Survey shows 73% found doing business more difficult in 2024, despite supply chain onshoring trend

European business confidence in China has plummeted to record lows across multiple key metrics, according to a survey released , even as companies increasingly move their supply chains into the country.

The European Business in China Business Confidence Survey 2025, conducted by the European Union Chamber of Commerce in China with Roland Berger, found that 73 percent of respondents reported doing business in China became more difficult year-on-year in 2024 - a record high that marks a five-percentage point increase from the previous year.

The findings highlight the complex dynamics facing multinational corporations operating in the world's second-largest economy, where regulatory hurdles and geopolitical tensions are weighing on sentiment despite the competitive advantages of Chinese manufacturing.

A record 63 percent of respondents said they missed business opportunities in 2024 due to market access and regulatory barriers, representing a five percentage point increase from the previous year. Looking ahead, 44 percent expect to encounter more regulatory obstacles over the next five years.

The survey revealed that 71 percent of companies expect their China operations to be negatively affected by the country’s economic slowdown over the next two years, whilst 60 percent remain pessimistic about competitive pressures in their sectors.

Political considerations have also become more prominent, with 52 per cent  reporting that China's business environment became more politicised in 2024. The chamber noted this figure was likely to have increased since the survey was conducted before the US-China tariff increases were implemented in April 2025.

Despite the challenging environment, the survey uncovered a notable trend towards supply chain localisation within China. Some 26 percent of respondents reported they are partly or fully onshoring their supply chains into the country - a five percentage point increase year-on-year. By contrast, only 13 percent are offshoring or establishing alternative supply chains elsewhere.

Companies cited the need to strengthen supply chain resilience and leverage competitive Chinese manufacturing capabilities as the primary drivers behind this onshoring trend.

The confidence crisis has translated into record-low optimism about profitability and growth prospects. Only 12 percent of respondents expressed optimism about near- and medium-term profitability, whilst just 29 percent were positive about growth outlook.

A historic low of 38 percent reported plans to expand their China operations, compared with 36% who have no expansion plans. Meanwhile, 52 percent indicated cost-cutting measures are planned, matching last year's record high.

"Uncertainty resulting from escalating trade and geopolitical tensions, concerns about China's domestic economy and persistent producer price deflation weigh on the minds of both European and Chinese companies," said Jens Eskelund, president of the European Union Chamber of Commerce in China.

"Our key message to policymakers is: the disparity between supply growth and demand is eroding both profits and business confidence. Achieving a better balance, will not only benefit companies and make China a more attractive investment destination but may also lead to a reduction in trade tensions."

Denis Depoux, global managing director of Roland Berger, said the findings reflected broader shifts in the global economy rather than simple decline.

"A new, more fragmented globalisation is taking shape, while China's economy is stabilising with slower growth and greater competition – signalling transformation rather than decline," Depoux said.

"This evolving landscape presents fresh challenges for multinational companies, requiring highly localised China and Asia operations, fully integrated from R&D to customer service. MNCs must leverage regional supply chain hubs, partnerships with Chinese firms and local ecosystems, and innovative business models to successfully adapt and compete in this dynamic environment."

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The Association of Natural Rubber Producing Countries (ANRPC) recently hosted a high-level delegation from the Rubber Development Division of the Ministry of Plantation and Commodities Malaysia at the ANRPC Secretariat. Led by Peter Dennis of Malaysia’s Rubber Development Division, the group met with ANRPC Secretary-General Dr Suttipong Angthong and his team.

The discussions centred on essential industry issues, particularly the vital importance of achieving stable rubber prices for the benefit of producers and the broader market. Conversations further delved into analysing recent market trends and their consequences for global production and trade dynamics.

This engagement highlighted the ongoing necessity for cooperative action to address sectoral challenges, advance sustainability and ensure resilient growth in the face of variable economic conditions.

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Bridgestone Americas has unveiled its latest flagship winter tyre, the Blizzak IcePeak, which will launch nationwide in May 2026. This new tyre is distinguished as the first from Bridgestone to achieve both the rigorous 3-Peak Mountain Snowflake and Ice Grip certifications, marking a significant advancement in winter performance. Designed to cater to a broad range of vehicles – including sedans, minivans, CUVs, SUVs and trucks – the IcePeak will replace the Blizzak WS90 and DM-V2 models. It will be available in 107 sizes, ultimately covering approximately 97 percent of the US light-duty vehicle market, with the majority of sizes ready at launch.

