Without a doubt, the recent years have quite been good to the Chinese trade industry- and why wouldn’t they be? China has come a very long way since the days of solely exporting tea. While tea is still a key export, agriculture and food represents only a small percentage of exported Chinese products, while electronics and technology equipment are quickly rising up towards the top of the export lists.
So why buy products made in the People’s Republic of China? One of the most important reasons is that buying goods from China saves Americans over $100 billion annually. This is mostly due to the fact that Chinese workers are paid substantially less than comparable American employees, as the cost of living is much higher in the U.SChina’s silk road economic belt.
American buyers (small companies, major corporations, as well as every size in between) team up with Chinese suppliers to establish a genuine win-win situation for all involved parties, as well as both countries. The Chinese suppliers make money because they are selling their Made in China products, and the American buyers are happy because they are purchasing fine quality, inexpensive products for their business, therefore reducing their overall costs. If such an American buyer is in the retail industry, the low prices are passed on to the consumer, all while paying an American worker to unpackage, monitor, maintain and sell the item.
Currently, the United States is the largest developed nation, and China is the largest nation in the process of developing. This makes each country a very important player in the other’s trade game. The US has the power and money to buy the exported items which China produces. In turn, China uses this money to develop its country with education and better wages for workers.
The US holds the number 2 spot on China’s export list- second only to Japan and just a few notches up from neighboring Hong Kong- who is holding steady in the 4th slot.
On the flip side, the United States’ exports to China have risen from $2.6 billion over 26 years ago (when trade began) to $169.4 billion in 2004. China is holding steady as the number 3 in the world for buying exported items from the US.
As you can see, the trade market with China has more benefits than its given credit for by the advocates for homegrown goods. There is much more to helping the economy of our country than insisting that we only purchase products that have been “Made in the USA”. Keeping the world economy spinning while simultaneously supporting corporate America and the small business that make this county great is what will keep this country strong in the future.