Rethinking U.S. Reliance on Chinese Manufacturing

“The COVID-19 pandemic has America rethinking its reliance on China for not only key medical supplies, but production capacity in general after Beijing clamped down on exports of critical items used to combat the disease,” according to a recent report by FOX Business.

The network interviewed Charles Freeman, senior vice president for Asia at the U.S. Chamber, who said that while a number of companies have already moved, or made efforts to move, there are others that have “huge sunk costs in the market” and are unable to relocate in “any reasonable time.”

To get companies to return, Freeman says, U.S. policymakers should “incentivize domestic production instead of penalizing output in markets like China.” 4/20/2020