Why global companies are ditching China

A new survey by the European Union Chamber of Commerce in China has found that business confidence in the country is at its lowest level on record

- 

Of the 570 companies polled as part of the survey, two-thirds of respondents said that doing business in China has become more challenging in recent years. "Faced with growing risks and a more volatile operating environment, European companies have started reviewing their investment and operational strategies, and ensuring their supply chains are fit for more uncertain conditions," said the survey. At least 11 per cent of the survey's respondents have shifted existing investments out of China and 8 per cent have decided to move future investments previously planned for China elsewhere. Moreover, one in 10 have already shifted, or plan to shift their Asia headquarters out of Mainland China. Confidence crisis. There are a number of reasons for this decline in confidence. One is the Chinese government's increasing focus on national security. This has led to