Manufacturing in Asia is undergoing rapid diversification. Investors that understand where to source, produce, and assemble products will be able to derive value at all stages of the production chain.

With various countries in Asia offering different value propositions - whether for high-value manufacturing in China or India, or low-value manufacturing in Vietnam, Indonesia, or The Philippines – Asia is set to take center stage for foreign investors looking to set up manufacturing operations.

Low costs, competent labor markets, as well as proximity to global supply chains and government sponsored incentives are among the numerous benefits awaiting manufacturing businesses in Asia.

However, setting up and operating manufacturing units here may not always be straightforward.

Companies should keep certain key aspects in mind when manufacturing in Asia.

How Dezan Shira and Associates can help companies succeed within the manufacturing industry:

The location of the manufacturing unit may decide eligibility for incentives, costs, access to infrastructure or even business scope.

Conducting thorough research and creating a strategy for entry mode and set up can help businesses overcome any initial challenges.

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Taxation and accounting practices for trading companies may vary significantly across Asia. Companies trying to leverage an Asia wide supply chain may find it difficult to cope with the local practices in each country.

Further, different countries and different localities within these countries, may have different tax incentives.

This is where Dezan Shira’s tax and accounting experts can help. With local offices in several countries in Asia, we can coordinate and synchronize accounting practices as well as ensure that your company takes full advantage of any tax incentives.

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Labor laws in Asia, while previously at a nascent stage, are now developing quickly. Regulatory and legal compliances are detailed and may be confusing for foreign invested companies.

Our legal and HR departments can manage compliance, and also procure suitable talent for your Asia operations. 

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Dezan Shira & Associates has helped a wide array of foreign investors successfully establish and optimize manufacturing operations in Asia. At the pre-investment phase, the firm can help evaluate individual markets, identify locations for establishment, and structure supply chains. We can also help maximize profitability and maintain statutory compliance once operational.

Dezan Shira & Associates has been helping foreign manufacturers succeed in Asia for over 25 years; the firm is well placed to help you manage your investment in this industry.

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