‘China rules’ still challenge businesses

Scott Tong Apr 2, 2010
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‘China rules’ still challenge businesses

Scott Tong Apr 2, 2010
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Bob Moon: American companies trying to do business in China are facing lots of challenges — the language and culture divide, the rip off of technology and media. But a report out today says the biggest problem is something that Google could tell you about: the so-called “China rules” of growing government regulation and protectionism. From Shanghai, Marketplace’s Scott Tong reports.


Scott Tong: American companies face a “mounting number” of policy challenges in China. So says a American Chamber of Commerce in Beijing.

The big beef? Amcham President Christian Murck says Beijing is ramping up industrial policy:

Christian Murck: To stimulate and support some new industries and some national champion companies. And those kinds of industrial policies are often we feel discriminatory against foreign companies.

Murck says one problem is Chinese governments can only procure products whose technology was developed at home, not overseas.

The survey is the latest indication China’s becoming a tougher place to do business. But there’s no sign of corporate exodus beyond the partial pullout of Google; 75 percent of Amcham companies responding see China as a top-three priority for global investment.

In Shanghai, I’m Scott Tong for Marketplace.

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