Jason Andringa’s company was part of the stampede of U.S. businesses that built factories in China.
Iowa-based Vermeer, a 4,000-employee maker of industrial and farm machinery, opened a plant there two decades ago—and Andringa, the company’s president and CEO, frequently visited what many considered the world’s premier fast-growing, future-oriented economy. But the mood of Vermeer and many other global producers has turned sour on China.He has no plan to leave and is pleased with the operation, but said he would not expand there given the tensions in the U.S.
The move away from China began on a small scale during the Trump administration’s trade war, as producers shifted supply chains to sidestep the cost of tariffs. "We have businesses doing full exits from China," said Matt Dollard, a senior analyst at RSM US, a consulting firm that focuses on mid-market companies.
Faced with these pressures, many companies are pursuing a so-called China-plus-one strategy. Rather than expand in China, these companies are directing new investments to other low-cost countries such as Vietnam and India.on China. Ryan Gunnigle, CEO of Atlanta-based toy maker Kids2, said he is continuing to invest in his China factories, adding both automation and new capacity.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
China Creates ‘Global A.I. Governance Initiative’ to Control World’s TechSource of breaking news and analysis, insightful commentary and original reporting, curated and written specifically for the new generation of independent and conservative thinkers.
Read more »
China Coast Guard Ship Collides With Philippine Boat in South China SeaBrief collision shows growing tensions in an area where close maritime encounters can spiral out of control
Read more »
China and Philippines accuse each other over collisions in disputed South China SeaChina and the Philippines on Sunday accused each other of causing collisions in a disputed area of the South China Sea, the latest in a string of maritime confrontations between the two countries that have heightened regional tensions.
Read more »
China, Philippines Trade Accusations Over South China Sea CollisionChina and the Philippines traded accusations over a collision in disputed waters of the South China Sea as Chinese vessels blocked Philippine boats supplying forces there on Sunday, the latest in a series of maritime confrontations. The two countries have had numerous...
Read more »
Philippines tells China to stop provocative actions in South China SeaThe Philippines repeated its call for China to stop 'provocative actions', warning that its attempts to block Manila's resupply missions to a disputed atoll in the South China Sea could have 'disastrous results'.
Read more »
China and the Philippines trade accusations over South China Sea clashChina and the Philippines traded accusations over a collision in the South China Sea as Chinese vessels blocked Philippine boats supplying forces there.
Read more »