22 April 2019

China expensive but profitable for US execs, WSJ says

Rising costs in China are the biggest concern of US corporate executives in the country, the Wall Street Journal reported on Thursday, citing a survey conducted by the US-China Business Council. Labor costs, in particular, have been surging by double digits for many businesses in the last few years, prompting some American manufacturers to leave China for other shores, including the United States and Mexico, the newspaper said. More companies are also expecting hefty 5-10 percent hikes in costs in the coming year. Still, more than 90 percent of the respondents said their China business is profitable, the highest level since the survey was started. In the past two years, US executives in China listed human resources — finding the right talent — as their top problem, the report said.

– Contact HKEJ at [email protected]



EJI Weekly Newsletter

Please click here to unsubscribe