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Recently, Tesla announced that it would lay off 10% of its global workforce, of which more than 20% in China, causing foreign media speculation about whether Tesla would officially withdraw from China.
In fact, not only Tesla, but also Apple, Foxconn and other technology giants have also transferred some of their production capacity to Southeast Asian countries, which seems to have set off another wave of "leaving China".
Behind this series of trends is the inevitable choice of technology companies to adjust their global layout according to the development needs of the era of globalization, and it also reflects an indisputable fact: in the field of scientific and technological innovation, China is rapidly rising to become a world power.
At the moment of the alternation of the old and the new, technology companies adjust their global layout
Over the years, China has been an important link in the global technology industry chain, with multinational companies such as Apple, Foxconn, and Tesla using China as their core production base. But in recent years, these tech giants have begun to shift some of their production capacity to Southeast Asia.
Apple, for example, has stepped up its investment in India and Vietnam. Data shows that in the past 10 years, Apple has more than quadrupled the number of new foundries in India and provided more than 1.6 million jobs in Vietnam. At present, India has produced about $14 billion of iPhones, accounting for about 14% of global iPhone production.
As Apple's largest foundry partner, Foxconn's global layout adjustment is naturally in step with Apple. In recent years, Foxconn has increased its investment in Vietnam.
According to industry analysis, this is mainly to follow the transfer of Apple's industrial chain. In addition, Tesla not only negotiated an investment with India, but also laid off more than 20% of its employees in China, making it clear that it will shift its focus to Southeast Asia.
Behind this series of layout adjustments is the rational choice of technology companies according to the trend of globalization. On the one hand, India, Vietnam and other places have relatively abundant labor and low costs;
On the other hand, these Southeast Asian countries also provide various preferential policies to attract foreign investment. For companies, transferring some of their capacity can help reduce costs and make them more profitable.
More importantly, it also reflects an indisputable fact that China is catching up at an accelerated pace in the field of scientific and technological innovation, posing an unprecedented challenge to foreign technology companies.
Taking smartphones as an example, the rapid rise of domestic brands such as Huawei, Xiaomi, and Honor has directly impacted Apple's market position in China. In the field of new energy vehicles, Foxconn, Xiaomi and other companies have rushed to build cars, which has also brought a lot of pressure to Tesla.
It can be said that the growth of China's scientific and technological strength has become an important factor for these foreign companies to adjust their global layout. This is not only the result of China's improvement in innovation capabilities, but also a sign that the global technology landscape is undergoing profound changes.
China, the rise of a major innovation country
In fact, the improvement of China's scientific and technological innovation capability has become the focus of attention of the whole world.
In the field of artificial intelligence, Chinese technology companies have performed well. According to the World Intellectual Property Organization, in 2020, China ranked first in the world in the number of AI patent applications, surpassing the combined number of developed countries such as the United States, Japan and South Korea.
Chinese companies are also leading the way in cutting-edge technologies such as autonomous driving and facial recognition.
In the field of biomedicine, China has developed more than 90% of the new crown vaccination coverage, and new oncology drugs worth US$50 billion have also risen rapidly, and China has become the world's second largest drug market.
In the first half of 2022 alone, the number of new drug varieties on the market in China surpassed that of the United States, which shows the R&D strength of China's biopharmaceutical industry.
In the high-end equipment manufacturing industry, China has also made great progress. The advent of the commercial airliner C919 ended the long-term monopoly of foreign commercial airliners in the Chinese market.
China's high-speed rail dominates the global market with its safety, comfort and efficiency, and "Made in China" has become synonymous with high-speed rail. All these show that China's manufacturing industry is moving towards the high-end.
It can be said that China is in a leading position in emerging fields such as mobile communications, e-commerce, and sharing economy, and scientific and technological innovation is bursting out with strong energy.
The rise of China's scientific and technological strength has also been highly recognized by the capital market - a number of Chinese technology companies have successfully landed in the US capital market, further enhancing the international visibility and influence of Chinese enterprises.
It can be seen that China has become an important force in promoting the world's scientific and technological progress, and is moving towards a scientific and technological power and a leading position in the world. This has forced foreign technology companies to re-examine their development strategies in China.
Win-win cooperation among all parties to draw a new era of science and technology
In the future, the global science and technology landscape will show a new trend of openness and integration. This is not only the general trend of globalization, but also will bring a broader space for the development of enterprises in various countries.
Specifically, the reconstruction of the global technology landscape will mainly present three major characteristics:
Technology companies will achieve optimal allocation of global resources. Emerging markets such as Southeast Asia have abundant labor resources, China has a huge market and strong innovation capabilities, and developed countries have strong scientific research accumulation. All countries should take advantage of the situation, give full play to their own advantages, and jointly promote the evolution of science and technology.
Alliances between TNCs and local businesses will be strengthened. Apple is working with Chinese companies to build an ecosystem, and Tesla is also strengthening exchanges and cooperation with Chinese new energy vehicle companies. This complementary alliance will promote the deep integration of global scientific and technological innovation.
China will play a central role. China not only has huge potential for scientific and technological innovation, but has also given birth to a number of world-class technology companies. China's strong scientific and technological strength will surely reshape the global innovation map.
Based on these trends, China will play a key role in the new technology landscape. On the one hand, Chinese enterprises should accelerate independent innovation and enhance their core competitiveness.
On the other hand, China needs to further open up to the outside world and form a win-win situation of cooperation with multinational companies. Only in this way can China occupy the strategic commanding heights in the new scientific and technological revolution.
The adjustment of the global layout of technology companies is a product of market-oriented demand and globalization trends. At the same time, the improvement of China's scientific and technological innovation strength is also reshaping the global landscape.
Looking ahead, China will play a key role in the new round of scientific and technological revolution and form win-win cooperation with global innovation forces. We have reason to believe that with the rise of China's science and technology, human scientific and technological progress will surely open up new miracles.
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