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The US Forbes website published on August 31st entitled "Why China will be able to dominate the next generation of manufacturing?" The article said that in a recent article in the Washington Post, "Why China Can't Have Next-Generation Manufacturing," author Vivek Wadwa's new 10-year plan for China "Made in China 2025" Discussed. The goal of the program is to modernize China's manufacturing industry with advanced technologies such as robotics, 3D printing, cloud computing and big data.

       China has invested $150 billion in this huge modernization plan. Wadwa wrote: "But no matter how much it costs, China can't win the next generation manufacturing."

        What is the reason? Wadwa believes that the quality of Chinese robots is poor and the efficiency cannot be higher than that of American robots. Most importantly, China's workforce lacks the skills to do its job in an advanced manufacturing environment.

      The Forbes article stated that it should not be rashly denied that China has the ability to develop its technology and improve its staff. There are signs that China's industry is catching up with the West and in some cases even surpassing the West.

        For example, the Chinese supercomputer "Shenwei" made only with local computer chips is five times faster than the most powerful supercomputer in the United States. In addition, in the field of gene editing, big data analysis or 5G mobile communication technology, Chinese experts are the best in the world.

        The Global Innovation Index 2016, recently completed by Cornell University, Yingshi International Business School and the World Intellectual Property Organization (an organization of the United Nations), believes that China has become one of the top 25 most innovative economies in the world, with Switzerland, the United Kingdom and the United States are shoulder to shoulder.

        In the past nine years, the Global Innovation Index has surveyed more than 100 countries based on 82 indicators. One of the important indicators is called “innovative quality”, which values the quality of universities, the number of scientific publications and the number of international patent applications. China rose to 17th in the ranking of innovation quality, making it the leader of middle-income economies in this indicator.

        According to the article, Chinese manufacturing companies are almost all owned by private or foreign companies. They are completely motivated to innovate and improve. Wages are rising, but productivity is also increasing. According to The Economist, China's productivity is much higher than India and Vietnam, and is expected to grow at a rate of 6-7% per year by 2025.

        Research by Morris Cohen of Wharton shows that China is leading in some industries, and that manufacturing “returns” to developed economies has not occurred on a large scale. In fact, manufacturers want to move production closer to consumers, and nearly 700 million consumers are in China.

       The article said that in fact, China's manufacturing industry is shifting from "Made in China" to "Created in China." There are a large number of huge innovations in the manufacturing and supply chains. SBI Fu, an executive at Swiss engineering firm ABB, once said that China's electronics manufacturing industry is so advanced that "the world is learning from China."

       The article said that even without the "Made in China 2025" plan, China's manufacturing industry will likely pose a huge challenge to American manufacturers. Wadwa seems to have foreseen this too. He concluded the article with a very unconvincing argument: "Even if China solves the technical problems, manufactures high-quality industrial robots, and develops pioneering industrial processes, it still cannot maintain its advantages for a long time. We can Simply import Chinese robots and replicate their industrial innovations."

        The article said that Americans can do better than this. The competitive advantage of the United States should never count on China’s failure, or it can’t innovate itself to replicate China’s innovative products.

Source: Reference message