Putting China Into Perspective
By Shlomo Maital
Writing in The Atlantic (August issue), Matt Schiavenza (“China’s Dominance in Manufacturing – in One Chart) helps us put China’s massive industrial capacity into perspective. In just over 3 decades after launching free-market reforms, China massively dominates global manufacturing. Here are a few of the numbers:
● China makes 320 m. PC’s every year, 91% of world output!
● China makes 109 m. air conditioners (80% of world output), 320 m. energy-saving lamps (also 80% world market share), 21.8 gigawatts of solar cell production capacity (74% of global market),
● 1.1 b. cell phones, (71%), 12.6 b. pairs of shoes (nearly two pairs for every human being alive on the planet, or 63 % of world output),
● 1.8 b. tons of cement (60% of world output), 51.5 m. tons of pork (half of world output), 1.8 b. tons of coal (half again), and 77 m. metric tons of shipbuilding capacity (also half).
So in virtually all the world’s key manufacturing areas, China produces at least half of world output. And now, China is designing a new jet liner, to be created and produced in China, to compete with Boeing and Airbus.
Rising wages are pricing China out of manufacturing? Don’t hold your breath, Schiavenza counsels. China has many advantages still, and in addition, a huge domestic market, that can replace any export demand that flags.