Homepage » Allgemein »

Opportunities for partnerships

Nepcon Shanghai – a large electronics-manufacturing event
Opportunities for partnerships

Opportunities for partnerships
Business in China isn’t only en vogue for western companies – it’s been rather an absolute necessity to cater distinctively to this potentially huge market. But, as many equipment suppliers had to learn, there is a huge difference between sales figures and business with really significant profit margins. At any rate, presence in the Peoples Republic of China (PRC) is a must for every serious player in the field of electronics manufacturing. And, as such, Nepcon Shanghai/EMT (Electronics Manufacturing Technology) China has taken place now for the 14th time, offering the chance to get into contact with partners in the vibrant Shanghai/Pudong area.

Seems a good business place to be in the PRC’s north-east manufacturing area at the end of April, where over 650 exhibitors and some 23,000 attendees came together under the roof of the Everbright Convention and Exhibition Center in central Shanghai. Besides the top global players at Nepcon, there were participating industrial groups from the US, Germany, Japan, Singapore, South Korea the UK and Taiwan. The event was supported y two technical conferences, one circling around SMT manufacturing and the other an IEEE symposium on electronic product reliability and liability.

Based on the figures, this show can be compared in size with the SMT in Nuremberg, the outstanding event this year in Central Europe. The Shanghai fair is regarded as the most important venue in the country’s electronics industry, promoting cooperations and business opportunities, despite a row of comparable events in China. Also the Electronica & Productronica China in Pudong (across the Huangpu river), a newcomer show from Messe Munich and its Chinese partner placed just four weeks before, is said to be second behind Nepcon. But this view apparently emerges from the SMT content of both events, because at Electronica & Productronica there were reported to be about 300 exhibitors and 25,000 visitors together with Semicon China. So it’s hard to discover what fits better to attendees´ expectations. Maybe both shows have the same weight in their industrial focus which helps us to make a good evaluation.
At this point it could be helpful to have a look at some relevant commerce numbers of the district. The accumulative revenue of the Shanghai IT industry and its related services reached RMB 204.4bn (about euro 20bn) by October 2003. It accounts for more than 10% of the regional GDP, and has become the number-one business among the city’s six largest industries, with a staff of 300,000. With a highly developed infrastructure, and as one of China’s premier talent pools, the area of Shanghai/Pudong is an important center for electronics manufacturing.
According to a study by the International Finance Corporation (IFC), about 16% of all electronics manufacturing takes place in developing nations, with PRC already accounting for half of that. By the end of 2005, China will be manufacturing an additional euro 54bn worth of electronics, an increase of 135%, bringing in contracts at an estimated euro 96bn. The Chinese market reportedly is strategically the most significant in the world. But we also hear that some European watchers are reminded of the business climate during the past hype in the period of 1999/2000 which dramatically ended in a catastrophic bubble-burst. The financing of the PRC economy is not provided by a “free” (apparently a taboo or misunderstood word in China) banking system supervised by official bodies. It is instead in the hands of state-controlled banks seriously dragged down by the burden of too many dud-loans.
As we all know, labor is cheap in PRC compared to western standards. In a recently published official survey it has been revealed that about 71% of the Chinese workers earn from RMB 800 (euro 82) to up to RMB2500 (euro 255) a month. The higher salaries are paid in the large industrial areas along the coastline, especially to employees in the financial sector. Only 0.2% earn more than RMB 8000 a month, and 4.7% earn less than RMB 800. In the western interior there are many “sweat-shops” where young girls are working for RMB 400/month, 12 to 14 hours/day, receiving free dormitory accommodations, work clothes, food and basic medical treatment – but no social security or welfare, should they stop working. And they are happy to have those jobs. The survey also showed that corporate management is paid 3 to 15-times more than the workers. As we can see from this brief outline, Chinese workers have not much to loose and much to gain.
Gerhard B. Wolski
EPP EUROPE 414
Current Issue
Titelbild EPP EUROPE Electronics Production and Test 11
Issue
11.2023
READ
Newsletter

Subscribe to our newsletter now

Webinars & Webcasts

First hand technical knowledge

Whitepapers

Find all current Whitepapers here

Videos

Find all current videos here


Industrie.de Infoservice
Vielen Dank für Ihre Bestellung!
Sie erhalten in Kürze eine Bestätigung per E-Mail.
Von Ihnen ausgesucht:
Weitere Informationen gewünscht?
Einfach neue Dokumente auswählen
und zuletzt Adresse eingeben.
Wie funktioniert der Industrie.de Infoservice?
Zur Hilfeseite »
Ihre Adresse:














Die Konradin Verlag Robert Kohlhammer GmbH erhebt, verarbeitet und nutzt die Daten, die der Nutzer bei der Registrierung zum Industrie.de Infoservice freiwillig zur Verfügung stellt, zum Zwecke der Erfüllung dieses Nutzungsverhältnisses. Der Nutzer erhält damit Zugang zu den Dokumenten des Industrie.de Infoservice.
AGB
datenschutz-online@konradin.de