The manufacturing industry in China has grown at such a rapid rate of the past few years that it is destined to surpass manufacturing in the United States around 2013–14, according to a report from HIS Global Insight.
The report writers estimate that China’s manufacturing industry grew by 14% from 2007 to 2009, almost catching up with the US, which declined by over 8%.
The US made US$1.72 trillion in nominal manufacturing value in 2009, which China’s economy made $1.61 trillion.
“A turn around in US manufacturing output by now has already begun, starting in late 2009 and continuing through the early months of 2010, so the recessionary trends of 2008–09 for the US manufacturing sector should not be extrapolated into the future,” the IHS report said.
The report said that, due to strengthening of the Chinese yuan currency compared to the US dollar over, China will overtake the US in terms of manufacturing output by 2014.