Skip to comments.U.S. companies feel a chill in China, even as many still rake in profits
Posted on 07/06/2014 10:42:32 AM PDT by Cringing Negativism Network
A slowdown in Chinas breakneck economic growth, stiffer competition from Chinese companies and rising labor costs have combined to cut into the profit margins of U.S. companies operating here. Many executives say they think the playing field is being tipped against them by a government that favors domestic companies, or they complain about being excluded from key sectors of the economy by laws restricting foreign investment. Meanwhile, hazardous levels of air pollution here make it increasingly hard to recruit foreign executives.
(Excerpt) Read more at washingtonpost.com ...
However it seemed to capture the important points in the article.
China has a closed system, which is only opened to the extent that China can incorporate ever-more foreign assets.
The system remains closed.
America needs to pay attention, and America needs to support American companies.
“America needs to pay attention, and America needs to support American companies. “
Those companies mostly moved because increasing regulation in the US has become ridiculously expensive. The companies I’ve worked for had special, expensive people deal with the EPA inspectors, OSHA and others. Then they had to hire people to figure out Sarbanes Oxley. Then, of course, there’s the local governments who act more like Mafia insurance people than hosts to employers. “Gee, dat’s a nice operation youse got there. Shame if somebody regulates it.”
Oh, and let’s not forget government sponsored employee lawsuits for racism.
Many Japanese companies are leaving coastal China for Malaysia and Indonesia.
Many executives say they think the playing field is being tipped against them by a government that favors domestic companies . . . China has become a maturing market with a host of challenges, many linked to its Communist Party-directed economic model . . . there has been a change in how foreign investors are treated . . . foreign CEOs are . . . condemned by regulators or state media for exploiting Chinese consumers . . . [one U.S. "useful idiot] found evidence that the Chinese companys books had been cooked. It was forced to write off 86 percent of the deals value, about $580 million . . . [Red China called some useful idiots] pawns of the U.S. government and deserving of punishment for allegedly stealing Chinas state secrets . . . [Red China attacks the useful idiots by] unfairly target[ing them] in official anti-corruption or monopoly-pricing campaigns . . . .
Final act of NEP is the taking of the useful idiots' property and the disposal of the Nepmen. Only this time the commies did NEP right. They are the Nepmen so they get to keep their billions unless Xi's purge and consolidation of total power (Mao-power) gets them.
Can't really blame the commies for putting the penniless useful idiots on a slow boat to America. There are at least 600 million Chinese left out of the economic "miracle" -- if something is not done soon there will be another "agrarian reform" take place.
Would not surprise me that the Communist Chinese have emulated the Soviet Unions’ NEP and are entering a new phase...and the losers will be US companies...and their supporters & stockholders
Cannot believe how so many support Free Trade with Communist China. I can still remember a time when...one supported free trade with a Communist nation...they were tried and executed for treason