Understanding China's manufacturing value chain

China's dominant position in mass production is well established. More recently the country has been seeking to extract greater benefits from its manufacturing sector by increasing its involvement in higher-end activities and across all elements of the manufacturing value chain. These developments present significant opportunities for UK businesses who can offer complementary capabilities and who are prepared to enter into partnerships with Chinese firms.

 

This study of manufacturing in China identifies opportunities for UK and Chinese companies to work together for mutual benefit. Case studies from three selected sectors identify key characteristics of China's manufacturing value chain, and the opportunities that may result from further international collaboration.

 

The research is based on case studies with selected China-based companies including interviews with senior operations management on the development of their manufacturing value chains. The analysis has also been informed by discussions with senior Chinese policy makers and academics on trends and future priorities. The report presents the case studies within a sector-wide context to identify broader trends.

 

The case study analysis takes a comprehensive approach, covering all parts of the value chain, from R&D and design, through to after-sales service.

 

The report is based on case studies from the Pearl River Delta, Yangtse River Delta and Pan-Bohai regions in 2007, and two investigative field trips to Beijing, Shanghai, Guangzhou and Chongqing conducted in early 2008.

 

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ISBN 978-1-902546-69-8