Chapter 1005: The Sorrow of the World's Factory

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Fan Wuxian and Shen Ying did not stay in Lentor for long. Fortunately, the queen and other important figures of the royal family came back the next day, and everyone attended the dinner held in the palace together, and the queen also awarded Shen Ying a medal.

When she returned to the hotel to rest, Shen Ying was still fiddling with the medal and asked Fan Wuxian what kind of medal it was?

"It's probably the ceremonial kind-" Fan Wuxian said casually, "There are a lot of people who visit the British royal family every day, and when they meet guests who the royal family thinks are worth continuing to keep along, the queen will usually give some worthless medals or something, on the one hand, the record keeper of the royal family will not get a salary in vain, and on the other hand, it will also leave a deep impression, maybe when everyone will have the opportunity to cooperate." Therefore, this medal is just like the heirloom given by Fang Shiyu and his **, there are countless of them. ”

"Cut, you will break blindly, and the slightest good mood of people will ruin you." Shen Ying said very dissatisfied.

Last year, Japan's Ministry of International Trade and Industry issued a white paper that officially mentioned for the first time that China has become the world's factory, and recently this has gradually become a common word in the world to describe China's economy.

British television on this topic cites a research report by a British company. China is to the 21st century what Britain was to the 19th century. Moreover, China is doing better and better.

Regarding this topic, Fan Wuxian frowned a little when he heard this, obviously not agreeing with this statement.

In his view, this dejorative term, the West uses the world's factory to summarize today's Chinese economy, and it is based on the historical experience of Western industrialization.

China was caught off guard by this, but the idea of the world's factory is gradually being accepted at home. People use the term "world factory" to express several different meanings, such as China is showing some characteristics of the world factory, China has become the world factory, China should become the world factory, etc.

However, the saying that the world's factory has always been full of temptations and also buried pitfalls.

"What is the World Factory?" Fan Wuxian asked.

Shen Ying shook her head, not knowing what Fan Wuxian wanted to say.

The term "factory of the world" has its own specific historical background. After the Industrial Revolution, Britain established a global trade network centered on the British Isles with advanced technology, a joint-stock company system, a financial center status, colonies all over the world, and a strong navy. British-made products, sold all over the world, their manufacturing scale and manufacturing capacity. enough to affect the global production and price of consumer goods.

At that time, Britain's position as the world's factory was supported by the developed textile industry, extractive industry, iron-making industry, machine building and maritime industry.

Britain imported raw materials from all over the world, processed them, and sold them to other countries, most of which were exported, and as Britain expanded its colonies and became an empire on which the sun never set, Britain dominated a global capitalist trading system.

At that time, Britain had the world's most advanced technology, the most advanced form of industrial organization, the most complete division of labor, in addition, the status of the British world factory, also created the status of London as the world financial center, in turn, London for the British manufacturing and trade to provide complete financial services.

Through gunboat diplomacy, or colonial rule, Britain established a colonial empire all over the world, although Britain was an advocate of free trade, but a large part of this free trade system was achieved through the colonization of backward countries, and trade activities were mainly carried out within the British colonial system.

"At the time. Britain is a veritable factory of the world, accounting for only two percent of the world's population, and for the first seven decades of the nineteenth century, it controlled one-half of the world's industrial production and a quarter of the world's trade. "Later, the rise of Germany, the rise of the United States, and the rise of Japan are generally called the center of gravity of world economic growth, and they are all called the world's factories for a period of time, but when people use this word, they often use analogies, which do not fully have all the characteristics of Britain at the beginning, to be precise, these countries are the world's manufacturing centers." ”

On the other hand, after more than 20 years of reform and opening up, China's industry, especially the development of the manufacturing industry, has achieved remarkable results. In the past few years, the annual growth rate of China's industry has reached 12 percent, the export of industrial products has grown rapidly, the export volume of some products has ranked first in the world, the output of coal, steel, color televisions, refrigerators, washing machines, microwave ovens, cameras, air conditioners, etc., all rank first in the world, China's share of world trade, not only growing rapidly, but also China's position in the value chain of the global division of labor is also rising, such as China's exports of electronic products, information technology products, and communication products, are increasing rapidly.

