Will Korea accelerate efforts to relocate supply chain bases from China?
Hyundai Motor sold one of its factories in Beijing last year, at a time moves have accelerated to relocate production bases from China. Korea Times fileGreater production costs, US-China rivalry and China's zero-COVID approach weighing on Korean businessesBy Kim Bo-eunHONG KONG ― With its cheap and abundant manpower, China has long relished its role as the so-called world's factory, offering lower production costs to lure global brands and retain domestic manufacturers for decades.But a gradual rise in expenses, such as labor costs, has been weakening China's role as a go-to source of production for companies over the past five years, according to a new report by the Korea International Trade Association.Multinational firms are being increasingly pressured to move production away from mainland China to destinations such as Taiwan, Malaysia and Indonesia, the association said.That includes some of South Korea's largest businesses, including Samsung, LG and Hyundai Motor, which have relocated factories from mainland China to Southeast Asian countries such as Vietnam and Indonesia in re
