The risk of sourcing and manufacturing products in China is increasing rapidly, it has been discovered.
A study by AMR Research has found that concerns about safety and quality are the reason behind the rise in concern.
In 12 out of 15 categories in a survey of US manufacturers, China contributed most risk.
Among those were intellectual property infringement, highlighted by 59 per cent of respondents, product quality failure and regulatory compliance.
Many were also concerned about supplier failure and price volatility.
Noha Tohamy, vice president of research at AMR Research and author of the study, said: "Concerns with China's product quality and safety record continue to rise from quarter to quarter.
"This will ultimately limit China's play in high-value, labour-intensive manufacturing outsourcing."
In the last quarter, China only contributed to the most risk in ten out of 15 categories, proving that product quality is rising in importance in the current economic climate.
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