Seven Out of 10 U.S. Companies Plan to Keep Supply Chains in China, Chamber Says
What’s new: A recent survey jointly conducted by the American Chamber of Commerce in China and PricewaterhouseCoopers showed that most American companies in China currently have no plans to move their supply chains or procurement activities outside China and are now focused on risk management.
Over 70% of the respondents said they would not shift their production or procurement activities outside of the country due to the pandemic, while about 24% said they plan to shift their procurement and 12% said they plan to shift production activities.
Background: As the economic impact grows, some countries, such as Japan, have encouraged enterprises to shift supply chains back to their home countries.
The head of the European Union Chamber of Commerce in China Jörg Wuttke has previously told Caixin that European manufacturers wouldn’t find it easy to move their operations back to their home countries.
Quick Takes are condensed versions of China-related stories for fast news you can use. To read the full Caixin article in Chinese, click here.
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