China Market Intelligence

March 7th, 2018
By Owen Haacke

Eighty-nine percent of US-China Business Council (USCBC) member companies view rising costs as a top concern in the China market, according to USCBC’s 2017 Member Survey. Costs have been a top concern for China operations for more than a decade.

Labor is the top cost for companies

The leading cost concern for American companies in China is human resources. Wages continue to increase significantly year to year:

Seventy-three percent of...

August 16th, 2017
By Jake Laband and Juliana Batista

As China urbanizes, and workers move from factories to offices, the construction and operation of buildings will account for a growing share of Chinese cities’ energy consumption and carbon emissions. While the buildings in most cities in China accounted for 20 to 25 percent of municipal energy consumption in 2013, buildings in Beijing, a major business and administrative center, accounted for more than 50 percent of the city’s municipal energy consumption in 2010, a number that...

March 22nd, 2017
By David Solomon, Josie Cai, and Owen Haacke

Facing ongoing pollution challenges and a push to diversify energy sources, China’s energy planners kicked off 2017 by announcing an array of 13th Five-Year Plans (13FYPs). Offering quantifiable short-term goals for limiting reliance on coal in favor of oil and gas, these plans collectively focus on emissions cuts, renewable energy development, and improved energy industry efficiency, while encouraging...

January 11th, 2017
By David Solomon

China’s energy planners seek to increase production, distribution, and consumption of renewable energy as a means to diversify energy supply. However, as China attempts to transition from coal to other energy sources, it struggles to utilize existing renewable capacity. This inefficiency, caused by overcapacity and grid limitations, has hindered the country’s ability to achieve renewable sector development...

October 14th, 2015
Owen Haacke and Zoe Sophos

Following President Xi Jinping’s visit to the United States last month, the US and China announced a list of energy and environmental-related commitments aimed on cutting down on high-polluting, energy-intensive power and supporting the development of environmental technologies—presenting potential opportunities for companies in these sectors.

The official commitments reinforce the central government’s goal of promoting energy efficiency and environmental...

May 27th, 2015
Owen Haacke

President Xi Jinping called for an “energy revolution” in June 2014 aimed at improving energy efficiency through the establishment of a “market-oriented energy pricing mechanism.” One year later, the central government has made notable improvements toward liberalizing energy and electricity prices—which many USCBC member companies see as an important factor in allowing the market to play a greater role in China’s economy and creating a more competitive business environment.

A number...