As a growing number of sovereign nations voice concern at how much their supply chains depend on China, the Chinese Communist Party wants to strengthen supply chains with all countries, Premier Li Qiang said on Tuesday.
Eduardo Baptista and Joe Cash for Reuters:
Li’s comments comes amid calls over the past year from the United States and the European Union to reduce their dependence on China in certain sectors and “de-risk” their supply chains, as well as efforts to cut off Chinese enterprises from some advanced semiconductors.
“We are willing to build closer production and industrial supply chain partnerships with all countries,” Li told the first China International Supply Chain Expo (CISCE), adding that the international community needs to be “more wary of the challenges and risks brought about by protectionism and uncontrolled globalisation.”
Recent geopolitical tensions, from Russia’s war in Ukraine to concerns over a future Chinese invasion of Taiwan, have led a growing number of foreign businesses to opt against expanding their supply chains in China, instead directing investment to countries including India, Mexico and Vietnam that enjoy better ties with the United States, a strategy known as China-plus-one.
The expo, organised by the state-run China Council for the Promotion of International Trade (CCPIT), is Beijing’s latest bid to increase foreign investment in China, which has dropped to historic lows.
The value of announced U.S. and European greenfield investment into China dropped to less than $20 billion last year, from a peak of $120 billion in 2018, according to Rhodium Group, while investment into India shot up by some $65 billion or 400% between 2021 and 2022.
MacDailyNews Take: Li sounds worried. Good.
You made your bed, CCP. Lie in it. And, while you’re at it, stop taking advantage of countries’ largess to steal IP, you criminals.
The CCP’s lunacy is India’s gain. – MacDailyNews, March 3, 2023
The time to accelerate plans to move production out of China was November 9th 2016, but, hey, six years late is better than never! – MacDailyNews, December 4, 2022
Smart companies have finally woken up and are working to diversify their supply chains away from, and reduce risky reliance on, CCP-controlled authoritarian China. – MacDailyNews, October 21, 2022
Apple should have been diversifying production long ago to minimize risk, not to mention China’s human rights abuses, authoritarian censorship, and myriad other concerns, including “COVID” lockdowns. – MacDailyNews, June 1, 2022
It’s smart for both Apple and Foxconn to diversify assembly outside of China. There’s no sense having all of your eggs in one basket. — MacDailyNews, April 2, 2019
The real virus is the panic. – MacDailyNews, March 9, 2020
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So, as has been true in every instance: NEVER TRUST a Communist run country, as they will lie, cheat and steal you blind. The 3% in high “government” positions live like princes whilst the everyday citizens struggle with meager living standards. The biggest blunder of the 1970s was the naive hope the USA placed in China, thinking that, if treated like most countries, they would reciprocate-in-kind and behave respectably. The I.P. theft since then has been massive. Their suppression of freedoms has necessitated the thievery because there’s no true individual capitalism/reward basis for risking and winning. And failure can mean death. Now their 5-year planning has resulted in huge ghost cities and banking & investor bankruptcy. Capitalists can quickly make tiny adjustments as market conditions change; CCP stooges, not so much…..
Lol…. “Lie, cheat and steel”.. is the mantra of US based capitalism and the previous POTUS. “Everyday citizens struggle with meagre living standards” USA has some of worst poverty in western world….”behave respectfully !!” Americans kill more of their fellow countrymen, than anywhere else on earth…. Suppression of freedoms… Hah ha… Wade vs Rowe…. Hypocrites will be hypocrites
So stupid that you can’t even spell “steal”? Fscking liburd!
Liburd? Now who’s the moron?
That’s not a very good counter-argument. Surely you can do better.
Poor Hugo; he desperately needs to travel to the rest of the globe. He could benefit from doses of reality and come to realize that capitalism isn’t the evil that he thinks it is (small individual businesses, as was the norm before massive corporatism was created and took over, was quite beneficial to USA living standards) and that when morality declines as it has today, predatory financial behavior (lobbyists + bureaucrats in gov’t) takes over. See Hugo? I saved your ego.
“Lie, cheat and steel”. Steel? Well, China slave labor stole that industry from the USA along with Apple and countless others.
Willfully uniformed, uneducated and stupid is no way to go through life son…
Things are so much better with Joe in the WH! I’m lovin’ the higher prices, open border and rampant crime. Four more years, please. Heck… eight!
Memo to China: F A F O!
The theft of IP and the Chinese attitude to everything that’s not of the ‘Middle Kingdom is very much ingrained into their cultural identity. It predates Communism.
Li told the first China International Supply Chain Expo …that the international community needs to be “more wary of the challenges and risks brought about by protectionism and uncontrolled globalisation.”
Now that is rich coming from CCP.
Git ‘er dun!
Interesting to read about China’s struggle with supply chain de-risking and the impact it’s having on foreign investment. It’s a reminder of how interconnected global markets are, and how changes in one area can ripple out to affect so many others. This is a bit like gambling, in a way when one part of the system faces instability, it can make investors and businesses rethink their strategies. In order to make your own investments a bit more secure, check out this helpful guide for GCash users https://www.sharewise.com/us/news_articles/GFunds_Investment_Guide_for_GCash_Users_Easyearn_20241129_0901 on diversifying your financial approach. Just like in business, managing risk is key to ensuring steady growth. Whether you’re navigating global supply chains or personal finance, making informed choices can help you weather unpredictable shifts in the market.