RELOCATION

Production in Bangladesh: Industrial Transformation through Relocation

23 January 2017

Hong Kong manufacturers with factories on the Chinese mainland are facing the double whammy of cost escalation and the need for industrial upgrade and transformation. While maintaining mainland-based operations for R & D, many manufacturers are considering relocating or diversifying their production to other Asian countries. Mainland Headwear serves as a good example of transformation, having relocated part of its production to Bangladesh. More

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Production in Bangladesh: Overcoming Operational Challenges

14 December 2016

The business environment in emerging economies is always far from ideal and Bangladesh is no exception. Coupled with the cultural differences, foreign manufacturers face many operational challenges in the country. This article shows how Hong Kong businesses have striven to overcome the challenges. More

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Production in Bangladesh: Recent Development and Opportunities

18 November 2016

Bangladesh is considered a low-cost production base in Asia, but with many operational challenges. As the world’s second largest readymade garment exporter, the country is looking to diversify its industries. HKTDC Research recently undertook a trip to examine Bangladesh’s latest development and its appeal as a competitive alternative production base for Hong Kong manufacturers. More

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Make in India: Comparative Production Costs of Selected Indian States

20 July 2016

India is a federal country with a strong central government, while states retain considerable autonomy in policy making. When considering production relocation or diversification to India, one must consider the comparative edge and cost variations of different states given their contrasting differences in economic and social development. This article selects five major industrial states for comparison, namely Gujarat, Maharashtra, Andhra Pradesh, Tamil Nadu and Karnataka. More

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Myanmar Rising: Opportunities in Asia’s Final Production Frontier

08 June 2016

The fast-rising production cost in southern China has driven many Hong Kong manufacturers to relocate labour-intensive production activities to Southeast Asia. Myanmar, with its good supply of cheap labour and improving business conditions, is tipped to be the next manufacturing powerhouse in this region, especially after the smooth government transition in April 2016, thereby drawing increasing interest from foreign investors. More

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Yulin: The Cradle of Guangxi’s Support Sector

04 March 2015

The relocation of labour-intensive manufacturing industries has driven a parallel demand for related supporting industries. In Guangdong, with the supporting industries sector beginning experience the same issues as manufacturers, such as restricted labour supply and rising production costs. In recent years, Yulin government has been actively wooing upstream and downstream supporting industries. It believes that the local industry chain will gradually improve. More

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Wuzhou: The Guangdong-Guangxi Interprovincial Pilot Cooperation Special Zone

04 March 2015

In October 2014, Guangdong and Guangxi jointly signed the Guangdong-Guangxi Interprovincial Pilot Cooperation Special Zone Implementation Plan. This plan has accelerated the construction of the Pilot Zone and its neighbouring areas in a series of phases, and is set to usher in a new era of cooperation between Guangdong and Guangxi with regard to industrial relocation. The development of the Pilot Zone will take place in three phases, all implemented between 2013 and 2030. More

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Nanning and Guigang: Guangxi’s Core Labour Markets

17 February 2015

Currently, a number of companies are choosing to expand their production operations into the Guangxi region. This is largely because of the sheer size and stability of its labour force when compared with Guangdong. Some companies foresee recruitment difficulties arising in the future. In light of this, efforts are being made to invest in automated production so as to reduce the reliance on manpower. Meanwhile, product value is being enhanced to increase competitiveness. More

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Green Opportunities in the Yangtze River Delta amid China’s Urbanisation Drive

06 February 2015

Cities in the YRD are increasingly looking for green solutions to tackle emissions and pollution challenges. Coupled with the new Environmental Protection Law which took effect in 2015 and the liberalisation measures under the CEPA, This is a huge boon to Hong Kong businesses seeking to enter the environmental protection services market in the YRD, a sector only being bolstered as China pushes ahead with its urbanisation efforts. More

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Qingyuan: the relocation challenge

17 June 2014

The challenges of relocating production from the Pearl River Delta region to the mountainous areas of Guangdong, particularly Qingyuan, have been assessed by HKTDC’s Guangzhou Office, as a guide for Hong Kong manufacturers and investors. More

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