By the time you read this, I will probably be back from my first visit to the SEMICON China exhibition in Shanghai, scheduled for March 12-14. Even during the severe industry downturn, the 2003 show boasted 600+ booths compared to 450 in 2002, representing a tripling of exhibitors since 2001! At the same time, visitor attendance was forecast to increase 50 percent over the 11,238 attendees at last year's show. China's amazing expansion story is nothing new to most of us. You only need look at your watch, your television, your phones or your computer monitor. It's likely that the majority of these products will carry a "Made in China" origin mark. The "China Express" is running at full speed! In appears that the semiconductor industry, from front end to assembly and test, will make China its second home. There are several reasons why the world's most populous country looks so good to foreign companies. One is obvious-and that's the cost of labor, which is still cheap. The second reason, and the one most often cited by the U.S.-based companies planning to site there is that China opens an enormous, almost unlimited end-user market for foreign products. Some of the mind-boggling statistics that support China's desirability as a new market:
However, before everyone runs off to locate in Shanghai, let's deliberate carefully about the consequences of moving all of our advanced semiconductor manufacturing to China. We should also consider the potential damage to the U.S. economy, including the loss of U.S.-based jobs-a sad but continuing reality as companies relocate their brain power to China-or to Hong Kong, Singapore or other parts of Asia. Let's make sure that when we climb aboard the China Express, we don't pay too steep a price for the seats! I would appreciate hearing your thoughts. 
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