China’s ongoing transformation and upgrade of traditional industries, combined with the expansion of emerging sectors, is creating significant growth opportunities for US manufacturers, according to executives from major US corporations. Despite geopolitical tensions and slowing global demand, these developments are seen as opening new avenues for American businesses to innovate and expand within China’s market.
Ed Zhao, Senior Vice President and Managing Director for Asia at Milliken & Co, a US-based specialty chemicals and performance materials company, emphasized that China’s rising demand for high-end textile materials and chemicals would drive the company’s double-digit growth through 2025. Milliken, which recently completed the expansion of its Shanghai Technology and R&D center, is leveraging its years of experience and advanced technologies to tailor products for the Chinese market.
“The expansion of our Shanghai facility will allow us to integrate US-based innovations with local applications, which will provide a unique range of products designed specifically for the Chinese market,” Zhao said, noting that stable and harmonious US-China business relations are essential for long-term success.
In addition to its operations in Shanghai and Zhangjiagang, Milliken also exports from China to markets like South Korea, Singapore, Vietnam, and India. Zhao pointed out that foreign-invested businesses in China continue to see growth, with exports totaling 5.77 trillion yuan ($796.91 billion) between January and October 2024, marking a 1.9% year-on-year increase.
GE Vernova Inc, another US-based company, is also optimistic about China’s future. The energy equipment manufacturer praised China’s progress in energy transition, particularly in renewable energy. Ramesh Singaram, President and CEO of GE Vernova Gas Power Asia, noted that China’s large renewable energy base and manufacturing capacity make it a global leader in green hydrogen production.
GE Vernova recently signed a cooperation agreement with Harbin Electric Corp to provide two heavy-duty gas turbines for CHN Energy Investment Group’s Anji power plant in Zhejiang province, which is expected to begin operations in 2026. The project will help stabilize the region’s power grid as renewable energy expansion continues.
Chinese market openness and innovation in business models are also encouraging US companies to expand their footprint. Peng Bo, a researcher at the Chinese Academy of International Trade and Economic Cooperation, stated that China’s continued advances in market access and product innovation make it a strategic priority for global businesses seeking sustainable growth.
Federal Express Corp (FedEx) is another example of a US company boosting its presence in China. The company recently announced an increase in the frequency of its international cargo flights between Qingdao, Shandong province, and the US, as well as the opening of a new international gateway facility in the city. These enhancements will enable FedEx to provide more efficient logistics solutions and help local businesses tap into global trade opportunities.
As China strengthens its position as a key export hub and leader in industrial transformation, US manufacturers see tremendous potential for growth, innovation, and market engagement, further solidifying the economic ties between the two countries.