Domestic companies look to reduce reliance on US market

To offset the burden from the added tariffs imposed by the United States on Chinese exports, Shanghai Baolong Automotive Corp has decided to lower its reliance on the US and turn to other global markets instead.

Shanghai-listed Baolong is a company which specializes in automotive parts research and development, manufacturing and sales. The US is its largest market, contributing 45 percent of its sales in 2018, followed by China at 40 percent, and the European Union at 12 percent.

In its annual report, the company said tariff hikes by the US meant the company faced additional costs of 10.31 million yuan ($1.438 million) in customs clearance and 8.9 million yuan in transportation expenses last year.