In the heart of Zhejiang Province, Wenzhou’s private businesses are rewriting their playbooks amid fluctuating US trade policies. Known as China’s shoe manufacturing hub, the city’s factories and exporters face renewed challenges following a temporary suspension of tariffs agreed by the US and the Chinese mainland on May 23, 2025.
CGTN’s recent visit to Wenzhou revealed how local firms are diversifying supply chains and investing in automation to mitigate risks. “We’re prioritizing Southeast Asian markets while upgrading production lines,” said Chen Wei, a factory manager specializing in electrical components. Industry analysts note that Wenzhou’s agility—a hallmark of its private sector—could set a blueprint for coastal manufacturing zones nationwide.
With footwear exports to the US still accounting for 40% of local revenue, businesses emphasize innovation. A sneaker manufacturer showcased AI-driven design tools reducing prototyping costs by 60%, while smaller workshops collaborate on shared R&D platforms. “Uncertainty demands creativity,” remarked trade expert Li Ming. “Wenzhou’s response reflects China’s broader push for industrial upgrading.”
Reference(s):
BizFocus Ep.129: Wenzhou private firms navigate US tariff uncertainty
cgtn.com