Low cost advantage falling

A KPMG study shows that the low cost advantage of China is falling and that manufacturers are moving to other countries to take advantage of the their cheap labor. Ts is simple international trad 101. The world is a competitive place.Other South East Asian countries are the low cost produces of footwear and clothing. China has moved up the production cycle to more heavily manufactured goods. China has an advantage with infrastructure, but with higher wages demanded along the coast, there will be competitive pressure and the movement by firms to seek cheaper labor. China suffers from the same trad risks as other countries.