European Business Confidence in China Slides to Record Low
(20 June 2023 – China) Foreign companies are actively transferring investments and Asian headquarters out of China as confidence plummets following wider reaching anti-spying laws and other mounting challenges according to the European Union Chamber of Commerce in China.
Corporates are concerned about security controls, government protection of Chinese state sponsored enterprises and a lack of action on reform promises according to the European Chamber. They also are being pressured by slowing Chinese economic growth and rising costs.
The European Chamber stated that the top destination for companies moving their Asian headquarters out of China was Singapore, followed by Malaysia, whole a minority went or plan to go to Hong Kong.
“Business confidence in China is pretty much the lowest we have on record. There’s no expectation that the regulatory environment is really going to improve over the next five years” said the European Chamber President, Jens Eskelund.
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