AFP reports:

China is loosing some of its attractiveness to foreign investors as rising costs are forcing some US manufacturing firms to leave the country, the American Chamber of Commerce (AmCham) said Monday.

More than two-thirds of AmCham's member companies surveyed in an annual white paper agreed that China was losing some of its competitive advantage in global markets due to rising costs.

Factors with the biggest financial impact last year included price pressures from competition and major customers, rising salaries and wages, changes in raw material prices, tax expenses and real estate cost inflation, the survey said.

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