The tyre’s development centres on delivering superior winter traction alongside improved durability and efficiency, leveraging the company’s ENLITEN technology. This integration aims to lower rolling resistance for better fuel economy and extend tyre wear life, offering long-term cost savings for drivers. Internal testing indicates the IcePeak surpasses the wear life of its predecessors while maintaining effective traction. Its compatibility extends to conventional, hybrid and electric vehicles, emphasising its modern engineering.

Key to its performance is a suite of specialised technologies. Bridgestone’s patented MultiCell compound is engineered to enhance stopping power on ice, a claim validated by the official Ice Grip certification. This certification requires performance on ice to exceed a standard reference tyre by at least 18 percent in braking tests. For snow traction, the tyre employs optimised tread blocks and full-depth 3D sipes to create additional biting edges, helping vehicles gain grip and reduce spin.

Building upon the Blizzak lineage, which spans nearly four decades of innovation, the IcePeak introduces refined design elements. Its optimised compound is formulated for added durability across multiple winter seasons without sacrificing grip. A newly unified global tread pattern incorporates several critical features: strategically placed sipes are angled to maximise the gripping edge, protrusions on tread blocks prevent water intrusion on ice and micro-grooves help clear the thin water film that forms on icy surfaces. Together, these features aim to provide drivers with reliable control in wet, snowy and icy conditions, advancing the brand’s reputation for winter safety and performance.

Ian McKenney, Senior Product Manager, Bridgestone Americas, said, “Our Blizzak tyre lineup moves from strength to strength, continually raising the standard for impressive winter weather control. With the application of ENLITEN technology, we are able to expand the tyres’ performance envelope in all directions while also delivering greater durability and reduced rolling resistance, while promoting a focus on enhanced sustainability.”

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Citira, a circular tyre management provider, is introducing a nationwide emergency tyre service in Sweden for commercial fleets, a strategic move to become a comprehensive tyre management partner. Named Citira 24/7 Däckjour, it provides a dedicated contact point for heavy vehicle operators needing immediate assistance, day or night.

This service connects customers to an established, quality-assured network of professional tyre workshops across the country. By utilising pre-assembled replacement wheels ready for immediate deployment, the system ensures rapid on-site repairs to maximise vehicle uptime and minimise operational disruptions.

Clients also benefit from predictable, agreed-upon pricing and consolidated billing, which simplifies administration and enhances budget control. This integrated offering is designed to streamline daily operations, reduce downtime and deliver a more seamless support experience for truck and bus companies.

Göran Bengtsson, Head of Sales at Citira Sweden, said, “This is an important milestone for us to be to able offer our Swedish heavy vehicle fleet customers. This has been frequently requested to us, and we are happy to be able meet the demand, providing a new level of reliability and convenience for our customers.”

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Michelin has unveiled the X-Ice Snow+ tyre, a premier winter product designed to meet the heightened demands of modern, unpredictable winter weather. This new offering provides increased performance and durability over its predecessor, specifically engineered to tackle severe seasonal challenges. Its advanced FLEX-ICE 3.0 tread compound optimises braking performance across a spectrum of conditions, including ice, snow and both wet and dry roads, ensuring reliable control during freezing rain or on treacherous black ice.

The tyre's proven tread design delivers superior start-up traction in deep snow compared to three leading competitors and offers strong lateral grip for stability on slick, icy corners. Beyond immediate safety, the X-Ice Snow+ is built for long-term value and efficiency. It achieves an extended tread life, lasting more than 26 percent longer than key rival tyres. Furthermore, through a specialised low-energy-loss compound that minimises rolling resistance, it delivers up to 34 percent better efficiency, which supports fuel savings and extends electric vehicle range without sacrificing winter traction. Passenger comfort is enhanced by proprietary Piano Acoustic Tuning Technology, a system engineered to reduce road noise for a quieter ride.

Available for dealer order starting in May 2026 for the winter selling season, the Michelin X-Ice Snow+ tyre will be produced in 15- to 23-inch sizes to accommodate a broad range of vehicles, including sedans, CUVs, SUVs, pickups and both hybrid and electric models.

Omer Waysman, Vice President – B2C Marketing, Michelin North America, Inc, said, “For more than 130 years, Michelin has continued to push the boundaries of innovation by improving our technologies to meet the needs of mobility across the globe. With the new Michelin X-Ice Snow+ tyre, we have taken everything drivers loved about the previous generation tyre and improved key areas. This new tyre delivers excellent winter performance, longer-lasting durability and greater efficiency, giving drivers a dependable advantage when the weather is at its worst.”

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