Last Updated on 2020/12/21
The last few months have been particularly good for China’s manufacturing industry as coronavirus lockdowns return to the West.
The increase has been so plentiful that Chinese factories are now struggling to find workers to clear mounting orders.
Exports of industrial robots, computer equipment, and integrated circuits increased by 22.2%, 10.1%, and 15.9% respectively.
Exports, in particular, drove the recovery, exceeding forecasts for eight out of 12 months of the year.
According to Nomura, China’s exports grew 13% in the second quarter, and 11% in the last, compared to last year.
Jinhua’s industrial sector, which also includes the Yiwu hub has driven the sector.
Earlier in the year, the sector had had to give up and lay off many workers, but in the last two quarters, the trend has reversed.
A private index from Renmin University that tracks the labor demand of workers hit a record high in the third quarter.
2020 for many industries was the best year in a decade.
However, the considerable increase in exports has produced some unexpected problems, such as delays in shipments, as the imbalance in favor of exports has caused some bottlenecks in the supply chain. The yuan is also approaching multi-year peaks against the dollar, putting further pressure on profits. And an official indicator of factory raw material costs hit its highest level since 2017 in November.
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