These days, the American government is trying to force American technology companies to leave China. But the news indicates The reluctance of American companies to leave China despite the pressure of the Biden administration Is.

In recent years, indirect conflicts between China and America have reached their highest level and a big economic trade war is going on between the parties. The US government usually prohibits Chinese companies, especially companies active in the technology field, from operating in the US and with American parties due to what it considers a “threat to national security”. At the same time, American companies are in contact with Chinese parties and are engaged in activities freely in China.

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Read more: Intensification of chip export restrictions against China; Will America destroy Chinese industry?

Reluctance of American companies to leave China

One of the best examples in this field is Tesla, which has a special focus on its activities in the Chinese market and even decides to increase the volume of its production in China. The head of Tesla said that this company is to achieve its goal Annual production of 20 million cars by 2030It should be possible to produce in any continent. He said: “Tesla has decided to build factories all over the world because in the situation where the whole world is moving towards electric vehicles and lithium-ion batteries, Tesla must be able to access all major markets.”

The reluctance of American companies to leave China despite the pressure of the Biden administration

After the factories Shanghai and California, Tesla recently opened factories in Berlin, Germany and Texas, USA. After upgrading the production line and getting rid of the impact of the corona epidemic on the production process, Tesla has resumed its full production process in China. The company delivered 76,965 Chinese versions of its vehicles in August, down slightly from June’s record 78,906.

According to Tesla’s goals by 2030, the company should 20 million electric cars annually to produce This figure is much higher than Tesla’s current production of less than 1 million in 2021. Recently, by upgrading the production line in the Shanghai factory, Tesla has doubled the annual production capacity of its factory to about 1 million cars.

with this condition, American companies because Parts supply chain They cannot leave China anyway. As a result, Tesla’s factories being far from China or their departure actually means a significant reduction in the company’s production. In addition to all this, the basic issue for all foreign companies operating in China is the cheap labor force in this country, which simply cannot be ignored.

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Source: gizchina

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