The high cost of sourcing outside China

More than 40 percent of US businesses manufacturing in China are either considering relocating facilities, or have already done so, according to a recent survey conducted by the American Chambers of Commerce for Shanghai and China. Photo credit: Shutterstock.com.

More than 40 percent of US businesses manufacturing in China are either considering relocating facilities, or have already done so, according to a recent survey conducted by the American Chambers of Commerce for Shanghai and China. Photo credit: Shutterstock.com.

The recent escalation in the trade war between the US and China has put American multinational companies into the difficult predicament of determining whether to pull up stakes in China in search of more cost-effective sourcing and/or production markets or maintain the status quo.