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Labor Costs in China are Rising, BUT... In less than a decade, China has overtaken every other country to become both the largest manufacturer and largest exporter of goods, especially clothing, in the world. Government subsidies and a cheap labor force have contributed greatly to the success of the manufacturing industry. In some of the most vital economic shifts since the 18th century, China's exports have more than quadrupled in value and its economy outperforms every other competitor, a sudden advantage over any other world power, including India and Bangladesh. Although labor costs in China are on the rise, China’s hold on the affordable labor market is still among the best in the world for companies looking for reliable, efficient, and inexpensive labor in manufactured goods.
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