The Truth About China

AsiaInspection Barometer - Q1 2013

The Truth About China

news.thomasnet.com/IMT/2013/03/14/china-widens-lead-as-worlds-largest-manufacturer

Of the world’s goods now come from China

$2.9 Trillion USDIn 2012 their manufacturing output reached

news.thomasnet.com/IMT/2013/03/14/china-widens-lead-as-worlds-largest-manufacturer

than the US ($2.43 Trillion)

20%moreThat’s…

news.thomasnet.com/IMT/2013/03/14/china-widens-lead-as-worlds-largest-manufacturer

45 Airbuses

If you were to fly that money to the US in $100 bills you’d need

There are talks of manufacturing returning

to the West, but…

US manufacturing output dropped

in Jan 2013-0.4%

Source: http://www.federalreserve.gov/releases/g17/20130215/

US imports from Asia increased

in Jan 2013+23%

Source: http://www.zepol.com/BLOG/post/2013/03/15/US-Customs-Trade-Data-February-2013-Import-Update.aspx

And the EU also saw a big decline in

manufacturing output in Jan 2013

-1.7%

Source: http://www.tradingeconomics.com/euro-area/industrial-production

Western brands say that they want to bring

manufacturing "back home"

committed to invest US$50 billionin “Made in America” products over the next 10 years

http://www.reuters.com/article/2013/01/15/us-walmart-us-idUSBRE90E0MB20130115

But this only amounts to

0.93% of their total sales

So can the West really compete?

China is predicted to be the worlds

BIGGESTeconomy by 2016

Source: http://www.oecd.org/eco/surveys/economicsurveyofchina2013.htm

but…

quality & safetycan be hit and miss

16,000diseased pigs

were dumped in Shanghai’s drinking water in March

Source: http://www.guardian.co.uk/world/2013/mar/29/dead-pigs-china-water-supply

It’s hard to visualize that many pigs…

But if they were to line up, they’d cover

28.8km

HHHH

HHHHUnderground traders buy pigs that

have died from disease and sell them

$

The scariest part is…

Source: http://english.peopledaily.com.cn/90882/8191519.html

There is a silver lining though…

In Q1 2013 Inspections of Food and Food Packaging items surged

+212%

Source: AsiaInspection Internal Figures

And overall inspections performed in China increased

+27%

Source: AsiaInspection Internal Figures

But is it enough?

Factory Fires in Asia killedHUNDREDS

in the past few months

Source: http://www.cleanclothes.org/resources/ccc/working-conditions/fatal-fashion

Usually because the windows were barred and people couldn’t escape

Source: http://www.cleanclothes.org/resources/ccc/working-conditions/fatal-fashion

“The only safeguard for workers and brands is to ensure business is

conducted only with factories that meet or exceed safety standards”

Sebastien Breteau, CEO of AsiaInspection

Manufacturing growth in Asia is boomingdespite these challenges and China is

branching into new areas

+42% +212% +36%

Industrial & Mechanical Items

FoodProducts

Body Care Products

Source: AsiaInspection Internal Figures

The Truth about China?

It’s going to be hard to catch…

AsiaFoodInspection is powered by Silliker and AsiaInspection, as the leading provider for food safety and quality control services in Asia.

400+ experts on the ground and 3 accredited labs in China allow AsiaFoodInspection to address all food safety needs at the source.

Contact Us: press@asiainspection.comVisit Us: http://www.asiafoodinspection.com