U.S. Firms Brave China Growth View Unfazed As Margins Narrow,
Competition Heats Up
SHANGHAI, China -- U.S. companies plan continued expansion in China despite narrowing profit margins, according to a survey by the American Chamber of Commerce in Shanghai.
A report accompanying the survey, issued yesterday, underscored the bullish sentiment toward China that has fueled foreign direct investment of nearly half a trillion dollars into the country over the past decade. But it also noted U.S. firms face challenges in China.
"While the survey shows American companies continue to be bullish on China, they are facing increased competition on a number of fronts," the report said. It noted that profit margins are being squeezed by increasing competition from Chinese companies and price pressure from their own customers, as well as by rising human-resources-related charges. Only one-fourth of the respondents said their profit margins in China were higher than those of their operations globally.
Still, about 72% of the 274 U.S. companies participating in the chamber's 2006 China Business Report survey said they were profitable in 2005 in China. About half the respondents forecast their revenue growth would top 10% in 2006.
Just over half said they planned to boost China investments by at least 10% this year. About a quarter of the respondents said they planned an acquisition in China this year, while about half said they would invest in research and development in the country. The chamber said it was notable that foreign companies are looking beyond established cities such as Beijing and Shanghai toward less well-known Chinese cities.
Among the surveyed companies, top concerns were access to qualified employees and retention of workers, which a third of respondents said was their major worry. Various issues related to government bureaucracy were also big concerns. Protection of intellectual-property rights was cited by 13% as the major concern for their business in China. Growing price competition was also an issue for some companies, according to the survey.
Similar trends on profits and expansion plans have been found in surveys by the European Union Chamber of Commerce in China.
Foreign direct investment has been a major driver of China's economy in recent years, bringing in $72 billion in 2005 alone. Although FDI fell 1.5% during the first nine months of 2006 from a year earlier, it remained robust at $42.59 billion, according to China's Ministry of Commerce. In September, FDI rose 2.7% from a year earlier to $5.4 billion.
美国企业有意扩大在华业务
上海美国商会(American Chamber of Commerce in Shanghai)的一项调查显示，尽管利润率出现了下降，但美国公司计划继续扩大在中国的业务。
周三与调查结果同时发表的一份报告彰显出海外企业对中国的乐观态度，这种热情也推动过去10年来流向中国的海外直接投资达到了近5,000亿美元。但报告也指出，美国企业在中国同样面临着挑战。
相关报导
? 美国商会对中国产业政策提出批评
报告称，尽管调查显示美国公司看好中国，但它们在众多领域都面临着越来越严峻的竞争。报告指出，来自中国公司的竞争加剧、客户的压价要求以及人力资源相关支出的增加导致企业的利润率正在下降。只有四分之一的受访者表示，它们在中国的利润率高于全球业务的利润率。
不过，在参加上海美国商会2006年驻华企业报告调查的274家美国公司中，约有72%的公司表示，2005年它们在中国实现了盈利。约有一半的受访者预计，它们2006年的收入增幅将达到10%以上。
略高于一半的受访者表示，它们今年计划至少把在华投资增加10%。约有四分之一的受访者称，它们今年计划在中国进行收购，约有一半的受访者表示，将在中国投资开展研发业务。上海美国商会称，值得注意的是，海外企业正将目光投向北京和上海等国际都市之外的知名度较低的中国城市。
受访企业最关注的问题是获得高素质员工和留住人才，三分之一的受访者表示这是它们最担心的问题。同政府机构有关的各种问题也非常受关注。有13%的受访者担心在中国业务的知识产权保护问题。调查显示，价格竞争加剧也是一些公司担心的问题。
中国欧盟商会(European Union Chamber of Commerce in China)进行的调查显示，受访者的利润和业务扩张趋势也与此类似。
近年来，海外直接投资一直是中国经济的主要推动力，仅2005年就达到了720亿美元。根据中国商务部(Ministry of Commerce)公布的数据，尽管今年前9个月的海外直接投资比上年同期下降了1.5%，但仍高达425.9亿美元。9月份的海外直接投资比上年同期增长了2.7%，为54亿美元。
James T. Areddy
