June 19, 2018

Top 7 Pros and Cons of Manufacturing in China (Updated)

There is no question that manufacturing in China can be an excellent option for companies looking to produce their products. But remember that there are always two sides to every coin. In this article, we will discuss the pros and cons of manufacturing in China so that you can make an informed decision about whether or not it is the right option for your project.

Instead of just focusing on productivity, China is also working on its 2030 initiative to achieve its carbon-neutral goal in the next 10 years. This is a great opportunity for companies to be part of the green manufacturing movement and help reduce environmental pollution.

But wait, do you think that everything is just perfect in China? 

Of course not! 

So, let's dive right in and take a look at the pros and cons of manufacturing in China:

The Pros and Cons of Manufacturing in China

Before making any decision, weighing all the advantages and disadvantages of manufacturing in China is essential. Remember that what might be a pro for one company could be a con for another – so make sure to tailor the list to your specific needs and situation.

For example, a small-scale company may offer you a low MOQ at a high price, but a large-scale company may be able to provide you with a more significant discount with a large MOQ. So, in that case, price is the advantage offered by the large-scale company, and at the same time, it is the disadvantage or con of partnering with a small-scale company. The same goes for the MOQ. It is a pro of a small-scale company and a con of a large-scale company.

Are you going to make any judgments based on the above example? 

Wait for a second…

It is just to give you a rough idea that there are two sides to every coin. So, don't forget to consider the below-mentioned top 7 pros and cons of manufacturing in China before making your final decision - let's get started!

Top 7 Benefits of Manufacturing in China - Everything You Should Know

Following the law, always start with the good points or the benefits of something. 

So, without further ado, below are the top 7 benefits of manufacturing in China that you should know:

• Cost-effective Manufacturing:

We all know that China is the world's leading manufacturer, and that's because they can provide cost-effective solutions to their clients. If you are working with a tight budget, then China is the best place for you to get your products manufactured.

The low labor and materials costs make China one of the most affordable countries for manufacturing. 

But we know what you’re thinking!

Is the quality of products compromised because of the low cost?

The answer is NO!

Even though the costs are low, the quality standards are still very high in China. In fact, many international brands like Cisco, Nike, and Samsung source their products from China.

The high competition among Chinese manufacturers is also a contributing factor to the low costs. 

You should know that getting a product at a competitive price is not a piece of cake. 

But don't worry! 

We will talk more about this later in the article - stay tuned.

• High-quality Products:

As we mentioned earlier, even though the manufacturing costs are low in China, the quality standards are still very high. 

The Chinese government has put strict quality control measures in place to ensure that all products manufactured in the country meet international standards. 

All manufacturers must comply with these quality control measures; if they don't, they risk losing their manufacturing license.

Product quality is the most phrased advantage of manufacturing in China. But remember, it's only possible with a reliable manufacturing partner - stick to the article to find out how!

• Quick Production Time:

Being a business owner, we know that you are always looking for ways to shorten the production time and get your products out on the market as quickly as possible. 

Well, China can help you with that!

The factories in China are equipped with the latest machinery and technology, which helps them to produce high-quality products at a quick pace. 

The factories also have a large workforce that can work in shifts to get the job done quickly - isn't it amazing?

In China, the production process is very efficient, and that’s why the country has become the world’s leading manufacturer.

• Cooperative and Professional Staff:

The Chinese staff is very cooperative and professional. 

They will always go the extra mile to ensure you are happy with the final product.

You should also admire that the Chinese take their work seriously and are always punctual - that's what every business owner wants, right?

Even if you are working with a tight deadline, the staff will make sure that your products are delivered on time. 

But only a few manufacturers in China uphold these values now, as fake ones saturate the market. 

While considering this advantage of manufacturing in China, we suggest you keep an eye out for the red flags.

• Diversity:

When it comes to manufacturing, China has a lot to offer. 

The country is home to a large number of factories that manufacture a wide range of products. 

So, whether you are looking for a factory that manufactures electronics or one that manufactures clothes, you will find it in China. 

