Southeast Asian nations have seen some benefits from the "China plus one" strategy, attracting investment and creating jobs as manufacturers diversify away from China. However, the region is not capturing the full value chain, largely focusing on low-skill assembly rather than component manufacturing or design. This limits the creation of high-value industries, and some companies are even returning supply chains to China due to underdeveloped local ecosystems. Furthermore, China's own manufacturing ecosystem, particularly in areas like Shenzhen, remains highly integrated and efficient, posing a challenge for Southeast Asian competitors. AI
RANK_REASON Article analyzes the economic impact and limitations of a geopolitical strategy ('China plus one') on a region, rather than reporting a specific event.
- Anderson School of Management
- Apple Inc.
- China
- Christopher S. Tang
- Chung-Hua Institution for Economic Research
- India
- Malaysia
- Meng-Chun Liu
- Shenzhen
- Southeast Asia
- Taiwan
- Thailand
- University of California, Los Angeles
- Vietnam
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