The process of closing China operations can threaten a company’s ability to properly serve its customers. If the plan is not carefully thought-through and not properly implemented, a plant closure can stress a company’s operational stability, strain supplier relationships, and risk one’s brand reputation around the world.
Companies are relocating their China-based operations to reduce labor costs, lessen tariff exposure, protect their IP, and move closer to customers. If you’re looking at doing so as well, you’ll need to be prepared for some new challenges.
US companies are establishing or relocating to Thailand for a number of reasons, not the least is diversification from China.
For decades, manufacturing in China for the China market was a happy time. US multinational companies (MNC) took their tried-and-true designs there to address a huge untapped China demand.
With Covid travel restrictions just now lifting for western executives to travel to China, companies are reminded that success in China is heavily dependent on having the right personnel and ensuring the China operation has the right ethical corporate culture.
Manufacturing for export and sourcing in China is becoming more difficult due to increasing labor costs, high production expenses, volatile tariffs, political tensions, as well as challenging and changing rules & regulations.
This webinar featured seasoned speakers with real-life experience in China plant closures, improvements, consolidations, relocations and sourcing within China and in other countries.
Find out why C-level executives are now migrating from China to Mexico to improve the reliability of their supply chains.
The China Challenge: Analyzing Southeast Asia, Eastern Europe and Mexico as Manufacturing and Supply Chain Alternatives.
Companies are increasingly diversifying their Operations and Supply Chain from China to improve future operational stability.