China'S Manufacturing Edge Is Declining, And US Manufacturing Will Catch Up.

Recently, the Boston consulting company reported that the average cost of manufacturing goods in the United States is only 5% higher than that in China, and experts predict that by 2018, the cost of manufacturing in the United States will be 2-3% cheaper than that in China.

From this point of view, "made in America" is challenging.

"It is not alarmist talk, but a real reality, which requires us to be highly vigilant.

Since 2009, in order to solve the problem of "hollowing out" and rising unemployment, the United States has gradually accelerated the "re industrialization" and vigorously promoted the "return of manufacturing industry". The Obama administration has launched many policies, such as "buy American goods", "manufacturing Promotion Act", "five years export doubling plan" and "internal security employment promotion initiative", to help the US manufacturing revival and gradually reflect the policy effect.

Since the reform and opening up, China has developed rapidly on the basis of low price of productive forces, such as labor, land, and so on. A large number of foreign manufacturing enterprises have been entered, and all kinds of manufacturing industries in China are flourishing. These once boosted the development of China's economy, among which the three corners of the Pearl River and the Yangtze River Delta are the most.

However, with the increase of production cost, the advantage of demographic dividend, and the lack of production technology and market development, manufacturing enterprises in China are making great efforts.

Faced with the challenge, the cost gap between China and the United States is gradually narrowing. In recent years, China's labor remuneration growth is staggering. From 2005 to 2010, the wage level of Chinese workers increased at an annual rate of 19%.

In 2014, Japan's trade promotion agency survey showed that the average annual labor cost of Chinese manufacturing workers (including wages, benefits, bonuses and social security payments) was $8204, while Indonesia was $4481, India was $3618, Vietnam was 2989, Bangladesh was 1580 US dollars.

Contrary,

Due to innovation and technology upgrading, the advantages are expanding and the cost is gradually decreasing.

After the financial crisis, the cost of labor in the United States has been declining.

The Boston Consulting Group's research report said that manufacturing industry is returning from China to the United States because China's rising wage level is weakening its competitiveness.

This shift could increase the United States by 2 million 500 thousand to 5 million jobs.

The United States is gradually becoming one of the lowest cost manufacturing countries in developed countries.

Liu Xu, director of the futures research and development center, said, "in the short term, the manufacturing industry in the United States is still hard to build up, but the vitality of the manufacturing industry is rising.

In the medium and long term, the return of manufacturing industry will play a positive and optimistic role in the competitiveness of the United States and the consolidation of hegemony. "