It is no surprise that nearly every industry has taken a beating along with the global economy, especially the global trade market. As challenges continue to mount for overseas suppliers, particularly in China where the lack of demand in the U.S. and Europe, rising costs, increased competition, and labor shortages have caused Chinese manufacturers to transition or fail. According to Mike Bellamy, of China Sourcing Information Center, Chinese suppliers are adopting a new philosophy of manufacturing by thinking lean and becoming better suppliers to U.S. buyers in order to capture more market share. One factory in particular, located in Wenzhou, Zhejiang province has improved its productivity by improving its technology, shoemaker China Juyi Group. According to the shoe company’s vice-general manager, China Juyi Group was able to increase production using new laser machines that has allowed them to grow from 20 to 5,000 employees and increase annual exports to over $100 million. As China’s massive economic development begins to slow due to the rise in labor costs and raw materials, however, manufacturers in the region have reached a pivotal point because of thin profit margins and zero bargaining power over export prices. This combination will drive many manufacturers to fail, while others, like the China Juyi Group, will only grow stronger. To read more on China Sourcing visit chinasourcinginfo.com.