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"Our fate is a microcosm of the country's attitude to value-added manufacturing".
Traditional ceramics involve large volumes of product and relatively low value-added manufacturing.
Advanced ceramics, on the other hand, tend to involve smaller volumes of product and higher value-added manufacturing.
Part of the wrenching change the country now needs is to switch from low value-added manufacturing towards higher value-added services.
Owing to the paucity of raw materials in the vicinity, the city traditionally eschewed heavy industry in favour of high value-added manufacturing.
Asian countries with low-cost manufacturing bases, such as Indonesia and Vietnam, must invest in infrastructure and improve their business environment to capitalize on the chance to capture low value-added manufacturing starting to leave China.
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High-value-added manufacturing jobs back to the United States of America.
The second critique to emerge has focused on the failure of numerous late industrializing economies to transition from low- to high-value-added manufacturing.
China's neighbors confront two new sets of opportunities – helping China as it moves up the value chain, and picking up the slack as China moves away from low-value-added manufacturing.
That country runs a manufacturing trade surplus, in part because while it shed jobs in lower-value-added manufacturing sectors, it compensated with gains in higher-value-added, high-productivity sectors.
What happens, we thus need to ask, when low-value-added export-oriented factories that are central to long-term strategies for economic growth at a sub-regional level, fail to serve as a stepping stone to higher-value-added manufacturing?
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com