According to Bloomberg news agency, many of the world's leading technology industrial corporations produce Taiwanese electronic devices such as Compal, Inventc, etc. is ready to withdraw from Chinese territory, move to Eastern Europe, Mexico and Southeast Asia.
Recently, Asahi Kasei Chemical Company decided to transfer a production line of a type of plastic material from China to a factory in Japan after this type of plastic was included in the list of products subject to a 25% tax.
Before the US tax regulation took effect, companies such as SK Hynix of Korea, Mitsubishi, Komatsu of Japan had planned to relocate production.
Komatsu, a manufacturer of construction and mining equipment, said that the production line of some components used for the company's hydraulic excavators in China will also be transferred to production facilities in the US, Japan and Mexico.
Mitsubishi Electric, an electronics and electrical equipment manufacturer, said that its laser and electrical equipment processing machine, manufactured in Liuzhang Province, has also decided to move the production of these machines to Nagoya City, Japan. Mitsubishi Electric's factory in Dai Lien continues to produce products for the Chinese market.
CNN also said that American consumers may have a hard time deciding whether to continue using Chinese products with significant price increases, or gradually "learning to say no to "Made in China" and find other imported alternatives.
Chinese businesses are also affected, if Beijing does not sit down to negotiate with Washington, they will have to choose to give up the US market and seek other partners from Canada and Europe, not to mention that large companies have to flee the country to avoid taxes.
It is too early to predict that the growing US tariff packages targeting Chinese goods could spark a wave of flight away from China by Japanese companies and other foreign companies. However, according to analysts, if the US and China get involved in a prolonged trade war, the risk of this flight will increase.
