American companies operating in China are becoming more profitable

U.S. companies operating in China are becoming increasingly profitable, reported Friday the Wall Street Journal.

“U.S. companies must grapple with the fact that their global competitiveness depends increasingly on their success in China,” the newspaper quoted a report published in the American Chamber of Commerce in China.

73% of member companies of the Chamber of Commerce reported that their China operations were profitable, while the percentage was 64% recorded last year, the newspaper reported.

The greatest part of U.S. companies also said their operating margins in China had increased in 2006. The Chamber of Commerce has indicated that approximately 60% of member companies said they had improved their margins every year since 2001.

In September 2006, the Chamber of Commerce in China European Union issued a report stating that 83% of its member companies expect to be profitable in 2007.