tag:blogger.com,1999:blog-10698887.post4639815605983500035..comments2023-10-22T18:25:39.688+08:00Comments on The View from Taiwan: Economic ShortsMichael Turtonhttp://www.blogger.com/profile/17974403961870976346noreply@blogger.comBlogger6125tag:blogger.com,1999:blog-10698887.post-32884358111211809932007-10-10T11:31:00.000+08:002007-10-10T11:31:00.000+08:00In 1993, hiring a factory worker in Guangdong cost...In 1993, hiring a factory worker in Guangdong cost 500 RMB a month.<BR/><BR/>In 2003, the cost is now four digits and the hiring and work standards are that much more stringent. Land and housing construction costs have risen accordingly--so has product quality and facility technology.<BR/><BR/>That kind of resembles moving up the value chain.channinghttps://www.blogger.com/profile/06386334271601532591noreply@blogger.comtag:blogger.com,1999:blog-10698887.post-278978691303201442007-10-09T04:36:00.000+08:002007-10-09T04:36:00.000+08:00Sure, anonymous. 10 years ago, most motherboards ...Sure, anonymous. 10 years ago, most motherboards were manufactured in Taiwan, and mainland China's top manufacturing industries were low-technology goods. Now, the majority of the world's motherboards are manufactured in mainland China, and even laptop production is moving that way. The next major steps will probably be software and bio-tech. China is also rapidly becoming a world leader in solar cell technologies.<BR/><BR/>Right now, the labor cost of a Chinese manufacturing laborer is already quadruple that of that of an Indian laborer. Costs are rapidly becoming too high for simple textiles.<BR/><BR/>Google news is a great place to keep up on this kind of thing.Markhttps://www.blogger.com/profile/09652288045145591799noreply@blogger.comtag:blogger.com,1999:blog-10698887.post-27279748442904210642007-10-08T02:23:00.000+08:002007-10-08T02:23:00.000+08:00I've read anecdotes of Chinese supplier testing wa...<B>I've read anecdotes of Chinese supplier testing waters and finding buyers accepting higher prices, but this is not moving up the value chain so much as they were probably pricing incorrectly previously.</B><BR/><BR/>CPI is a lag indicator...btw, look like Taiwan CPI is not cheating. America takes out food and energy that's why you get around 2%. If you include food adn energy...it is above 12%. FED you should increase increase rate now!!! Not lowering it. I see stagflation coming.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-10698887.post-39384997138282459802007-10-07T04:05:00.000+08:002007-10-07T04:05:00.000+08:00Mark, they are much more expensive, but do you hav...Mark, they are much more expensive, but do you have good evidence of them moving up the value chain?<BR/><BR/>I've read anecdotes of Chinese supplier testing waters and finding buyers accepting higher prices, but this is not moving up the value chain so much as they were probably pricing incorrectly previously.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-10698887.post-48827888791527743302007-10-06T21:40:00.000+08:002007-10-06T21:40:00.000+08:00Yeah. China's moving up the value chain pretty qu...Yeah. China's moving up the value chain pretty quickly. Top-tier cities aren't really that much of a bargain anymore, and moving inland to the 2nd-tier cities has costs of its own. I wouldn't be surprised if we saw a lot more manufacturing moving to less developed Asian countries over the next few years.Markhttps://www.blogger.com/profile/09652288045145591799noreply@blogger.comtag:blogger.com,1999:blog-10698887.post-5114310591220040462007-10-06T20:52:00.000+08:002007-10-06T20:52:00.000+08:00"Chang Chih Ming said. 'They want to diversify the..."Chang Chih Ming said. 'They want to diversify their investment (from China) to minimize risks.'"<BR/><BR/>And I am sure that the rising costs of labor in China are playing a big role too. Based on what I have been reading recently about the troubles Chinese factory owners are having finding skilled labor at a low cost, I would be almost willing to bet that setting up shop in Vietnam costs less.Tommyhttps://www.blogger.com/profile/13552370490869601403noreply@blogger.com