Although the US government is tightening regulations on Chinese investment, it has been found that there are not a few US companies betting on the Chinese market.
The Wall Street Journal (WSJ) reported on the 26th that despite the recent change in the investment environment due to the US-China conflict, an increase in US food and clothing companies are expecting the Chinese market to normalize after the pandemic.
Starbucks has recently announced its plans to open 3,000 of its stores in China by 2025.
As of December, last year, Starbucks sales in China plunged 42% compared to the same period last year, but the company cannot give up the possibility of the Chinese market in the long run.
Starbucks CEO Howard Schultz also announced plans to visit China for the first time this spring.
“Starbucks’ growth in China is still in its infancy,” Schultz said.
Hamburger maker McDonald’s also announced plans to open 900 new stores in China this year.
Spam maker Hormel also decided to significantly expand its operations in China, including building a new plant outside Shanghai.
Tapestry, the parent company of fashion brand Coach, and apparel maker Ralph Lauren are also adding new stores in China.
Such an investment atmosphere by US companies seems to be due to the growth potential of the Chinese economy.
Recently, Goldman Sachs raised China’s economic growth rate this year from 5.2% to 5.5% after scrapping the ‘zero corona’ policy.
The Chinese government’s recent forward-looking stance towards US companies also seems to have had an impact on the expansion of investment.
On the 22nd, China’s Ministry of Foreign Affairs released a photo of a meeting between an executive from US aircraft manufacturer Boeing and a senior foreign ministry official on its WeChat official account.
The Chinese Ministry of Foreign Affairs even left an article saying, “We will spare no support for American companies, including Boeing.”
China also allowed the release of a superhero movie by Marvel, a film production company affiliated with Disney, for the first time in 3 years and 7 months since 2019.
However, the WSJ said that the expansion of investment in China is centered on companies in the consumer goods sector, and technology and manufacturers are maintaining a cautious attitude toward China.