Chinese products have spread all over the world, from developed countries in Europe and the United States to developing countries in Asia, Africa and Latin America, you can see Chinese-made goods everywhere. China's double-digit growth rate. It has been maintained for many years.

In addition, China has become the largest recipient of foreign direct investment for two consecutive years, and multinational companies have regarded China as the most important link in the global industrial chain and one of the most important processing bases.

However, in terms of the overall level of China's manufacturing industry, it is far from the position of Britain in the world at that time.

In terms of share, even compared with the United States and Japan, there is still a big gap, far less than the United Kingdom in those years, the United States accounted for more than 20 percent of the world's industrial output, Japan's manufacturing accounted for 15 percent, and China accounted for only 5 percent of the world's total.

From the position of the manufacturing value chain, China's manufacturing industry has not yet gotten rid of the end.

"China's manufacturing industry is still focused on the export of labor-intensive products, and has not mastered the main core technologies of today's manufacturing industry, but only assembles products at the last link of the global production chain. In terms of global marketing, most Chinese products have neither mastered channels nor their own international brands. It can be said that Made in China is the most bloody and sweaty link in the global industrial chain, and it is also a link with meager profits. Fan Wuxian said to Shen Ying with some depression, "To a large extent, China's manufacturing industry is an assembly industry, and a large number of raw materials and energy are imported at the same time. It also imported foreign core components and patented technologies, and the United Kingdom was the most advanced country in the world at that time. Therefore, China and Britain at that time in the world's advanced scientific and technological status is not the same, in the manufacturing technology level is low, China's local manufacturing scale is too small. ”

At a deeper level, China's financial market is underdeveloped, which hinders the development of the manufacturing industry to a higher level.

Judging from the examples of the United Kingdom, the United States, and Japan, financial centers have risen along with the growth of the manufacturing industry and provided services for the manufacturing industry, while the domestic financial reform will have a long process. During this period, some of the necessary conditions for the development of China's manufacturing industry, such as the enterprise system that matches the modern market economy, the developed capital market and the financial service market, are relatively lagging behind, thus affecting the development of China's manufacturing industry.

"In fact, China is still a certain distance from the process of the world's factory. One of the hallmarks of the world's factories is industrialization, however, China has not yet achieved industrialization. "According to the definition of the National Bureau of Statistics, industrialization means that the number of people employed in agriculture must be less than 20 percent, and at present, not to mention reaching the level of Britain in the world, even if it wants to catch up with the level of manufacturing in the United States and Japan, China still has at least a few decades to go." ”

After listening to Fan Wuxian's words, Shen Ying couldn't help but think deeply for a while, and then asked, "Listening to you say this, it seems that the topic of the world factory is not a good thing?" ”

"Obviously not a good word." Fan Wuxian nodded and said, "Who are the people in Japan, don't you know?" At present, the speed of domestic development is faster, so it is inevitable to arouse people's jealousy, these people are afraid that China will not be chaotic, and in the end they will suppress their limelight, so they think about reminding the world to pay attention to China, suppress China, so that China can not develop, and steal their own limelight! Other than that, do you think they're complimenting you? ”

Fan Wu's words made Shen Ying think about it for a long time.

Indeed, as Fan Wuxian said, China has a comparative advantage in becoming one of the world's manufacturing hubs.

For example, with the deepening trend of economic globalization, multinational companies will further refine their production and business activities, and look for the most suitable production base in the world for different production links of a product. This has led to an unprecedented acceleration of international industrial transfer. The labor-intensive aspects of product processing continue to spread to developing countries, making developing countries like China likely to become assembly and export bases for capital- and technology-intensive products.

Or, China has a relatively good industrial base and supporting conditions, has an abundance of high-quality and low-cost labor, and will not see a significant increase in labor costs for a long time to come, moreover, China is integrating into the world economy and has a relatively complete infrastructure to participate in the international division of labor.

Therefore, in the foreseeable future, China will be the most attractive manufacturing base in the world, and China is one of the most important gravitational poles in the process of capital transfer in a global context.

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