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China's Electronics Manufacturing Services Company
Aug 01, 2017

    With the development of China's electronic manufacturing services and the transfer of global electronics manufacturing to China, China's electronics manufacturing companies have sprung up. In China's Yangtze River Delta, the Pearl River Delta and the Bohai Sea region, the formation of a relatively complete electronic industry community. Around the household appliances and other consumer electronics products, communications equipment and end products, computer network equipment, terminals and peripheral products, the entire upstream supporting industry chain formed in these areas. Each of the large brand companies around the numerous supporting services for small and medium manufacturing companies, forming a one of the industrial park. On the one hand, in the international and domestic brand manufacturers around to grow up a lot of contracts, OEM for the characteristics of the processing enterprises, as well as parts, components manufacturing enterprises; the other hand, China's brand manufacturers are generally in the international brand to do OEM produce. Contract manufacturing has become an important phenomenon and an integral part of China's electronics manufacturing industry, and through the industrial park to form a processing center, manufacturing base, and thus constitute the Yangtze River Delta, the Pearl River Delta and other industrial communities. Contract manufacturing is a basic feature of these manufacturing bases, while the formation of the park for the centralized procurement, logistics and other services to provide a convenient. On this basis, the electronic design chain also began to grow, grow.
On the one hand is the rise of China in the geographical structure of the rise; the other is the global electronics industry from the vertical structure to the horizontal structure of change, the value chain division of labor more and more scientific and technological innovation to accelerate the market volatility, and China in this industrial ecology Processing and manufacturing-based, although also began in the R & D design, brand services and other aspects of exploration. This change makes the professional basis of cross-border collaboration and value chain collaboration become an important source of electronic enterprise market competitiveness.
The global electronics supply chain is undergoing a fundamental shift as OEMs (original equipment manufacturers, brand manufacturers) continue to outsource production to China's electronics manufacturing service providers (EMS) and original design manufacturers (ODMs). US ESM magazine (International Electronic Business) recently announced the world's top 50 electronic manufacturing service providers (EMS) ranking. More than half of EMS companies have manufacturing bases, design or logistics centers in North America, Europe and Asia, while the top 10 EMS companies are more profitable from accelerating the layout of low-cost manufacturing infrastructures. Most of the revenue comes from the Asian region. Contract manufacturing began to transform into a global business.
The outsourcing of China's electronics manufacturing services is growing rapidly, but the business model of outsourced (OEM) and outsourced providers (EMS, ODM, etc.) is undergoing fundamental changes. According to iSuppli, electronic OEMs continue to outsource to pursue increasing stability, reduce manufacturing assets and focus more on their core competencies. However, EMS and ODM will continue to face a lot of pressure on gross profit and net profit. EMS and ODM suppliers are responding to this pressure by extending to new and non-traditional product markets.