If you want to learn more about how to get your product mass produced in China - Check out our latest read!

• Technological Manufacturing Centers:

Over the years, China has developed several technologically-advanced manufacturing centers. That's why it is considered one of China's top pros of manufacturing.

Chinese manufacturers know that to stay ahead of the competition, they must invest in new technologies and machinery. 

And that’s exactly what they are doing!

Similarly, that's precisely what you need - if you want to stay ahead of your competition.

• Easy Access to the Global Market:

While in the manufacturing business, one of the main objectives is to target the global market. 

But, it’s not always easy to do so. 


Well, if you want to target the global market, you need to have a good logistics network in place. 

Fortunately, China has an excellent logistics network that helps manufacturers to ship their products to any corner of the world quickly and efficiently.

Wait a minute!

Do you know what the best part is? 

The shipping costs from China are significantly low compared to other countries. So, you can save a lot of money on shipping when you manufacture your products in China.

But don't forget, all of these advantages of manufacturing in China only come with a reputable manufacturing partner.

Is this your first time reading about the pros and cons of manufacturing in China?

If yes, don't forget to check out our guide on How to Find a Distributor in China - it will be worth it!

Here's the best part comes to an end.

Are you ready now to read about the disadvantages of manufacturing in China?

Letting someone know about the cons of anything is actually the real advantage you gave them - that's what we think!

So, without wasting more time, let's start with the cons of manufacturing in China.

Top 7 Disadvantages of Manufacturing in China

That's the part most manufacturers in China are afraid of - and we completely understand why. 

The market is now so aware of the cons of manufacturing in China that it has become complicated to hide them. 

But, we believe that the more you know about something, the better equipped you are to deal with it.

That’s why we have compiled a list of the top 7 disadvantages of manufacturing in China - Here it goes!

• Communication Barrier:

The communication barrier is the first and most significant disadvantage of manufacturing in China. 

Since English is not widely spoken in China, it becomes difficult for foreign manufacturers to communicate with their Chinese counterparts. 

What can go wrong?

This communication barrier often leads to miscommunication and misunderstanding, which can be really costly for a business.

And if you have previous experience working with a Chinese manufacturer, you know exactly what we are talking about!

To avoid such issues, it’s always better to hire a reliable sourcing company like Morpho MFG, which can act as a bridge between you and your Chinese manufacturer.

• Finding a Suitable Manufacturer:

Trust us when we say this - finding a suitable manufacturer in China is not an easy task. 

It can be really challenging, especially for beginners. 

The reason:

Well, there are thousands of manufacturers in China, and it's tough to find the one that best suits your business needs.

Not to mention, with so many manufacturers to choose from, it’s really easy to get confused and make the wrong decision.

• Intellectual Property (IP) Issue:

Intellectual property (IP) theft is one of the most significant disadvantages of manufacturing in China.

Unfortunately, it's also a reality that most manufacturers face when manufacturing in China. 

The thing is, IP theft is not only common in China but also in other countries. However, the problem is more prevalent in China because of the weak IP protection laws. 

As a result, foreign manufacturers are often the victims of IP theft, which can be costly.

It’s important to note that not all Chinese manufacturers are involved in IP theft - Yes, you read that right!

Many reputable and reliable manufacturers in China respect IP rights and follow the law. 

However, it’s still important to be vigilant and take all the necessary precautions.

• Potential Risks to your Business:

When you are manufacturing in China, you are also exposed to potential risks that can have a negative impact on your business. 

For example, the recent coronavirus outbreak has severely affected China's manufacturing sector. 

As a result, many manufacturers have had to shut down their factories, and some have even gone out of business. 

Similarly, other risks, such as political instability, currency fluctuation, and natural disasters, can disrupt the manufacturing process and adversely affect your business. 

Will any of these issues be a deal-breaker for you?

It depends on your business needs and requirements. 

However, it’s always better to be prepared for the worst-case scenario.

