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Its not just the subsidies. JLPCB is literally physically connected to LCSC electronics. This makes their margins for pick and place add-ons really good. And mo
by LarsDu88 1y ago
Its not just the subsidies. JLPCB is literally physically connected to LCSC electronics. This makes their margins for pick and place add-ons really good. And most of their sales are loss-leaders.
Even without subsidies this company would have structural competitive advantages over US PCB manufacturers. Its silly to think a US PCB manufacturer would be competitive in the same way without having something like the digikey warehouse and associated manufacturing chains right next door.
- owenversteeg 1y agoExactly. And LCSC is Digikey, but far younger (2012 vs 1972), more agile, more vertically integrated, benefiting from state subsidies, heavy automation, most components physically produced nearby, etc etc. Chinese businesses are so impressive because of the whole enchilada, not just a few relatively small factors like labor cost or environmental regulations that people like to bring up in discussions like these.