What do the iPhone, Mercedes E300, Coach bag, and Airbus A320 have in common?
Answer: Made in China.
You may have heard that made in China products are of poor quality. Is this the case, or is it just a stereotype?
China has gained a reputation as the “world’s factory” after it acceded to the WTO (World Trade Organization) in 2001. Since China is a powerhouse when it comes to manufacturing, you can find Chinese-made products pretty much everywhere. And if you’re wondering why everything seems to be made in China, there’s no need to worry – it’s not bad! China is known for producing high-quality products too.
They are one of the best manufacturers in the business. Not only are Chinese products affordable, but they’re also high quality. Although the COVID-19 pandemic has severely disrupted global supply chains, China remains one of the world’s most important manufacturers and will likely remain the dominant force in global manufacturing.
In this article, we will look at the factors why Made in China products are all over the world, and we will explore why Made in China can be of poor quality.
Why is Made in China all over the world?
It’s no secret that most of the world’s fashion is manufactured in China.
The country has a well-earned reputation for churning out mass-produced clothing at a fraction of the cost of other countries. But why is that?
Sure, cheap labor helps, but there’s more to it.
These days, China is known for its innovation. Brands like Alibaba and Tencent are leading the way in bringing new ideas to the market, and their products are in high demand worldwide.
These are mainly the following reasons:
- Due to the relatively low price of labor and raw materials in China, Chinese products have a significant international competitive advantage.
Many Chinese enterprises still make small profits for each order, which requires continuous market expansion. So more and more Chinese enterprises are starting to enter the international market.
- Taxes and Duties.
The export tax rebate policy was initiated in 1985 by China to boost its export competitiveness by abolishing double taxation on exported goods. Exported goods were subject to zero percent value-added tax (VAT), meaning they enjoyed a VAT exemption or rebate policy.
The lower tax rates helped keep production costs down, making it more attractive for foreign companies to invest in China and produce low-cost goods. Additionally, the Chinese government exempted Chinese consumer products from any import taxes.
- Since China joined the WTO in 2001, it has become the new factory of the world, and the whole world has come to China for purchasing. Even Germans are full of praise for Chinese products.
- In the past, Chinese factories were only able to produce some low-end knockoff products. Therefore, the Chinese government proposed an industrial upgrading plan in 2013 to transform from Made to Created in China. Not only in traditional manufacturing but also the high-tech field, China has made unprecedented breakthroughs, such as Huawei 5G.
- The overall level of China’s manufacturing industry is outstanding, and the entire industrial chain is complete, which many countries cannot achieve. The main reason is that China has the most comprehensive industrial system in the world, with an entire system from upstream to downstream. Under such circumstances, it ensures that China’s manufacturing level can rank first globally.
- Fast industrial upgrading. When we mentioned Made in China products, we always thought of cheap products, thinking that the products made in China are only cost-effective. With the continuous development over time, manufacturing in China is becoming more technical and scientific, and this is the Chinese industry. The transformation brought by upgrading the manufacturing industry has made outstanding contributions and achievements in many high-tech fields.
- National strategies such as the Belt and Road Initiative, China-Africa cooperation, and China-Europe cooperation have enabled Made in China to support the convenience of people’s lives worldwide.
Misconception on China’s Low Price Products
There is a widespread misconception among people regarding Chinese products that the quality of China-based products is low, whereas this is only the case sometimes. People judge Chinese products because of the low cost they charge. However, many other reasons make Chinese products cheaper.
China has always focused on the foreign market, and most of the foreign brands are dependent on China’s manufacturing for various reasons. Some of these are:
- China has a very robust infrastructure and robust manufacturing, which is also backed by logistics that offer efficiency and a highly skilled workforce. The product is this way streamlined, and it leads to reduced cost of production and increases the volume of production.
- The capacity at which Chinese companies can produce is unmatchable, and various industries like consumer goods, electronics, and textures are highly competitive and demand quick and high-volume production.
- China also has a very well-integrated supply chain, and hence, the sourcing of raw materials is also rapid for them. That is why they can reduce lead time and may meet the demand quickly.
Most people think that the workforce in China is very low-paid, and that is the reason the products are cheaper. However, if compared to the past, it won’t be wrong to say that the way China has adopted modernization in the field of technology and manufacturing, no other country has.
Hence, the West is highly dependent on them for their product manufacturing. It is the efficiency, access to supplies, and high-tech manufacturing that is a reason for China’s ability to produce low-cost products and not the low-labor cost.
Are Made in China Products Poor Quality?
What was your initial reaction to the phrase “Made in China”? Some people still believe that “Made in China” means “low quality,” yet this is not always the case. People are becoming more aware of China’s potential to make high-quality goods.
The question “Why doesn’t China have the ability to manufacture high-quality products?” is currently trending on Quora. Almost all individuals disagree with the assumptions underlying this question.
Poor-quality products are often made to the same quality as companies asked for. You get what you paid for.
