EUROPEAN firms in China are too focused on managing risk instead of increasing market share, which is hurting efficiency and innovation and increasing costs, according to the European Chamber of Commerce, reports Reuters.
The European business lobby said in its de-risking report that companies were 'skewed disproportionately towards risk management and building resilience' because of Covid, global economic slowdown, Ukraine war and US-China geopolitical competition.
The eu has found itself dependent on China for certain products including critical minerals, and has begun closer scrutiny of foreign investments and strategic tech exports to rivals such as China. Brussels maintains that de-risking is different from decoupling from China.
About three-quarters of the chamber's members have reviewed their supply chains in the past year, with 21 per cent moving more production into China and 12 per cent moving more out, said Jens Eskelund, chairman of the Danish Chamber of Commerce in China.
SeaNews Turkey
The European business lobby said in its de-risking report that companies were 'skewed disproportionately towards risk management and building resilience' because of Covid, global economic slowdown, Ukraine war and US-China geopolitical competition.
The eu has found itself dependent on China for certain products including critical minerals, and has begun closer scrutiny of foreign investments and strategic tech exports to rivals such as China. Brussels maintains that de-risking is different from decoupling from China.
About three-quarters of the chamber's members have reviewed their supply chains in the past year, with 21 per cent moving more production into China and 12 per cent moving more out, said Jens Eskelund, chairman of the Danish Chamber of Commerce in China.
SeaNews Turkey
