It’s the obvious solution for avoiding the squeeze of a mounting U.S.-China trade dispute: move production to other East Asian nations. For many companies, however, this is not a viable option.
Over the past two decades, China’s Huawei Technologies has come to dominate the global telecom equipment market, winning contracts with a mix of sophisticated technology and attractive prices. Now, with Huawei at the center of a U.S.-China trade war, the tide is turning.
As the trade war between the U.S. and China heats up, it’s becoming clear that the dispute won’t end in a quick resolution. Nevertheless, importers must take action now, to protect themselves from the disruption that’s sure to result.
Giant Manufacturing Co. saw the writing on the wall early on. The world’s biggest bicycle maker started moving production of U.S.-bound orders out of its China facilities as soon as it heard Trump threaten tariff action in September.
Both foreign and domestic companies are pivoting production away from China amid Trump’s efforts to reset the parameters for global trade and manufacturing.
