The largest electronic market in the world is China’s technology hub Shenzhen. The city, with a population of just under 12 million, has 15,000+ electronics companies and is the manufacturing hub for big brand names such as Apple, Samsung and Sony. The city is also a major trading hub for Apple’s components, with almost 80% of the parts used in the iPhones being produced in Shenzhen.
Shenzhen is also one of the reasons for China’s position as the largest manufacturing country in the world. In 2005, the city was home to a reported 30,000 electronics companies and these today employ a total of 688,000 people. The industry has helped Shenzhen grow into an electronics manufacturing hub in the region.
One of the biggest reasons why China is seen as the world’s largest electronic market is because of its population base and cheap labor costs. In China, the average wage per worker is just $2.66/hr (equivalent to about $21/hr US). This is almost 3 times the average in India and 30% lower than the average for the Philippines.
Why is Shenzhen described as the world’s innovation capital?
This is due to Shenzhen’s unique workforce of cutting-edge, world-class engineers. The city’s population is younger than average and highly educated, with almost 40% having a university degree. The city’s workforce also boasts of high-level skills in design, programming and coding.
China has also been able to attract foreign investors to the country. Shenzhen, in particular, is a global talent magnet with over 100 multinational companies setting up shop in the city. The city also hosts one of Asia’s largest innovation centers where big-name companies such as Cisco, IBM and Intel have set up research centers.
The electronics market in Shenzhen is also forecasted to grow substantially up to 2020. A recent study by the University of Hong Kong forecasts that the market will generate about $230 billion in revenue by 2020.
Why China shuts down the world’s largest electronic market?
After a COVID spike, China has decided to shut down the world’s largest electronic market. This market was responsible for a large portion of the world’s electronic trade and its closure will have a significant impact on the global market. The Chinese government is taking this measure to protect its citizens and prevent the further spread of the virus.
The market, located in the city of Shenzhen, was closed on monday after new cases of the COVID virus were reported. This market is home to more than 10,000 businesses and is a major hub for the country’s electronics industry. The market was closed after new cases of the virus were reported.
In an effort to protect the country from further spreading of the virus, the government has decided to close the market. This decision has affected the city’s electronics industry , which is already worth hundreds of billions of dollars.
China’s action to shut down the world’s largest electronic market seems to be a short-term one as the country hopes to reopen it once it has completed its disinfection process. It is not clear how long the market will be closed for,
This market’s closure will have a significant impact on the global market and we will be monitoring the developments very closely.
The market was a key source of electronics for the world
The world’s largest electronic market in China has been shut down after a COVID spike. The market was a key source of electronics for the world and its closure will have major implications for the global market.
The market, located in the city of Guangzhou, was responsible for around 10% of global electronics exports. It supplied major tech companies like Apple, Samsung, and Huawei with components and parts.
The market’s closure will likely cause shortages of electronic goods around the world and drive up prices. It also highlights the risks associated with relying on a single country for critical supplies.
The shutdown of the market will have a global impact
Usually, when a market is temporarily closed, there will be countries that will attempt to fill the vacuum. Many countries have already tried to take advantage of this short-term opportunity but it is not clear whether anyone can truly replace China’s role in the global market. Not all companies may be able to source their products from other markets or may not have access to funds due to the COVID virus.
As we have highlighted in our analysis, many countries are already struggling to deal with the outbreak of the virus. It is also not clear whether companies will be willing to replace Chinese suppliers with products from other countries.
Due to these reasons, a global electronics shortage very well may be on the cards. This could lead to an increase in prices and even shortages of some electronic goods.
The market was a key source of electronics for the world and its closure will have major implications for the global market. The government is taking this measure to protect its citizens and prevent the further spread of the virus.
We will be monitoring developments closely as well as working to identify opportunities that may arise from this latest development. These include identifying companies that could benefit from a shortage of components and parts in the global electronics market.
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