• Product or Design Security:

This is also one of the major cons of manufacturing in China. If you mistakenly choose a manufacturer who is not reliable or trustworthy, there is a risk that your product design or manufacturing process could be leaked. 

As a business owner, you should know how bad it can go! 

Your competitors could get their hands on your design or manufacturing process and beat you to the market - that's what we call a nightmare!

• Scammers and Fake Companies:

In China, every manufacturer claims to be the best. But it's all up to you to decide who is telling the truth and who is not. 

The thing is, there are many scammers and fake manufacturers in China who are just looking to make a quick buck. 

So, how can you spot a fake manufacturer?

Well, that's a difficult question to answer. 

The best way to avoid falling prey to such scammers is to visit their factories, meet their team, and see their manufacturing process for yourself. If you are offshore, you should better hire the services of a contract manufacturing company.

That's all you must know about the cons of manufacturing in China.

Now that you know the potential risks and challenges let's discuss the most feasible solution.

Reducing the Risk of Manufacturing in China – Balancing Things Out

As you can see, there are both pros and cons of manufacturing in China. 

So, what's the best way to go about it? 

The answer is simple - by balancing things out. 

You can do this by taking some precautionary measures and being aware of the potential risks. 

One of the most recommended ways is to contact a trustworthy contract manufacturing company. 

Morpho MFG has been in this business for more than 8 years and is one of the most trusted names in contract manufacturing.

You must be thinking - why go with a contract manufacturer? Will it not be expensive?

When you work with a contract manufacturer, they will be responsible for managing the entire manufacturing process on your behalf - from onboarding to logistics!

We at Morpho MFG have a pool of trusted companies that we shortlisted after a very stringent selection process.

So, when you partner with us, you can rest assured that your product is in good hands! 

Moreover, when it comes to the cost, we charge our service fee - not too high, we promise!

That's a small price to pay for the peace of mind and the assurance that your product will be manufactured according to the highest quality standards.

You can also check out the Morpho MFG Youtube channel to watch most of our recent case studies and learn more about our services.

Morpho MFG – Your One-Stop Business Partner in China

Finding the perfect manufacturer in China is no easy feat. 

But with Morpho MFG by your side, you can rest assured that your product will be in good hands! 

We have a specialized quality control team that inspects each and every product before it is shipped to our clients.

But what's even more impressive is our product manufacturing process.

Is it?

Check it out by yourself.

We use the "Component Control Method" to manufacture your required product.

In this process, our engineers analyze your product in detail and check whether it is a single-component or multi-component product. Then they figure out the best manufacturer from our network with experience in manufacturing that particular component.

This way, we ensure that your product is made with the best quality materials and by experienced manufacturers.

Moreover, we also offer one-stop solutions to our customers - from consultation to mass production and quality control to logistics.

You can also check out our home page to learn more about our company and the services we offer.

Still, have questions?

Reach out to us today; our team will be more than happy to answer all your queries!

Frequently Asked Questions

1. How to Overcome the Disadvantages of Manufacturing in China?

It depends on what kind of disadvantage you are talking about. Are you offshore or onshore? If you're onshore, meaning you have a business in China, then the best way to avoid any issues is to visit the factories you're working with and get to know their business and management processes. 

If you're offshore, working with a contract manufacturer like Morpho MFG is the best way to reduce your risk. 

The Real Game:

Everything depends upon your execution. 

How do you want to play it? 

Manufacturing in China can be done smoothly if the process is handled by a professional with expertise and knowledge. So, better to get in touch with a team of experts like Morpho MFG to help you with the process. 

About the author

Josh Fairbairn

CEO of MorphoMFG, fluent in Mandarin, Blogger, and Youtuber. Josh loves interesting materials and the craftsmanship that goes into creating innovative products - watches, tech, games, whisky, leather, wood, blockchain & electronics. Josh and his team in Guangzhou, China are striving to create (& consume) the world’s highest quality products. Partnering with entrepreneurs globally to help solve the world's problems - whether small or large.

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