A recent report by Global Insight, an international economic and financial forecasting firm, states that China will exceed the United States as the world’s leading manufacturer by 2016-2017.
The United States is currently producing about 22 percent of the world’s manufacturing output, with China accounting for about 13 percent, the report states. By 2030, China will produce 22 to 23 percent of the global output, while the U.S. will make approximately 18 percent, according to the report.
China’s share of the global manufacturing output will be fueled from its growth in textile, basic metal, computer equipment, appliances and mineral product development, the report states.
However, the United States will continue to lead in certain high-tech and high-valued manufacturing sectors such as pharmaceuticals, medical equipment, heavy industry equipment, aerospace and specialized equipment.
Instead of being a threat, China’s rise as the top manufacturing country could mean great opportunity for the U.S. finance, information technologies and business services providers, the report states.
To read the full report, click here.