Previously known as a manufacturing hub for low-technology and labor-intensive products, China has been increasingly moving up the technology ladder to become an exporter of hi-tech goods.
No other sector symbolizes this shift better than the train market. When China decided over a decade ago to build a high-speed rail network connecting the length and breadth of the vast nation, the country had no domestic production base that could handle such a mammoth project. It had to import trains from foreign companies such as the German conglomerate Siemens, the Japanese corporation Kawasaki and the French firm Alstom.
Fast forward to today and Chinese rail companies have mastered the technology to build the trains and are now actively seeking markets overseas to sell their trains, thus competing with the established players in this segment.Which will only sell in the West if the taxpayers there are willing to subidize them.