Sourcing glossary
Industrial cluster
Also known as: Manufacturing cluster, Specialised town, 产业集群, 산업 클러스터, 산업 집적지
A city or town in China where many factories, component makers and suppliers of the same product category are concentrated, such as Shenzhen for electronics or Foshan for furniture.
Clusters matter because prices, MOQs and know-how are best where the supply chain is dense: materials, parts, printing and packaging are all nearby. Knowing the cluster for your product also helps you judge suppliers — a "factory" for your category located far from its cluster is more likely to be a trading company or a small workshop.
Search 1688 or Alibaba by product and look at where the manufacturers are located, then focus visits and audits there. See China manufacturing hubs for a map of major clusters.
Related terms
Guides that use this term
Part of Finding Suppliers.