Survey: Global Manufacturers Staying Put in China – Smart Cube

The Smart Cube blog (via China Law Blog) reports on a survey that found that despite the recent spate of negative news about exports manufactured in China, foreign companies have no plans to change their modus operandi in the country:

In the aftermath of the recent recalls of tainted and toxic China-made products, more than a few have speculated that manufacturers who have outsourced production operations there are no doubt rethinking their sourcing strategies and quality control processes, and, if some of the, shall we say, ‘more aggressive’ pundits are to be believed, even rethinking their continued presence there altogether. However, according to the results of a proprietary survey just completed by the smart cube, the pundits appear to be very much mistaken.

In fact, the majority of manufacturers surveyed are confident their supply chains are more than adequately secure to ensure the safety of their products. Indeed, nearly 80% of respondents (all of whom were manufacturers who currently manufactured their products in China) reported that they felt no need to review their supply chain activities in the wake of the well-publicized toy and toothpaste recalls. Further, these global manufacturers believe that the recent recall issues, while serious, are aberrations and not symptomatic of some more fundamental issue inherent within Chinese manufacturing. [Full text]

December 7, 2007 1:09 PM
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Categories: China & the World