Competitiveness is insufficient, the market pattern is expected to be reshaped

CC-PUIO31 China’s manufacturing industry has the advantages of large volume, perfect system, complete categories, and strong core competitiveness of photovoltaic industries. However, some sub-sectors are still in the middle and low end of the global value chain, with low added value of products, and some high-end industries lack core technologies and international competitiveness. According to the data of Tantrace Big Data Research Institute, in 2023, enterprises with registered capital of less than 5 million manufacturing enterprises accounted for 29%, and enterprises with operating income of less than 1 million accounted for 12.8%, and will maintain this development trend for a considerable period of time in the future. Small and medium-sized manufacturing enterprises mainly cater to customer business needs, product homogenization is serious, low added value, and insufficient competitiveness.

CC-PUIO31

CC-PUIO31 Standing at the cusp, whether it is the beauty industry and home improvement industry represented by manpower intensive, the machinery and equipment represented by technology intensive and the semiconductor industry represented by capital intensive, the number of newly registered enterprises has shown a growth trend in the past 10 years. A number of sub-sectors from mature to overheating, increasingly fierce competition for resources, the industry pattern is expected to be reshaped. “The strong are always strong, the weak are weaker”, large enterprises continue to erode the market share of small and medium-sized enterprises, and the survival and development of small and medium-sized enterprises is more difficult.

Regional distribution of industry

Guangdong leads in quantity, and the scale effect of industrial clusters is prominent

According to Tantrace Big Data Research Institute data show that manufacturing enterprises in Guangdong province accounted for the highest proportion, as high as 708,000. The enterprises in the above five regions are distributed in the eastern coastal areas, which is basically the same as the distribution in the developed trade areas. They make full use of the advantages of division of labor, strengthen mutual assistance, and form industrial clusters such as the Yangtze River Delta and the Guangdong-Hong Kong-Macao Greater Bay Area.