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Profab EMS benefits from made-in-china era coming to an end

The Chinese market is different than it was a few years ago. The cost of doing business in China has begun to increase, and other hidden costs are entering focus.

Chinese workers are demanding higher wages and better working conditions in order to keep up with the increasing standards of living. If manufacturers don't raise prices, they sacrifice quality to keep costs down. This coupled with longer lead times and poor delivery creates a much higher total cost of ownership than OEM's would have expected.

There are a number of challenges companies have always faced when outsourcing manufacturing in the East, beyond the language barriers and time zone differences. It is essential that companies adapt to Chinese culture and have a constant presence in China in order to build a relationship with their CM's-or risk being put at the bottom of the list. Small and mid-sized OEM's simply don't have the resources to respond to these challenges.

Chinese manufacturers are now allocating their resources to their larger customers and are neglecting the smaller ones more-so than in the past. Without a strong presence overseas, control is completely out of the hands of OEM's.

The paradigm has shifted and many companies are now aligning themselves with quality-focused American manufacturers in order to keep ahead. America offers ease of communication, accessibility, shorter travel time, and tax advantages, and cost advantages.

Profab Electronics, an EMS provider headquartered in Pompano Beach, Florida, has fostered partnerships with Chinese and other overseas component and blank board suppliers in addition to their local vendors-allowing their customers to maintain the cost advantages of genuine raw materials from China, while benefiting from Profab's focus to quality and customer service.

Profab Electronics, Inc has become one of the fastest growing electronic manufacturing service providers in the Southeast United States. Profab is an enterprising company known for consistently setting ambitious quality standards for the American electronics manufacturing industry. Combining flexibility, unparalleled experience, and comprehensive capabilities, Profab benefits companies across a number of industries including aerospace, defense, medical, nuclear, RF/wireless, gaming, automotive and consumer electronics.