Americans are no longer willing to come to India and set up factories, the more difficult it is for India to become the world’s factory, and Chinese manufacturing has the upper hand.
Jay Forman, CEO of the American toy company Basic Fun, said that he considered moving some of his business to India or Vietnam</span class=”entity-word” data-gid=”505295″>Vietnam. span>, but in the end found that staying in China is the best choice. China still has the best production and supply chain in the world. Facts have proved that China can respond to the epidemic faster and more effectively than any other country. So, what about the performance of the manufacturing industry in India and Vietnam, which have been vigorously developing manufacturing industries in recent years? Coincidentally, things have been updated.
The latest report of The Times of India, in response to the recent violent smashing of manufacturing companies in India, the Indian media reader Jasmeet Kohli said that such incidents will seriously damage India’s image in the eyes of international investors. Reader Jay Boro said that these Indian contractors are typical scammers. Foreign companies are still willing to come to India to set up factories, which surprised me. Reader Umair Ahmad said that Apple would think that China is safer than India in terms of industrial security. We Indians are too stupid, we will dig our own graves one day. Anantha Prasanna said that foreign companies will not be willing to come to India to set up factories in the future when such violence occurs, and Chinese manufacturing once again has the upper hand. Indian workers dig their own graves.
The printing media reported that this manufacturing company was smashed The indictment filed with the police and the Ministry of Labor stated that the violence at the company’s iPhone assembly plant in Golar on Saturday has caused an estimated loss of 4.37 billion rupees. The indictment stated that the loss was mainly due to the looting of thousands of iPhones and the destruction of assembly lines and factory equipment. The analysis believes that the incident in the Indian manufacturing industry once again shows that the Indian economy does not have a good business environment.
In this regard, Reuters analyzed and reported on December 16 that due to the recent violent smashing of manufacturing companies in India, it may block Apple’s plans to expand manufacturing operations in India. Injured. In fact, before this, Indian manufacturing has shown obvious fragility.
For example, since September this year, many large Export-oriented textile companies cannot guarantee normal delivery due to the epidemic. To ensure that the supply is not affected, European and American retailers have transferred a number of orders originally produced in India to China for production. Among the orders transferred from India to China, orders for towels, bed sheets and other products are relatively large, and some companies have already placed their orders until May 2021.
Pirin, the editor-in-chief of the Asian edition of the British Financial Times, believes that India does not have a good reputation in manufacturing, and even Indians themselves look down upon Indian products. The so-called”patchwork innovation” made in India is a product of scarce materials-Indians put parts together with tape, paint, and prayers. The name of Indian manufacturing has gained a resounding name, but it looks like a”mirage.””While Indian consumers are not interested in Indian products at all, they rely heavily on products made in China.
“The Hindu” once reported that during the major Hindu festival (“Lighting Festival”), the market sold such as lamps, incense, fireworks, statues, etc. Related products are almost all produced in China. The Hindustan Times cited a survey report earlier and found that 83%of the 8,973 Indian consumers surveyed said that the price and quality of Chinese products Double advantage, irreplaceable. Some Indian consumers said,”We can’t stand the days without made in China.” The following data is supporting this view of Indian consumers.
According to media reports, although The Commonwealth of India strives to make India “self-reliant”, but India’s imports of Chinese goods have surged. Several since India’s “self-reliance” campaign was proposed in May In the past month, India’s imports from China actually increased. According to the latest data from the Federation of India, China is not only India’s largest trading partner and source of imports. In the six months ending in September, China’s total imports from India The share of China has increased from 13.7%in the previous fiscal year to 18.3%.
On the other side of the matter, the reason why Indian manufacturing is difficult to improve is that India is full of various”informal” economic models, which are also obstacles to the development of Indian manufacturing. Foreign media said that India is huge. The “informal” economy accounts for nearly half of India’s economic activity, and mainly includes day laborers, one-person shops, and roadside barber shops. They operate cash businesses and do not pay taxes. Although a key goal of the Federation of India in recent years is to reduce the informal economy, Actually, it has stagnated.
However, it is interesting to note that Indian manufacturing started more unrealistic ideas when the basic production capacity has not yet reached the standard. For example, the Indian media three weeks ago Said that the Indian economy is planning the super high-speed rail project. The Indian super high-speed rail is expected to be as fast as an airplane, up to 1,000 kilometers per hour, The number of passengers is large. However, this super high-speed rail plan in India has attracted many Indian netizens questioning. They all said that this plan is too ridiculous.
Some Indian netizens said that in India, it takes three generations to acquire land alone. The Hyperloop will come to India in 100 years. India needs to solve the safety problem of the train first, and then consider the higher-level high-speed rail, and the super high-speed rail is almost watching the moon in the water. It is worth mentioning that in terms of high-speed rail, accidents have occurred frequently since the first domestically produced train”Salute India” last year.”Salute India” cannot be called a high-speed rail in the true sense, because its maximum test speed is 180 kilometers per hour, while the actual maximum operating speed is 160 kilometers per hour, so it is called”semi-high speed rail.”
As for Indian trains, another Indian netizen said that once there was a problem with the flight I was taking, I had to take a coal-burning train from Mumbai to Delhi. The journey took three and a half days. When I arrived, I was covered with soot. These signs all show that India has a long way to go from being a real world factory, and it is difficult or impossible to become a real world factory at all. At this time, Vietnamese manufacturing and Indian manufacturing are facing similar problems.
Currently, many products made in Vietnam are still inseparable from China Enterprise supply. For example, Vietnam is currently not self-sufficient in the production of non-woven fabrics for medical products and is heavily dependent on imports from Chinese companies. At the same time, manufacturing in Vietnam is far from mature in terms of industrial scale and capabilities. US media CNBC earlier quoted Bain & Company vice president Gerry Mattios as saying several weeks ago that global manufacturing factory facilities will become more scattered. We believe that Southeast Asia will not become the world’s factory.
Experts further explain that in Southeast Asia, people often only Saw some assembly lines, but not all. In other words, experts believe that Vietnam in Southeast Asia cannot become a real world factory. Coincidentally, Nguyen Chi Dung, the Minister of Planning and Investment of Vietnam, stated a few weeks ago that if Vietnam does not catch the Industry 4.0 train, the real gap between Vietnam and other countries will grow. (End)