As President Obama prepares to meet China’s likely next leader in Washington, a new U.S. Business and Industry Council study shows that China’s challenge to American manufacturing is rapidly spreading from low-value consumer goods to dozens of advanced manufacturing sectors.  

The study, titled “Chinese Market Share in Advanced U.S. Manufacturing Grows at Accelerating Pace,” reports that in 2010, China supplied 7.51 percent of America’s total consumption of a large cross-section of high-value American manufactured products.  

Chinese inroads in these industries skyrocketed nearly 16 percent in 2009, more than 19 percent in 2010, and have grown nearly twelve-fold since 1997.

Sectors seeing major Chinese gains include the most sophisticated information technology products, as well as numerous categories of industrial machinery, chemicals, and the auto parts industries spotlighted in recent American trade complaints. 

Said USBIC's Alan Tonelson, “These findings demolish the still-widespread view that Chinese economic competition can be safely downplayed because it’s largely confined to cheap consumer goods.  Dozens of America’s high value industrial crown jewels are steadily becoming just as vulnerable to Chinese competition as clothing, shoes, and toys.”

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