Four Reasons Why Chinese Products can be of Poor Quality?
- We need to understand that whether we like it or not, every country needs low-quality products. Many retailers realize that they can get more sales by selling products at lower prices, so they very consciously choose to sacrifice quality. You get what you paid for.
- There are a large number of factories in China, and the competition is fierce, so factories try everything to reduce costs as much as possible to ensure market sales and market share.
- Supplier’s requirements for product quality are not clear or do not fully understand
- Some individual manufacturers have no quality awareness.
The price level of made-in-china goods is very rich, almost occupying any level from low-end to high-end.
Many Chinese products, such as Haier washing machines, Hisense TVs, Gree air conditioners, Xiaomi mobile phones, Great Wall Motors, Huawei routers, etc., are of outstanding quality. China’s manufacturing industry has the world’s leading technology and can fully meet the high-quality needs of buyers.
Top Chinese-Made Products
Here are some of the top Chinese-made products that are worth buying:
1. Electronics
Huawei P40 Hisense Smart TV Anker Power Bank DJI Drone with Camera
Chinese consumer electronics have always been popular abroad.
According to the United Nations Conference on Trade and Development, China’s share of global electronics exports rose from 38 percent in 2019 to 42 percent in 2021.
2. Toys
China has been the world’s largest toy manufacturing and exporting hub for decades, and 80% of all toys produced worldwide are made in China. The manufacturing process of Chinese toys is relatively mature, and many toy manufacturers are. Toys manufactured can be classified broadly from electronic, technical, and educational toys to traditional plastics and wooden toys. The primary toy production and export bases are Guangdong, Jiangsu, Shanghai, Shandong, Zhejiang, and Fujian. Among these six, Guangdong is the leader.
3. Home Appliances
China has become the world’s largest manufacturing base for home appliance products, accounting for 60 to 70 percent of global production capacity. Air conditioners stand at 80 percent of that capacity, with refrigerators and small home appliances at about 60 percent and 50 percent, respectively.
4. New Energy Vehicle
China has the world’s largest new energy vehicle market and a complete new energy vehicle industry chain, and China has a competitive advantage in exporting new energy vehicles overseas.
5. Home Decor
The top 1 exporters of Home decorations are China.
6. Hardware & Tools
China is one of the world’s largest hardware producers. The hardware tool market is mainly distributed in Zhejiang, Jiangsu, Shanghai, Guangdong, and Shandong, among which Zhejiang and Guangdong are the most prominent.
Yongkang in Zhejiang has always been known as the “Hometown of Hardware.”
7. Sunglasses
Whether for shading purposes or aesthetic purposes, sunglasses are popular with consumers around the world. China is the main supplier of sunglasses in the world.
8. Apparel & Accessories
The clothing industry is traditional in China, which is also an industry that entered the international competition earlier. China is the world’s largest clothing consumer, producer, and exporter and occupies an important position in the global clothing trade. China’s garment export trade is mainly concentrated in the United States, Japan, the European Union, South Korea, and other countries. The export volume to these markets accounts for about 75% of the total.
9. Christmas Products
About 80% of the global Christmas supplies are produced in Yiwu, Zhejiang. As the “World Christmas Products Base,” Yiwu exports more than 20,000 Christmas products to more than 100 countries and regions annually.
How to Avoid Purchasing Poor Quality Items From China
It can be tough to tell what’s junk and what’s not. So how do you safeguard yourself against buying cheap knockoffs? Here are a few tips:
-Do your research. If you’re not sure about the quality of a product, do some online digging to see what other people are saying.
-Look for certification marks. Certifications like UL or CE indicate that a product has been tested and meets certain safety standards.
-Avoid suspiciously low prices. If a product is too cheap, there’s probably a reason.
-Ask for samples. If you’re unsure whether or not an item is of good quality, ask the supplier to send you a sample before making your purchase. This will allow you to inspect the product firsthand and decide if it’s right for you.
How to Find High-Quality Made-in-China Products
Here are a few tips for finding high-quality products that are made in China:
- Do Your Research
Before you buy anything, take the time to read reviews from other buyers. This will give you a good sense of what quality to expect.
- Look for well-known Brands
There are a lot of reputable brands that have manufacturing facilities in China. So if you’re looking for quality, they’re an excellent place to start.
- Check the Materials
The higher the quality of the materials used in a product, the better the overall quality. So if you’re looking for something that will last, check the materials involved.
- Ask Questions
If you’re unsure about something, don’t hesitate to ask the seller for more information. They should be happy to answer any questions you have.
- Compare Prices
Just because something is made in China doesn’t mean it’s cheap. Some high-quality products can be pretty expensive. So before you buy anything, compare prices to ensure you’re getting a good deal.
Also Check:
Final Thoughts
There are definitely some products that are made in China and are of poor quality. But there are also a lot of high-quality products that come from China. It just takes a little bit of extra research to find them.
So, is everything made in China of poor quality? The answer is no, but it’s essential to do your research before buying any products from China.
