China’s Irreplaceable Position in the Global Supply Chain

No comments

The first China International Supply Chain Promotion Expo was held in Beijing from November 28th to December 2nd. As the world’s first national exhibition themed on supply chains, the Expo brought together over 500 domestic and foreign enterprises and institutions, integrating five major industry chains and supply chain services exhibition areas, including clean energy and digital technology. Many international participants stated that the global supply chain is currently facing restructuring, and China continues to play an important role in building a global industrial and supply chain system that is secure, stable, smooth, efficient, open, inclusive, and mutually beneficial.

The “Global Supply Chain Promotion Report” released at the Expo believes that the world economy is struggling to recover, and economic globalization is facing a backlash. The global supply chain is undergoing restructuring, showing trends of regionalization, diversification, digitalization, and greening.

Digitalization is driving the restructuring of the global supply chain. Paul Hansen, head of trade facilitation at the United Nations Conference on Trade and Development, stated that the organization continues to focus on achieving a more diverse and higher-level global supply chain system through digital solutions. It looks forward to multilateral cooperation through joint efforts of governments and the private sector to achieve the United Nations’ Sustainable Development Goals.

Greening is another trend in the development of the global supply chain. Facing the new stage of deep adjustment in the global supply chain pattern, China is firmly grasping the green transformation development model. Renowned multinational companies like Maersk Group also hope to seize opportunities for transformation in new energy and smart connectivity through this Expo, working with Chinese and global partners to inject new vitality into the stability and development of the global green industry and supply chain.

At the Expo, China’s role in the global industrial and supply chain was highly affirmed. Faruk, a China affairs consultant at the World Turkish Business Council, expressed that China plays a positive role in the global supply chain with its strong industrial and production capabilities. Green agriculture, new energy vehicles, artificial intelligence, and other fields will become new focal points for the future development of the global economy, with China also playing a key role in these areas.

“China’s position in the global supply chain is irreplaceable,” stated Chris Pereira, CEO of China Meixun (Shenzhen) Information Technology Consulting Co., Ltd. China’s manufacturing industry, with its high degree of automation and vast market, has a cost advantage in raw material procurement and component production.

Nguyen Thi Mien Ha, Brand Manager at Vietnam Sunshine Joint Stock Company, noted that the Chinese economy is deeply integrated with the global supply chain. China’s manufacturing industry, market size, and connected logistics network promote the effective and rational operation of various elements of the global industrial and supply chain. China’s investment in supply chain infrastructure and the digital economy has improved the operational efficiency of the global supply chain.

The Expo provided an important platform for consolidating and strengthening global industrial and supply chain cooperation. The Hungarian Ambassador to China, Bai Sidi, told reporters, “Interconnectivity is in our common interest, and I believe this is also the significance of holding the Expo.”

Plinio Innocenzi, a professor at the University of Sassari in Italy, believes that the global geopolitical situation has a profound impact on the stability of the supply chain, emphasizing once again the importance of maintaining openness and cooperation.

In response to the so-called “supply chain shift” rhetoric, Gary Hufbauer, a senior fellow at the Peterson Institute for International Economics in the United States, told reporters that many Chinese products are not only affordable but also of good quality and delivered quickly. Attempts by some to reject Chinese products will not succeed, and the result of the “supply chain shift” is much ado about nothing.

Share this:

[addtoany]

Leave a Comment