Will the Luxury Yacht Manufacturing Industry All End Up in a Chinese Port?

It is well known in the overall aviation business that the manufacturing of small aircraft, corporate Jets, and even airliners is slowly shifting to China. The same thing is happening in the recreational marine boating business, plus they are beginning to build luxury cruising yachts in China. Previously, these were making lots of the components, now they’re making entire luxury yachts. But before you complain, realize that China is really a huge market for yachts, and the Chinese are simply naturally boat people (remember the Treasure Fleet), especially those that live close to the water, or in the major cities and have accumulated a great deal of wealth.

There was an interesting article recently published in Bloomberg Business Week (May 9 – May15, 2011) titled “China’s Next Port of Call: Luxury Yachts” which stated that the industry is headed to China, and the blissful luxury yacht makers of Europe, Australia, and the united states will slowly start to see the disappearance of companies making high-end yachts, as there is no way they will be able to compete. A couple of reasons things are floating to China as per this article;

1. – Lower Costs and rising wealth fuel growth at mainland boat builders.
2. – They use boats no differently than they might a karaoke lounge.

Okay so not merely can the these boats be made less expensively with low-cost labor, however the Chinese luxury cruising yacht business is booming with many wealthy Chinese seeing this as the ultimate for their wealthy status. hydrantenverschluß stated that the Chinese lack the intensive knowledge to create these yachts, but they are catching on quickly by using foreign partners. In analyzing the problem, I see the Chinese as capturing this industry aswell.

No, that doesn’t bode too well for those in Florida that are yacht builders, and employ thousands of people. Every time we talk about manufacturing in the usa, we talk about how jobs have increased, and we are the major manufacturer to the world, but in reality China is passing us, plus they are creating jobs quicker than we are, and also if their economy sputters, they’ll end up over time with an excellent chunk of our manufacturing industrial base.

Alongside such super specialties as the making of airliners, corporate Jets, luxury yachts, and other items that Americans currently appear to excel at. Needless to say, there are a variety of yacht manufacturers in the Mediterranean, and they too may lose those jobs to China. Would you buy a luxurious cruising yacht from China? Even when you say no, imagine if I said you could buy it for a third of the cost, and even half? You see, even you’d to stop and think about that. Please consider all this.