'Made in China' at risk as workers flock to service sector

The once mighty manufacturing industry struggles to compete in wages

20190814N Chinese battery factory REUTERS

China's manufacturing sector accounts for a smaller share of the GDP than the service sector. © Reuters

YUSUKE HINATA, Nikkei staff writer

GUANZHOU -- Known as the world's factory, signs are emerging that a talent drain to the service sector is beginning to put a strain on China's mighty manufacturing sector.

The country's push to transform itself into a service-based economy appears to be accelerating more quickly than planned and has produced a sector with better-paid positions. The fight for manpower has become a zero-sum game that has left the manufacturing sector hobbled with job vacancies and an uncertain future.   

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