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Economy

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

The once mighty manufacturing industry struggles to compete in wages

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

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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