The Great Japan Earthquake not only accelerated the transformation and upgrading of manufacturing companies in parts of China, but also accelerated the pace of Japan’s manufacturing transfer to China.
A few days ago, ADVICS Co., Ltd., the largest original supplier of automotive brake systems in Japan, announced the establishment of the ADVICS Automotive Brake System China R&D Center. Almost at the same time, Nitto Ind. Co., Ltd., Japan's largest manufacturer of communications chassis cabinets, also announced a capital increase in China, adding the registered capital of Chinese companies from US$1.2 million to US$15.5 million.
These are interpreted by the industry as a signal that Japan is accelerating the transfer of manufacturing to China. In contrast with the past, the core technologies that have been regarded as “highly confidential†and “closed†by Japan have partly been transferred to China.
Dual factor “fermentation†Mu Shusheng, executive director of Ruibizjia Technology Industrial Co., Ltd., told reporters: “Now Japan does not accelerate (manufacturing to China) is not.†On the one hand, China’s dependence on Japanese manufacturing is relatively large, and some core elements after the earthquake. The gaps between components and electronic chips are very large, and because these vacancies will not be able to be filled at one and a half, many domestic manufacturers are actively looking for alternatives in their own country. On the other hand, some Chinese manufacturing companies also cater to this demand (gap). Accelerating transformation and upgrading is not a big issue for Japanese manufacturers."
Nitto Kato, president of Nitto Ind. Co., Ltd., told reporters that two of Nitto's eight factories in Japan were affected by the earthquake, which was the direct reason for the company’s acceleration in China. "In this investment in China, some of the investments will produce more earthquake-resistant industrial products. In addition, the growth rate of China's manufacturing industry itself is also an important reason for accelerating the company's entry into China."
According to a study released recently by the US economic consulting agency HIS Global Insight, China accounted for 19.8% of the world's manufacturing output in 2010, which was higher than the United States' 19.4%, making it the world's largest manufacturing output power. In the future, China's manufacturing industry will continue to develop.
Insiders pointed out that after the earthquake, Japan accelerated the industrial transfer, more to share the rapid development of China's manufacturing industry.
According to an analysis by the General Administration of Customs in 2010 on Sino-Japanese trade, China imported 119.98 billion mechanical and electrical products from Japan last year, which is close to 70% of the total value of imports from Japan during the same period. Yao Jian, spokesman of the Ministry of Commerce, said at a recent press conference that Japan is China’s third largest trading partner and the largest import market, accounting for 12.6% of China’s total imports. At the same time, Japan’s investment industry in China is very concentrated. In the region, a large number of Japanese-funded enterprises carry out production and trade investment activities in China, so a major earthquake will affect the trade and manufacturing investment of the two countries.
Japan's exports to China are mainly high-tech products, electromechanical equipment, and precision instruments. The earthquake directly hit the leading industries in the affected areas, and the supply of petrochemical, electronics, and auto parts dropped drastically. In the case of traffic congestion, due to the division of labor and the deepening of clusters, industries in other regions of Japan are also unable to operate normally, resulting in insufficient supply. It has a great influence on China's related industries.
The industry believes that these are also the strategic reasons for Japanese manufacturing companies to consider accelerating the transfer to China.
Is the core technology transferred?
However, the industry doubts whether Japan will transfer core technologies together. Because the Japanese economy has always adopted an "extensive" development strategy, relying on its own control of the core of technological frontiers, it will only transfer production and manufacturing links from labor-intensive or resource-intensive products to developing countries.
Zhang Xiaozheng, vice president of the China Federation of Machinery Industry, told reporters that Japan has always been very closed in terms of cutting-edge technology and rarely transfer high-end or core technologies to other countries. Although some parts of Japan’s manufacturing industry were severely damaged by the earthquake, they did not Ultimately, it is difficult for Japan to transfer high-end technology to China. Change may occur quietly.
Kato said in an interview with reporters that the company’s capital increase in China will not only bring about related manufacturing industries, but also include the most core technologies. ADVICS Co., Ltd. also announced at the launch of the China R&D Center that it is necessary to increase the research and development of cutting-edge technologies of Chinese companies.
In fact, this earthquake may cause many of Japan's leading edge technology products to gradually lose their previous advantages. “For instance, Japan’s reduction in the supply of automobiles, panels, chips, and other products will only lead to the expansion of its international counterparts, thereby reducing its market share. These products are not unique to Japanese companies.†think.
