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Who is paying for China's price advantage today ?

Chinese products in the world have had and still have a competitive advantage mainly due to the price factor.

The main factor in the superiority of Chinese products in the world is price, but certainly not quality.

But if earlier China achieved this competitive price advantage due to the low cost of labor in the cost of its products + the deliberately low exchange rate of the Chinese yuan, which Among other things, it helped attract investments from developed countries to China, and today it is already being given a head start in this direction by cheap energy resources from the Russian Federation (Belarus, by the way, also gives them a free forest), but certainly not the former labor cost of the Chinese themselves.

As a result, if investments do not go to Russia, they continue to go to China. Honey is still smeared there for the capitalists.

That is, Europe withdraws its capital from the Russian Federation for obvious reasons, transfers it to China and eventually receives the same products made from Russian raw materials, only through China.

Have you ever wondered why, for example, the same Germans are increasingly buying cars of premium brands in their automotive industry, made in China, and not in Germany?

China's potential as a country capable of producing inexpensive products without reducing the wages of its population has grown significantly over the past five years.

And in the near future, this trend will only intensify.

It remains to be seen at whose expense and to what extent this partnership is truly mutually beneficial.

автор - Михаленко Р.
M R. Автор - kaktotak.by Specialization: financial and economic design - modeling of business, investment projects of the real sector, analysis and evaluation of efficiency, optimization of the management decision system.

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