Six years ago, if you bought an Apple iPhone or a pair of Nike sneakers, they probably came from China's Guangdong province. But as the days of cheap land and labor recede, the province’s businesses are in a race to upgrade or move.
“There’s growing pressure along with the rising labor costs and overall production costs,” said Li Dongsheng, chairman and chief executive officer of TCL Corp., one of the world’s largest makers of mobile phones and televisions, which has already moved some production to central Chinese cities like Wuhan.
More than half of the members of the American Chamber of Commerce in China said the increase in costs was the biggest challenge to their businesses in the country, according to a 2016 Business Climate Survey. About a quarter of respondents said they have either already moved capacity out of China or are planning to do so.
Read the full story at bloomberg.com.