European Business Confidence In China Hits Record Lows Amid Regulatory Barriers
- By Sharad Matade
- May 28, 2025

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."
- German Rubber Industry Association
- wdk
- German Rubber Industry
- EU Deforestation Regulation
- EUDR
- European Commission
wdk Proposes ‘First-Touch Principle’ To Streamline EUDR
- By TT News
- September 27, 2025

The German rubber industry is calling for the European Commission's planned postponement of the EU Deforestation Regulation (EUDR) to be used to make the rules more practical. This perspective comes from the German Rubber Industry Association (wdk), which believes the delay presents a critical opportunity to streamline the regulation for all parties involved.
The association's President, Michael Klein, has specifically proposed that the German federal government advocate for the introduction of a ‘first-touch principle’. This concept would require only the initial company placing an EUDR-regulated product on the European market to submit a due diligence declaration. Klein argues that the current requirement for each subsequent actor in the value chain to repeat the declaration for the same material generates high bureaucratic costs and inefficiencies.
According to Klein, limiting the obligation to a single declaration at the start of the value chain would be an elegant solution. He states that it would not only drastically reduce the administrative burden on businesses but also significantly lower the control burden and IT infrastructure requirements for EU authorities. The wdk president positions this as a win-win scenario and a tangible test of the commitment by both the German government and the EU to meaningfully reduce bureaucracy.
ZC Rubber Charts European Fleet Growth At 2025 Westlake TBR Dealer Conference
- By TT News
- September 26, 2025

ZC Rubber reinforced its European growth ambitions by convening key partners at the 2025 Westlake TBR Dealer Conference in Madrid. The event assembled strategic wholesalers, service providers and major fleet operators like DSV to outline a collaborative future focused on the fleet segment as a primary growth engine.
Marking a decade since the Westlake brand's European introduction in 2014, the conference highlighted a trajectory of steady expansion. This progress is evidenced by the delivery of over 300,000 Westlake truck and bus radial tyres to the region in 2024, securing an estimated 2.5 percent market share. In response to increasing market competition, ZC Rubber unveiled a comprehensive fleet service strategy aimed at delivering enhanced value. This plan prioritises deep technical collaboration, including on-site support and joint testing initiatives, alongside promotional programmes designed to help partners fortify client relationships. A critical objective is the establishment of a continent-wide service network to guarantee consistent support.
The agenda featured perspectives from Ákos Barcsik, Deputy General Manager of ZC Rubber Europe, on product innovation, while contributions from Interpneu, a German service provider, and logistics leader DSV offered practical insights into fleet needs and customer service. These discussions provided concrete directions for future cooperation. Under the unifying theme ‘Stronger As One, Together To Win’, the conference successfully fostered a spirit of partnership, reaffirming a shared commitment to expanding the Westlake brand’s presence across Europe’s dynamic commercial tyre market.
Leo Liao, Sales Director, ZC Rubber Europe, said, “Over the past decade, Westlake has established a strong foundation in Europe. Now, our mission is to work hand in hand with our partners and fleets, delivering technical expertise, stronger service capabilities and real business value. By focusing on fleet solutions, we are confident Westlake can achieve sustainable growth and become an even stronger player in the European market.”
Barcsik said, “In Europe, our priority is to provide fleets with the right tyre products backed by technical expertise. With reliable products, on-site engineering support and tyre testing programmes, we help partners deliver measurable performance and cost efficiency to their customers.”
CEAT Expands Retail Network in Karnataka With Five New Outlets In Bengaluru
- By TT News
- September 26, 2025

CEAT Limited has significantly expanded its retail footprint with the inauguration of five new exclusive CEAT Shoppes in key urban and upcountry locations across Karnataka. The new outlets are strategically situated in high-traffic areas of Bengaluru such as J C Road, Sarjapur Road and Nagarbhavi, alongside new locations in Puttur and Sira. This expansion is designed to make premium tyres and associated services more accessible to a broader customer base, from metropolitan residents to those in surrounding towns and suburbs.
The newly launched Shoppes will feature the brand’s comprehensive portfolio of tyres for both two-wheelers and four-wheelers. This includes specialised product lines such as CrossDrive for rugged terrain, SportDrive for luxury vehicle performance, SecuraDrive for highway safety and comfort and Milaze for consumers seeking long-lasting durability. Beyond product sales, each outlet will provide essential value-added services including professional wheel balancing, precise wheel alignment and nitrogen filling. To enhance customer convenience, all new locations are digitally integrated, making them easily discoverable through Google search and maps.
This expansion also generates a positive socio-economic impact by creating new employment opportunities within these communities. CEAT is further committed to investing in its workforce through specialised training programmes aimed at developing the technical expertise and customer service skills necessary to deliver a superior experience. The move aligns with the growing demand for premium automotive products in Karnataka's evolving market. By targeting consumers who value adventure, innovation and a premium lifestyle, CEAT reinforces its brand positioning. The modern, interactive environment of the Shoppes is intended to provide a customer-friendly journey, ensuring that every interaction from product selection to final fitment is both engaging and efficient.
Atturo Expands Portfolio With 25 New Sizes Across Three Product Lines
- By TT News
- September 26, 2025

Atturo Tires is accelerating its market growth with a substantial release of 25 new sizes, strategically expanding three core product families. This launch introduces two new sizes for the mud-terrain Trail Blade MTS, eight for the rugged Trail Blade ATS and a significant 15 additional sizes for the high-performance AZ850. This move is designed to place Atturo’s technology within reach of a broader range of drivers, from off-road enthusiasts to owners of modern sports cars and electric vehicles.
The Trail Blade MTS, engineered for larger trucks, incorporates a unique tread pattern inspired by a karambit knife blade to provide extreme traction in muddy conditions. With its new sizes, it now caters to a wider array of wheel configurations. Meanwhile, the Trail Blade ATS reinforces its position as a versatile all-terrain option, boasting a 50,000-mile (approximately 80,467 km) warranty and a winter weather rating. Its eight new sizes extend its application to heavier-duty pickup trucks.
The most notable expansion occurs within the AZ850 line, a tyre focused on delivering ultra-high-performance at an accessible level. It features an advanced asymmetrical tread for maximum grip and stability, yet is engineered for a comfortable daily driving experience. A critical update is its reinforced construction, specifically designed to support the heavier weight of electric vehicles and modern SUVs. The 15 new sizes, including staggered fitments for sports cars and performance SUVs, allow more drivers to experience sharper handling and shorter braking distances, fully unlocking their vehicle's potential.
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