Friday, September 05, 2014
China Should Be Alert to Repeat the De-industrialization Crisis Happened in Brazil
ANBOUND
The economic situation in Brazil is not promising. Its "de-industrialization" which happened too early led to the decline of its industrial competitive strength and harmed its economic development. The development of Brazil's manufacturing industry almost stopped. ANBOUND think tank scholars believe that China is pursuing the high-end in its economic transformation and upgrading now. It locates enterprises in industrial zones and phases out low-end manufacturing industry although those enterprises are still making profits and are capable of handling pollution treatment. Such actions which undermine supply and demand balance of industrial chain and increase the cost of industrial chain is leading China to the de-industrialization crisis happened in Brazil.