Clothing Manufacturer_Clothing Factory clothing manufacturers News Domestic service companies in China have increased mechanization rates to reduce labor costs.

Domestic service companies in China have increased mechanization rates to reduce labor costs.



Domestic service companies in China have increased mechanization rates to reduce labor costs According to the “Nihon Keizai Shimbun” report, a survey of more than 1,400…

Domestic service companies in China have increased mechanization rates to reduce labor costs

According to the “Nihon Keizai Shimbun” report, a survey of more than 1,400 Japanese companies investing in China by the Japan External Trade Organization (JETRO) showed that as of the autumn of 2010, the average wage of domestic workers in China had increased by 12.1% year-on-year, significantly exceeding that in Japan. With an increase of 1.67%, wages have tripled in the past five years and will continue to rise in the future, taking into account rising prices and other factors. In order to reduce their declining profit margins, Japanese manufacturing companies in China have accelerated the spread of corporate automation and increased the rate of locally purchased parts to reduce labor costs.
YKK, a large Japanese zipper company, accounts for 1/4 of the world’s product production in China. It is planned to set up a technical training institution in Shanghai within one year to strengthen the skills of workers and improve production efficiency. In factories in Shanghai and Dalian, workers’ wages have increased by about 70% compared with five years ago. In order to reduce labor costs, increase the mechanization rate, and accelerate the introduction of automatic handling production lines.
TakaQ, a well-known Japanese men’s clothing company, plans to transfer its suit production line with a retail price of about 10,000 yen from China to Bangladesh starting in the autumn of 2011.
HONEYS, a large Japanese women’s casual clothing company, plans to transfer its Chinese casual clothing factory to Myanmar in August 2011.


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