Some domestic manufacturers of manufacturing products also told reporters: "A lot of core components in China are already available, such as communications chassis cabinets, China can completely manufacture. Japan's advantages are mainly reflected in the stability of product performance." The agent believes that due to the rapid and diversified development of technology, the former advantage of Japanese products is facing **, which is also the reason why Japanese manufacturing industry has accelerated its transfer to China, “including some frontier technologies.â€
A few days ago, ADVICS Co., Ltd., the largest original supplier of automotive brake systems in Japan, announced the establishment of the ADVICS Automotive Brake System China R&D Center. Almost at the same time, Nitto Ind. Co., Ltd., Japan's largest manufacturer of communications chassis cabinets, also announced a capital increase in China, adding the registered capital of Chinese companies from US$1.2 million to US$15.5 million.
These are interpreted by the industry as a signal that Japan is accelerating the transfer of manufacturing to China. In contrast with the past, the core technologies that have been regarded as “highly confidential†and “closed†by Japan have partly been transferred to China.
Dual factor “fermentation†Mu Shusheng, executive director of Ruibizjia Technology Industrial Co., Ltd., told reporters: “Now Japan does not accelerate (manufacturing to China) is not.†On the one hand, China’s dependence on Japanese manufacturing is relatively large, and some core elements after the earthquake. The gaps between components and electronic chips are very large, and because these vacancies will not be able to be filled at one and a half, many domestic manufacturers are actively looking for alternatives in their own country. On the other hand, some Chinese manufacturing companies also cater to this demand (gap). Accelerating transformation and upgrading is not a big issue for Japanese manufacturers."
Nitto Kato, president of Nitto Ind. Co., Ltd., told reporters that two of Nitto's eight factories in Japan were affected by the earthquake, which was the direct reason for the company’s acceleration in China. "In this investment in China, some of the investments will produce more earthquake-resistant industrial products. In addition, the growth rate of China's manufacturing industry itself is also an important reason for accelerating the company's entry into China."
According to a study released recently by the US economic consulting agency HIS Global Insight, China accounted for 19.8% of the world's manufacturing output in 2010, which was higher than the United States' 19.4%, making it the world's largest manufacturing output power. In the future, China's manufacturing industry will continue to develop.
Insiders pointed out that after the earthquake, Japan accelerated the industrial transfer, more to share the rapid development of China's manufacturing industry.
According to an analysis by the General Administration of Customs in 2010 on Sino-Japanese trade, China imported 119.98 billion mechanical and electrical products from Japan last year, which is close to 70% of the total value of imports from Japan during the same period. Yao Jian, spokesman of the Ministry of Commerce, said at a recent press conference that Japan is China’s third largest trading partner and the largest import market, accounting for 12.6% of China’s total imports. At the same time, Japan’s investment industry in China is very concentrated. In the region, a large number of Japanese-funded enterprises carry out production and trade investment activities in China, so a major earthquake will affect the trade and manufacturing investment of the two countries.
Japan's exports to China are mainly high-tech products, electromechanical equipment, and precision instruments. The earthquake directly hit the leading industries in the affected areas, and the supply of petrochemical, electronics, and auto parts dropped drastically. In the case of traffic congestion, due to the division of labor and the deepening of clusters, industries in other regions of Japan are also unable to operate normally, resulting in insufficient supply. It has a great influence on China's related industries.
The industry believes that these are also the strategic reasons for Japanese manufacturing companies to consider accelerating the transfer to China.
Is the core technology transferred?
However, the industry doubts whether Japan will transfer core technologies together. Because the Japanese economy has always adopted an "extensive" development strategy, relying on its own control of the core of technological frontiers, it will only transfer production and manufacturing links from labor-intensive or resource-intensive products to developing countries.
Zhang Xiaozheng, vice president of the China Federation of Machinery Industry, told reporters that Japan has always been very closed in terms of cutting-edge technology and rarely transfer high-end or core technologies to other countries. Although some parts of Japan’s manufacturing industry were severely damaged by the earthquake, they did not Ultimately, it is difficult for Japan to transfer high-end technology to China. Change may occur quietly.
Kato said in an interview with reporters that the company’s capital increase in China will not only bring about related manufacturing industries, but also include the most core technologies. ADVICS Co., Ltd. also announced at the launch of the China R&D Center that it is necessary to increase the research and development of cutting-edge technologies of Chinese companies.
In fact, this earthquake may cause many of Japan's leading edge technology products to gradually lose their previous advantages. “For instance, Japan’s reduction in the supply of automobiles, panels, chips, and other products will only lead to the expansion of its international counterparts, thereby reducing its market share. These products are not unique to Japanese companies.†think.
Some domestic manufacturers of manufacturing products also told reporters: "A lot of core components in China are already available, such as communications chassis cabinets, China can completely manufacture. Japan's advantages are mainly reflected in the stability of product performance." The agent believes that due to the rapid and diversified development of technology, the former advantage of Japanese products is facing **, which is also the reason why Japanese manufacturing industry has accelerated its transfer to China, “including some frontier technologies.â€