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In this Issue:

• Manufacturing Across Southeast Asia
• India: Asia’s Next Manufacturing Juggernaut
• Betting on Vietnam: The Future of Southeast Asian Manufacturing

For the first time in more than a decade, China’s manufacturing competitiveness is wavering. Faced with increasing competition from India and emerging Southeast Asian markets, China’s rising labor costs and complex regulatory environment are triggering an exodus of manufacturing operations to more investor-friendly and cost-effective jurisdictions. Most notably, India and the 10-nation ASEAN bloc are setting the new bar for international manufacturing standards. These developing economies are on track to reap the benefits of a demographic dividend and inherit China’s comparative advantage in shipping and labor costs over the next five years and will soon assume the mantle of the world’s newest factory states.

In this issue of Asia Briefing Magazine, we explore several of the region’s most competitive and promising manufacturing locales including India, Indonesia, Malaysia, Singapore, Thailand, and Vietnam. Exploring a wide variety of factors such as key industries, investment regulations, and labor, shipping, and operational costs, we delineate the cost competitiveness and ease of investment in each while highlighting Indonesia, Vietnam and India’s exceptional potential as the manufacturing leaders of the future.

The decision of where to base one’s manufacturing operations is one that should never be taken lightly by foreign investors, and professional services firms can play an important role in helping companies weigh the benefits and shortcomings of various jurisdictions. With more than 20 years of experience in the region, Dezan Shira & Associates and its partners throughout Southeast Asia are pleased to assist businesses and investors interested in further understanding the complex web of DTAs, FTAs, FDI regulations, and cost considerations that shape the ebb and flow of manufacturing competitiveness across Asia.