Foxconn, the world’s largest maker of computer components, revealed plans to move some 200,000 jobs inland. Currently, its manufacturing hub is in Shenzhen, near Hong Kong. But there is cheaper labor in central China, many manufacturers are finding. Foxconn’s Shenzhen properties will become an “engineering campus,” while the grunt work will move north and west.
Any move Foxconn makes has a substantial impact on China’s economy. Foxconn already has a million workers, and has plans to hire 400,000 more. The shift in focus inland will bring the Shenzhen workforce down below 300,000.