Mid-sized American companies are already moving away from China
Middle-market companies have started to shift their supply chains to other parts of Asia and are selling more to other countries to make up what they can't sell to China.
That's according to a survey released Wednesday by Portland, Oregon, based regional bank Umpqua.
That's why mid-sized companies must stay agile. Nixon said mid-sized firms can move more rapidly than their larger rivals because their CEOs, CFOs and other high-level executives have more detailed knowledge of their organizations.
"There is a greater emphasis on efficiency and a need to make good sound business decisions," he added. "Every penny matters. It's less about politics and more about commerce."
Still, Nixon said he was surprised by one finding from the bank's survey — many mid-size companies said they are eager to embrace Europe as a bigger customer to help offset lost sales from China.
Nixon speculated that American firms still view Europe as a relatively stable region that's closer than Asia for many firms. And that may offset concerns about Brexit and sluggish growth in Germany.