A Fight Against China

Now days, I can assure you that even a small children have heard the name of China. The largest population country of the world. Well, for common people like me who is not involved directly in Economy and business, but always keep staring at my computer writing a content for a Blog then the issue about China is still fresh in my head when they have problem with another largest player in the Internet – Google.

I won’t discuss their issue with Google since you can browse it and read it a lot in the internet. I am interested to write about China because today my friend asks me to buy a pair of sport shoes from him. It is a very attractive and beautiful one, original made from USA. If I buy it, then it will cost me about IDR 750,000 equivalent to USD 70. I almost took out money from my pocket but suddenly something came across my mind. I could find it as low as IDR 75,000 from the local market - my mistake for not mentioned before that it was Nike. Of course it is not originally made in USA but made in China with the exact size, color and shape. Do you see the price difference between it. It was only one example on how China products conquer almost the entire markets of retail products in my beloved Country – Indonesia.

A brief about how China start to penetrate ASEAN markets: China initial suggestion for the CAFTA (China ASEAN Free Trade Area) was raised in November 2000 by Prime Minister Zhu Rongji, proposed to explore the establishment of free trade relationship. By the year of 2010 ASEAN member will open their market in certain key sectors to China.

And now the threat begins, lots of cheap products had entered our local market, making local producers and seller start to cry. They can not compete with China products. Many of independent association start complaining this condition to the Government but it is too late, they have signed the agreement and there is no turning back. As I write this article, the resistance is still going on.

People are now prefer to choose a cheap and reasonable price of product rather than buying branded products, meanwhile some of them are still loyal with the branded one. How do you ask rich person who always ride a Harley Davidson as their favorite vehicle to switch using a China vehicle which is surely cheaper, attractive and less oil consumption? It is difficult , when money is not the main issue than we could stop talking about China. Actually there are a lot to talk about when it comes to China expansion in Asia and Europe. If you are looking for something to write into your website or paper regarding this topic, please let me know by putting a comment in my blog and I will try my best to assist you. Good day everyone.