American Products Made in China: Bringing the Benefits Home to America

It can sometimes be difficult to understand how American products being made in China can help American industries. In fact, over the last two decades, industrialists and economic pundits have rued the fact that America imported most of its component parts and even fully assembled products from China. The rumor at the time was that Chinese equipment was not up to par, and it was compromising the essential quality of American-made items. On top of that, the wholesale importing of component parts also meant that American manufacturers were not buying these parts from local companies. This would directly lead to a fall in internal revenue and a loss of essential labor. However, industry analysts have noticed a simple fact: products made in China and imported as ready products could prove beneficial to America.

Current scenario of Chinese manufacturing

During the last two years, prices and manufacturing standards have largely evened out across the world and at some point in the future costs of having products made in China and the US will be comparable. In the year 2005, there was a distinct manufacturing savings of more than 30% for American companies when they bought product from China.  Countries like the Philippines and Sri Lanka are now in more demand as they offer the same lower wages and low manufacturing prices that China offered.

A word of caution, however – these countries generally have staff that are highly untrained in most areas when compared to China.  They also generally have no regulations in place to help foreign investors and shaky economies that make importing difficult. However, higher labor costs for trained employees, the stronger Chinese Yuan and the cost of shipping products made in China could easily mean that basic manufacturing procedures could move further into inland China in the coming decades to achieve the same price savings and quality.

Chinese manufacturing is here to stay

Chinese manufacturing is here to stay, and in a globalized combination of a digital world and an industrial world with an approaching global economy, the only saving grace for any company or economy is to adapt quickly and efficiently to money-saving options. China is more than willing to adjust its manufacturing practices and standards to ensure that the best products are produced. This compliance with international standards means that American companies can expect international grade equipment at affordable prices. As a result, sourcing parts and equipment to be made in China is affordable and economical, and this means that it is a good idea for America.


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