Typically, Western multinationals would demand the lowest price possible, which in reality was benchmarked by the ultra-low prices they could get from Chinese producers. And other developing countries eager to break into the global supply chain had no choice but to go along.

But dramatic changes in China's demography, specifically the rapid decline of its labor supply in the coming two decades, will make the "China price" a thing of the past.

Based on China's fertility rate and population growth, a recent study by two economists at the International Monetary Fund suggests that, without any changes in policy or the birth rate, China will begin to experience a labor shortage in about a decade. In fact, by 2025, the country could face a shortfall of 28 million workers.

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Keywords: international trade, supply chain management supply chain jobs, China workforce shortage, China's population control, workforce and supply chain