other hand, there was this misconception about China that the only thing they have is cheap labor. Otherwise, they don’t have any technology and just mass product the items. However, China proved the world wrong. It has been over a decade since China is topping the world when it comes to exports. A major reason for this is the technological advancement that the China manufacturing companies have made.
China is not only adapting any new technology that comes its way but is also at the forefront of developing technology. It is one of the very few countries that is already using robots in their manufacturing process.
Thus, eliminating all the elements of human error and making the process accurate, precise and quick!
2) Economies of Scales in Production
Just a look at this figure above shows that China is the largest producer and exporter of toys in the world. But, why is this so. Have you ever stopped and thought about it? The reason behind this is that the Chinese manufacturers are some of the best in the world when it comes to reaching economies of scale. Even some of the smaller ones have achieved it.
Read this article to understand how to find the top Chinese manufacturers for your business.
Moreover, because of the economies of scale, the manufacturing cities of China gain a cost-advantage as compared to the rest of the world. This means that they provide cheaper items at very affordable prices.
3) Excellent Logistics Infrastructure
Everything that goes on in China seems to be planned. All the major manufacturing cities have an excellent logistical infrastructure. The roads and the cities themselves are fully equipped for carrying out production.
Most people are not aware of it but logistics plays a major role in the manufacturing process. The arrival of raw materials and the dispatch of the final products need to be smooth.
For instance, if the roads are broken and bumpy, fragile products will be at a risk during transport. Additionally, the time to transport the products will also increase.
Another interesting factor is that most of the manufacturing cities in China are near to the port. Thus, making it easier and cheaper for products to ship out!
4) Strong Business Environment
China is one of the very few countries in the world in which the government pays so much attention to nurturing the business environment of the country. What importers/exporters need to understand that global industrial production does not take place in just one factory. For a product to be made, there is an entire ecosystem that comes together.
The business ecosystem contains the manufacturer, supplier, distributors, agencies, customs, government, consumers and many more! All these make up the business ecosystem.
In China, the business ecosystem has evolved majorly during the last 3 decades. For instance, Shenzhen is the manufacturing hub for electronic goods. If you take a look around the city, you will find that the entire supply chain was manufacturing the electronic goods is present there from low-cost workers to technical staff to assembly line workers.
If you still want to know more about China and the China manufacturing city, you can talk to our Sourcing Agent. Book a free appointment today and get down to clearing all your sourcing queries.
Chapter 2: China Manufacturing Cities in Guangdong
The first province in “China Manufacturing City” is Guangdong. Guangdong is a coastal province that lies along with the South China Sea. The province is the most populous province of the country and it is contributing almost 1.66 trillion USD of GDP.
Guangdong province provides all kinds of computers and its parts, we can see the exports grew 9.2% of these products even in 2020.