Reshoring Jobs To The US Versus Made In China

Reshoring Jobs To The US Versus Made In China

Competition between the US and China has resulted in many US companies to look to reshore jobs back ... [+] to the US.





getty





China is losing US companies.



Over the past decade, American companies like Apple



AAPL

, Dell



DELL

, and Carter's, have gradually started to move their factories outside of China, including in some cases bringing facilities back to the US.



A report by A.T. Kearney, shows imports from low-cost Asian countries fell from 816 billion USD in 2018 to 757 billion USD in 2019, which is almost exclusively driven by a collapse in imports from China. In addition, around 14 billion USD of US imports were shifted from China to Vietnam from 2018 to 2019. China is facing challenges, but will still be the "World Factory.“



"China Plus One“ Strategy



Increasing costs have pushed major firms away from producing in China, but at the same time its massive consumer market remains a compelling attraction for foreign businesses. For the last 20 years, wages for Chinese workers in urban areas have increased eight-fold. China's cheap labor and land no longer exist, especially in coastal or tier