A sharp rise in domestic low-end wages may not cause large foreign companies to be relocated

This year, a number of provinces and cities have raised the minimum wage, an average increase of 22%, many inland provinces, a rise of more than 30%.　　It is estimated that the wages of low-end workers will rise by 20%-30% a year over the next 3-4 years. The Chinese government has a 180-degree shift in its attitude towards low-end wage policy. In the past, mend to the decline in competitiveness, the government intentionally or unintentionally suppressed the rise in manufacturing wages. Recently, the international community forced the renminbi to appreciate. The renminbi has risen and export orders have flowed to third countries, benefiting workers from other countries.　　That being the case, it would be better to raise wages for their own workers, which would also reduce the trade surplus, but it would benefit Chinese workers. The soaring wage is disastrous for coastal exporters.　　In Credit Suisse's latest survey of multinationals, labor costs have risen more than the renminbi has appreciated, becoming the biggest worry for CEOs. In the face of soaring production costs, will foreign capital be moved or relocated? Analysts believe that in the next few years to choose to move production lines to inland provinces, enterprises will significantly more than leave China. First, in developing countries that compete with China for foreign investment, none of the infrastructure can be as efficient as China. Second, in electronics and other industries, China has developed a huge industrial chain, the cluster effect is very important. Moreover, China's huge domestic demand market is coveted by all foreign investors.　　So generally believe that the majority of foreign companies willing to leave. "According to the Economic report 21st century, comprehensive analysis of the article"