China worlds No1 exporter of information and communication products

China overtook the US as the world's biggest supplier of information and communications technology products last year according to OECD report just published. China exported $180 billion worth of information and communications technology last year. The US exported $149 billion.

China's share of global information and communications product trading, including imports and exports, rose from $35 billion in 1996 to $234 billion in 2003 and, finally, to $329 billion in 2004. The United States' share rose from $230 in 1996 to $301 billion in 2003 and finally to $375 billion in 2004.

And china is now buying an increasing amount of components from Asia, and Japan in particular. It was interesting how irrelevant Europe is becoming to such global studies.

The survey also proves that China and to a lesser extent India are fast becoming economies capable of competing globally in a great deal more product categories than just low cost manufactured products. Look out for Chinese cars, trucks, planes, games and software. The US and the EU will have to work incredibly hard to protect and develop their increasingly knowledge based economies and mantain their economic supremacy in the nedium term. The challenge is on.