Rapidly rising wages may be a headache for manufacturers and the communist leadership in China, but they are good news for people like Ngo Truong Chinh in Vietnam.
Mr Chinh recently took a job as a quality control manager at a factory that XP Power, the UK-listed electronic components manufacturer, has just opened in Binh Duong province, part of Vietnam’s main industrial belt near Ho Chi Minh City.
“Labour costs are cheaper in Vietnam but the workers’ skills are good,” says Mr Chinh, a 35-year-old electronics graduate. “That’s why many foreign manufacturers are investing in Vietnam.”
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