On Tuesday, Starbucks, a US coffee behemoth, opened a $220 million plant outside Shanghai, a movement launched by multinationals that are still looking to China for development despite its faltering post-Covid recovery.
A survey released by the American Chamber of Commerce in Shangai reported on Tuesday, that optimism among US firms in China was at a “record low”, especially accusing the lagging economy and US-China tensions.
A news release said Tuesday that but Starbucks’ “Coffee Innovation Park” is the biggest investment the firm has created in any such project outside the US.
A spokesperson for the company told AFP when asked to comment on business sentiment in the nation that Starbucks’ best days are onwards in China.
Laxman Narasimhan, the CEO of Starbucks, was quoted as saying in the release that as Starbucks’ biggest and fastest-growing global market, we will continue to heighten our investment and strengthen our unwavering long-term commitment to the China market.
According to state media in May, Narasimhan visited China, where he met the mayor of Shanghai.
Starbucks refused to provide additional details on the visit when asked.
The firm has more than 6,500 coffee shops in more than 250 Chinese cities and states that a new store opens in the country every nine hours.
