Page 20 - Media Coverage Report
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ples of International Articles
国际媒体报道文章
US companies plan smaller China investments due to
stranded execs
AmCham South China finds businesses upbeat on prospects despite trade
conflict worries
CK TAN, Nikkei staff writer February 26, 2021 05:00 JST
SHANGHAI -- U.S. companies are upbeat about According to the survey, 84% of all 191 respondents
their business prospects in China but are scaling were at least slightly optimistic about the business
back the pace of new investments, according to a outlook, up from 71% last year. A majority said that
new survey published on Friday. their company saw higher returns on investments
in China than elsewhere last year.
Just 6% of U.S. companies participating in
the annual study by the American Chamber of The share of those saying China would be their
Commerce in South China said they were budgeting company's top investment priority this year climbed
$250 million or more for investments in the country to 55% from 45% while the share of those intending
this year, down from 17% last year. Ultimately just to shift investment elsewhere halved to 19%. Still,
3% of overall respondents ended up making large some 86% said they expected the U.S.-China trade
investments in 2020. conflict to get worse this year.
Harley Seyedin, president of the group, told Nikkei As to expatriate staff, a plurality of 42% of
Asia that based on his conversations with members, respondents said they have fewer than five now and
this is partly because the pandemic and related 28% reported none. This compared with a plurality
travel controls have displaced senior executives of 34% counting at least 50 foreign employees a year
overseeing local operations. ago. Despite the decline in expatriate workers, only
30% of respondents said they had reduced staffing
"Without the high-level executive here on the over the past year.
ground, it becomes difficult to convince boards
back at headquarters for large greenfield expansion The continued interest in investment in China echoes
investments," he said. an analysis released on Feb. 17 by the U.S. Chamber
of Commerce which looked into the potential cost of
Consequently, while U.S. companies are optimistic full economic disengagement.
about the business outlook in China with the new
administration taking office in Washington and U.S. gross domestic product losses could reach
economic momentum returning in both countries, up to $500 billion if American companies reduce
they are looking to expand existing operations investment in China by 50%, warned the report,
instead of making bolder moves. published in partnership with research company
Rhodium Group. The U.S. semiconductor industry
"There is a general consensus within the business alone could lose $54 billion to $124 billion in sales if
community that the Biden administration will view the access to Chinese customers is eliminated, it found.
U.S.-China relation through a different looking glass,"
Seyedin said. "I predict a rather long honeymoon period Aimed at finetuning U.S. engagement with
within which the two sides will have an opportunity to China, the report argued that Washington should
examine their differences, evaluate what is important seek purposeful decoupling and not gratuitous
to each side and begin friendly and mutually respectful dismantling of ties. "This study is a step toward
dialogue." re-sizing our engagement rationally," said Daniel
Rosen, the report's principal author.
20 AMCHAM SOUTH CHINA
国际媒体报道文章
US companies plan smaller China investments due to
stranded execs
AmCham South China finds businesses upbeat on prospects despite trade
conflict worries
CK TAN, Nikkei staff writer February 26, 2021 05:00 JST
SHANGHAI -- U.S. companies are upbeat about According to the survey, 84% of all 191 respondents
their business prospects in China but are scaling were at least slightly optimistic about the business
back the pace of new investments, according to a outlook, up from 71% last year. A majority said that
new survey published on Friday. their company saw higher returns on investments
in China than elsewhere last year.
Just 6% of U.S. companies participating in
the annual study by the American Chamber of The share of those saying China would be their
Commerce in South China said they were budgeting company's top investment priority this year climbed
$250 million or more for investments in the country to 55% from 45% while the share of those intending
this year, down from 17% last year. Ultimately just to shift investment elsewhere halved to 19%. Still,
3% of overall respondents ended up making large some 86% said they expected the U.S.-China trade
investments in 2020. conflict to get worse this year.
Harley Seyedin, president of the group, told Nikkei As to expatriate staff, a plurality of 42% of
Asia that based on his conversations with members, respondents said they have fewer than five now and
this is partly because the pandemic and related 28% reported none. This compared with a plurality
travel controls have displaced senior executives of 34% counting at least 50 foreign employees a year
overseeing local operations. ago. Despite the decline in expatriate workers, only
30% of respondents said they had reduced staffing
"Without the high-level executive here on the over the past year.
ground, it becomes difficult to convince boards
back at headquarters for large greenfield expansion The continued interest in investment in China echoes
investments," he said. an analysis released on Feb. 17 by the U.S. Chamber
of Commerce which looked into the potential cost of
Consequently, while U.S. companies are optimistic full economic disengagement.
about the business outlook in China with the new
administration taking office in Washington and U.S. gross domestic product losses could reach
economic momentum returning in both countries, up to $500 billion if American companies reduce
they are looking to expand existing operations investment in China by 50%, warned the report,
instead of making bolder moves. published in partnership with research company
Rhodium Group. The U.S. semiconductor industry
"There is a general consensus within the business alone could lose $54 billion to $124 billion in sales if
community that the Biden administration will view the access to Chinese customers is eliminated, it found.
U.S.-China relation through a different looking glass,"
Seyedin said. "I predict a rather long honeymoon period Aimed at finetuning U.S. engagement with
within which the two sides will have an opportunity to China, the report argued that Washington should
examine their differences, evaluate what is important seek purposeful decoupling and not gratuitous
to each side and begin friendly and mutually respectful dismantling of ties. "This study is a step toward
dialogue." re-sizing our engagement rationally," said Daniel
Rosen, the report's principal author.
20 AMCHAM SOUTH CHINA
