Some of the world’s top companies are scaling back their production in China, moving instead to neighboring countries or bringing jobs right back to America. The Daily Caller reports:
More than 50 global companies including Apple, Nintendo and Dell are rushing to pull production out of China amid the country’s trade war with the United States.
U.S., Japanese, Taiwanese and even Chinese manufacturers are moving out of the country in fear of a prolonged trade conflict, including those who make personal computers, smartphones and other electronics, Nikkei Asian Review reported Thursday.
“We need permanent measures to avoid the risk of tariffs and be eligible for U.S. government procurement,” Kiyofumi Kakudo, CEO of computer maker Dynabook —which makes almost all of its notebook PCs in China — told Nikkei.
“Although the fourth round of U.S. tariffs has been temporarily shelved, we cannot tell what will happen nor when,” Kakudo continued.
China losing business from companies is important for two reasons: it helps America remain competitive and grow the economy at home, but also starves China from revenue that it uses to build up its military for regional dominance.