Why American Companies Choose China Over Everyone Else

Five percent won’t be the deciding factor in deciding whether to set up a factory in China. But these issues sure will ...China is a communist country, so one would expect their workers would have collective bargaining and other rights. While labor rights are stricter now in China than they were even five years ago and wages are rising, China wages are still cheaper than Brazil’s and Mexico’s.

Moreover, even though India has a similar workforce situation in terms of rights and size, the government long ago decided to focus on being a software developer and IT service exporter. India also changes governments every few years and only recently unified its cross-state tax code. China has none of these problems. Continuity makes life easier for businesses. It’s one less headache.There are hidden costs involved in doing business in any country. Taxes can be written off. But countries like Brazil have hidden taxes hard to avoid. A simple corporate cellphone account is taxed nearly as much as the corporate tax rate.

Mexico’s ports are governed by cartels, as Mexico’s president Andres Manuel Lopez Obrador recently said about corruption at two of the country’s ports and customs stations. . India, Mexico and Brazil are way more dangerous. If quality of life for expat workers comes into play, then building a factory in those countries is less safe than building one in China.

Brazil is a good example of this. Companies from Goldman Sachs to Shell Oil were big investors in Brazilian sugar cane ethanol when the government mandated a 10% mix in gasoline. It was an opportunity unique to Brazil, so companies wanted to be a part of that.

Asians

Maybe they like Chinese girls.

India is alternative now

Cheap labor

Because its cheap.

Greed and Fascism OurFascistAmerica

Because the bosses of these companies have really come to China, not to understand China from Twitter.

Why so many US companies are telling DT where he can stick his “orders”.

Because of their foolishness

Child slavery pay that is cheap ! Which they import and sell on at x20 cost. Next

This needs to stop how can the free world support tyranny

May be it worth

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Why American Companies Shouldn't Quit China'The bulk of American companies -- and indeed if you look at our membership, 97% -- are profitable in China, and they are going to stay in China.' China has slaves, sweatshops, and zero democracy. If you want to trade with slavery states, you’re a monster and must be opposed. They are funding the communist government - the same government that vilifies anyone that stands for human rights, freedom and anything antitheethetical to their communist dictatorship - they are in short funding the dictatorship and the blood on its hands Did the Chinazis put a gun to your head to write this article
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