Foreign companies are slowing expansion in China as they weigh its slowing economy and tensions with the US, according to a recent survey, reports Caixin.
The American Chamber of Commerce (AmCham) in South China published results of a survey showing that 40 per cent of companies studied polled they are not planning to expand in China over the next three years, a rise of nine per cent from a year ago.
Still, the majority retain a positive outlook on China's long-term economic prospects, a survey found.
The survey collected responses from 183 companies polled between October 9 and December 31, 2023. Of these 49 per cent were from the US while 35 per cent were based in China. The rest were from other regions including Europe.
More than half the businesses surveyed were solely owned by foreign investors and 70 per cent have operated in China for more than 10 years.
In 2023, 66 per cent of companies studied reinvested in China in 2023, a decrease of 14 per cent compared with 2022, the report said. This marks a significant shift from the steadier rates of 78 to 80 per cent seen between 2019 and 2022. American firms led the drop in reinvestment in 2023.
SeaNews Turkey
The American Chamber of Commerce (AmCham) in South China published results of a survey showing that 40 per cent of companies studied polled they are not planning to expand in China over the next three years, a rise of nine per cent from a year ago.
Still, the majority retain a positive outlook on China's long-term economic prospects, a survey found.
The survey collected responses from 183 companies polled between October 9 and December 31, 2023. Of these 49 per cent were from the US while 35 per cent were based in China. The rest were from other regions including Europe.
More than half the businesses surveyed were solely owned by foreign investors and 70 per cent have operated in China for more than 10 years.
In 2023, 66 per cent of companies studied reinvested in China in 2023, a decrease of 14 per cent compared with 2022, the report said. This marks a significant shift from the steadier rates of 78 to 80 per cent seen between 2019 and 2022. American firms led the drop in reinvestment in 2023.
SeaNews Turkey
