U.S. companies are optimistic about China’s economic rebound, from fast food to luxury goods, are planning to expand their business in China | blog post

Economists predict that China’s economic growth will pick up.

The article said that although some obstacles have only increased since the outbreak, the interest of US companies to invest in China still exists. U.S.-China relations are at a low ebb, and U.S. companies are also facing stricter scrutiny in the U.S. for doing business in China. On February 16, China added two U.S. companies to its “unreliable entity list.” The next day, China’s Ministry of Commerce, which imposed the sanctions, said that foreign-invested companies had nothing to worry about. On February 22, the official Weibo of the Department of the United States and Oceania of the Ministry of Foreign Affairs of China posted a photo showing officials of the Ministry meeting with the president of Boeing China, and expressed willingness to provide necessary assistance and support for American companies including Boeing to carry out exchanges and cooperation with China. support.

In another sign of hope for U.S. companies: Walt Disney Co. has said Chinese censors have approved two of its Marvel movies for release in China. McDonald’s said at the end of January this year that it opened 700 new stores in China last year and plans to add another 900 this year – equivalent to more than double the number of new stores opened in the United States. Ralph Lauren’s chief executive told investors that China opened most of the company’s new stores in the fiscal quarter that ended in October. For Tapestry, about half of the $325 million set aside for capital spending and cloud computing will flow into new stores in China. “We are confident in the long-term opportunities in China as an engine of growth,” the group’s chief said this month.

In China, spending on luxury goods has also shown early signs of recovery. Some fashion brands say sales to Chinese customers have begun to pick up. Hormel Foods (Hormel Foods) said it plans to expand its Chinese business on a large scale in 2024. Tyson Foods told investors that half of the six new plants it plans to open this year are in China.