US exporters snub de-risking to give China another shot – but they’re finding a new obstacle
- The trade war, Washington’s curbs on technology transfers, coronavirus lockdowns and calls for decoupling supply chains have all disrupted US-China relations
- Some US firms cannot resist China’s huge market, but others are faced with competition from Chinese companies
“It could not have been a warmer reception than what we received,” said American businessman Jeff Bowman after spending a week in China last month.
Bowman is the CEO of the US materials science company Cocona, with his unique sweat-drying Masterbatch additive for yarn garnering significant interest in the China-based fabric sector.
“The reception couldn’t have been more cordial – super excited to see us, wanting to do business with us,” said Bowman, speaking from his home in the US state of Oregon.
He has set up a wholly foreign-owned enterprise in China, with one client even agreeing a deal during the recent visit.
Around half of Cocona’s Masterbatch is shipped to Chinese yarn spinners, with roughly 20 per cent of its US$10 million to US$20 million annual company revenues plus mill business coming from China - a share that is only expected to grow.
The typical sentiment is we wish the governments would get out of the way and let businesses do their thing
Bowman’s story is a bellwether for American industry – a pile-up of obstacles notwithstanding.
