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ARTICLE · 01 OCTOBER 2025

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China Manufacturing Risks In 2025: Why They're Worse Than Ever

Twelve months ago, a U.S. company wired $800,000 to a trusted Chinese supplier it had worked with for years.

ChinaIntellectual Property

The New Reality of Manufacturing in China

Twelve months ago, a U.S. company wired $800,000 to a trusted Chinese supplier it had worked with for years. The factory never shipped a single product. Instead, it shut its doors, the owner disappeared, leaving the American company with a total loss of capital and zero legal recourse.

The failure wasn't bad luck. It was a lack of due diligence and a weak, non-China-specific contract that made recovery impossible.

This isn't an outlier anymore. It's the new normal.

If your business still relies on Chinese manufacturing, the game has fundamentally changed. The landscape in 2025 looks nothing like it did just five years ago. Risks haven't just risen. They've evolved into existential threats for the unprotected.

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