Tag Archives: China

China cost advantage for manufacturing to disappear by 2015 ?

A report by the Boston Consulting Group (BCG) summarized in Supply Chain Digest (June 6, 2011) describes wage growth in China of 17 % a year (vs 3 % in the US) , increasing appreciation of the Yuan and labor … Continue reading

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China’s electricity rates and global supply chain impact

An article in the International Herald Tribune (25 May 2011) describes the fact that China’s central government has forced lower electricity prices to maintain export competitiveness. But utilities have responded with lower production, thus increasing production costs for factories. A … Continue reading

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Power cuts in China and manufacturing impact

A Wall Street Journal article (18 May 2011) describes electricity rationing in Taizhou, China, which required some factories to halt production one day a week in March, two days a week in April and three days a week in May. … Continue reading

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Fragmented Trucking in China and Supply Chain Impact

An article in the New York Times (April 29, 2011) describes the fragmented, unregulated trucking industry in China and the consequent cost per mile of $ 2.50 to $ 3.00 per mile vs the US coat of $ 1.75 per … Continue reading

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