China’s seafood-processing industry, as well as the country’s manufacturing sector as a whole, are facing multiple obstacles that will require rapid adaptation to hurdle, according to David Jiang, the managing director of seafood processing and distribution firm Unibond Seafood International.
“Rising wages, an aging workforce, and younger generations’ reluctance to enter traditional factory roles are all impacting our industry,” Jiang told SeafoodSource.
Jiang explained that many Chinese seafood processors, “especially those reliant on manual filleting, trimming, and parasite removal,” are finding it increasingly difficult to recruit and retain workers.
These challenges come as a study conducted recently by the Financial Times showed Chinese manufacturing as a whole is in the throes of a “painful shift away from low-cost, labor-intensive production” as factories move abroad or turn toward automation.
Furthermore, tepid domestic demand in some areas, as well as escalating trade tensions with the U.S. and E.U., have left Chinese processors trying to turn a profit in a tough position.
Still, Jiang pointed out the seafood-processing industry in China still retains a “unique competitiveness” that sets it apart from many other labor-intensive sectors.
“Its deep integration with the supply chain – from proximity to major fishing grounds to the scale and efficiency of raw material logistics – gives it a natural advantage,” he said.
Another advantage for China, he said, is its “vast domestic seafood consumption [which] provides a steady, resilient base of demand that supports processing volumes even when export markets fluctuate.”
“Automation will undoubtedly play a role in improving efficiency and reducing dependence on labor,” he said. “However, unlike some industries where tasks are easily mechanized, much of seafood processing still requires precision and skilled manual handling – particularly in filleting, de-boning, and parasite detection, where variability in raw material makes full automation difficult.”
Overall, Jiang said he sees the future of Chinese seafood processing finding a middle ground, implementing efficiency where it can but also still relying on skilled labor.
“Our sector is experiencing many of the same pressures [as other labor-intensive industries], but it also benefits from structural strengths and specific characteristics that may buffer the impact,” he said. “The path forward will likely be a gradual shift toward semi-automation, with a continued need for skilled hands in key stages of the process.”